Xbox Series X|S prices rise again as Microsoft confirms major hike for August
The company cites escalating storage and memory costs while discontinuing the 2TB Series X model and introducing new financing options.
Xbox has announced another price increase for its Xbox Series X|S consoles, as well as the discontinuation of one of the largest models in its lineup.
Via Xbox Wire, it was announced that there will be a price increase effective August 1 of this year. The increase is much more significant than the one that occurred in October 2025, which saw a price hike of up to $70. This time, the console prices will be as follows:
- Xbox Series X – 1TB w/ disc drive – $800 (previously $650)
- Xbox Series X – 1TB all digital – $750 (previously $600)
- Xbox Series S – 1TB – $600 (previously $450)
- Xbox Series S – 512GB – $500 (previously $400)
Along with this increase, it was also announced that the 2TB Xbox Series X model will be discontinued. At the same time, Xbox will roll out programs to make purchasing the console more affordable, such as “Buy Now, Pay Later” and interest-free financing.
The component shortage continues to affect the industry
In the statement, Xbox notes that the current component crisis is once again driving these price increases. “Console storage and memory prices have increased by more than 2.5 times, and we expect them to double again by the fall of 2027,” they state. “The entire consumer electronics industry is struggling with the current component crisis, but the effects are particularly severe for consoles.”
Earlier this week, the price of the Steam Machine was revealed, with the 2TB version costing $1,349. However, it was soon reported that the device could have cost much less—around $749—had it not been for the rise in RAM prices.
Currently, the industry is suffering from shortages caused by the creation of data centers supporting artificial intelligence, which are driving up demand for critical components such as RAM and storage. The problem won’t affect this generation of consoles, but rather the next one, where we’ll likely face another rocky—and much more expensive—launch than the current generation.
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