Microsoft Announces Significant Price Rises for Xbox Series X and S, 2TB Model Discontinued

Wesley Yin-Poole·Jun 26, 2026·Source

Microsoft has announced significant price rises for Xbox consoles, blaming the ongoing “components crisis.”

In a blog post , Microsoft said that from August 1, the price of Xbox consoles will increase by $100 for 512GB models, and $150 for 1TB models. The 2TB model will be discontinued.

Xbox console price rises June 2026:

Xbox Series S 512GB: $399.99 ---> $499.99
Xbox Series S 1TB: $449.99 ---> $599.99
Xbox Series X 1TB Digital: $599.99 ---> $749.99
Xbox Series X 1TB: $649.99 ---> $799.99

What is an Xbox? Microsoft has spent 25 years trying to answer the question, but for fans, the answer is easy: “Xbox” evokes one-eared headsets wired into the memory card slots of massive controllers with breakaway cords. A dashboard with gleaming skeuomorphic blades and avatars

“Last October, we increased Xbox console price by $20-$70 in the U.S.” Microsoft said. “We hoped another price increase would not be necessary, and we have spent the last several months working with suppliers on options. Unfortunately, console storage and memory prices have increased by more than 2.5x and we expect another doubling by the fall of 2027.

"The entire consumer electronics industry is struggling with the current components crisis, but the effects are particularly hard on consoles. Unlike phones, computers, speakers, and other consumer devices, consoles are typically not sold at a profit, but instead for less than they cost to make.”