Microsoft announced significant price hikes for Xbox consoles, accessories, and games starting May 1, 2025, citing “market conditions” and rising development costs.
Here’s a breakdown of the changes in the U.S.:
- Xbox Series S (512GB): Now $379.99, up from $299.99 (~27% increase).
- Xbox Series S (1TB): Now $429.99, up from $349.99 (~23% increase).
- Xbox Series X (1TB): Now $599.99, up from $499.99 (20% increase).
- Xbox Series X Digital Edition: Now $549.99, up from $449.99 (~22% increase).
- Xbox Series X 2TB Galaxy Black Special Edition: Now $729.99, up from $599.99 (~22% increase).
Accessories:
- Standard Xbox Wireless Controller: Now $64.99, up from $59.99.
- Xbox Elite Wireless Controller Series 2 (Core): Now $149.99, up from $139.99.
- Xbox Elite Wireless Controller Series 2 (Full): Now $199.99, up from $179.99.
- Xbox Wireless Headset: Now $119.99, up from $99.99 (U.S. and Canada only).
- Games: Starting holiday 2025, new first-party Xbox games (e.g., Call of Duty 2025, Fable, Perfect Dark) will retail at $79.99, up from $69.99 (~14% increase). Existing game prices remain unchanged.
Context and Causes:
The increases coincide with 145% U.S. tariffs on Chinese imports under the Trump administration, as Xbox consoles are primarily manufactured in China. Analysts suggest tariffs are a key driver, though Microsoft avoids explicitly citing them.
Other factors include inflation, rising game development costs (e.g., Call of Duty: Black Ops Cold War cost ~$700 million), and supply chain disruptions.Sony raised PlayStation 5 prices in Europe and other regions in April 2025, and Nintendo increased Switch 2 accessory prices, indicating an industry-wide response to economic pressures.
Global Impact:
In the UK, Xbox Series S (512GB) is now £299.99 (up £50), and Series X is £499.99 (up £20). In Europe, Series S is €349.99 (up €50), and Series X is €599.99 (up €50). Price hikes vary by region, with the U.S. facing the steepest increases.
Consumer Sentiment:
Gamers have expressed frustration, with some calling the hikes “absolutely CRAZY” and “laughable,” especially given Xbox’s declining hardware sales (down 6% year-over-year). Posts on X and Reddit highlight concerns about affordability and question Microsoft’s strategy as it shifts toward multiplatform releases.
Critics argue the tariffs are being used as an excuse for price gouging, predicting further industry-wide increases if tariffs persist.
Additional Notes:
Xbox Game Pass prices remain unchanged for now, despite prior increases in 2023 and 2024.
Microsoft emphasizes value through Xbox Play Anywhere, allowing first-party games to be played on both Xbox and PC with one purchase.Console availability may vary by retailer and country.
Despite the official price hikes, some retailers have yet to adjust their prices:
Dell: Offering the Xbox Series X (1TB) for $449.99, a $100 discount from the new MSRP.
Walmart: Discounted prices on Xbox Series S models: 512GB at $273.99 and 1TB at $347.
These deals present an opportunity for consumers to purchase consoles at the previous lower prices before the new pricing takes full effect.
If you’re considering purchasing an Xbox console, now may be an opportune time to take advantage of existing retailer discounts before the new prices become widespread.