Gamers, brace yourselves: Microsoft just dropped a bombshell that’s gonna hit your wallet hard. As of May 1, 2025, the tech giant has hiked prices on its Xbox Series X and S consoles by $80 to $100 across the board, while first-party games are set to climb to $79.99 starting this holiday season. This isn’t a small tweak—it’s a seismic shift, and it’s happening now.
The Xbox Series X, once $499.99, now demands $599.99 for the disc-drive model, while the digital version jumps from $449.99 to $549.99. The budget-friendly Xbox Series S isn’t spared either: the 512GB model leaps from $299.99 to $379.99, and the 1TB version climbs from $349.99 to $429.99. Even the premium 2TB Galaxy Black Series X takes a $130 hit, now retailing at $729.99. Controllers and headsets aren’t safe—some are up $10, with high-end controllers touching $200. If you’re in the U.S. or Canada, expect headset prices to sting too, though other regions dodge that bullet for now.
Why the sudden spike? Microsoft points to “market conditions” and “rising costs of development.” The announcement, posted on their official Xbox support page, acknowledges the pain: “We understand these changes are challenging.” No kidding. The timing’s no coincidence—new U.S. tariffs, slapping a 145% levy on Chinese-made goods like Xbox consoles, are squeezing supply chains. Microsoft stayed mum on whether tariffs directly triggered the hike, but the math ain’t hard to do.
Games are getting pricier too. Come holiday season, expect new first-party titles—think heavyweights like the next Call of Duty, Fable, or Perfect Dark reboot—to retail at $79.99, up from the current $69.99. Not every game will hit that mark; Microsoft says smaller titles might stay cheaper, but the big dogs are definitely climbing. This follows Nintendo’s lead, which set its Switch 2 launch title Mario Kart World at $80 in April, breaking the industry’s $70 ceiling. Sony’s already raised PS5 prices in Europe, the UK, Australia, and New Zealand, and whispers suggest they might follow suit in the U.S. soon.
The price jumps are global, but the U.S. feels the brunt. In the UK, the Series X creeps up £20 to £499.99, while the Series S rises £50 to £299.99. Europe sees a €50 bump across models, with the Series X hitting €599.99. Compared to the U.S.’s 20-26% console price surges, these are lighter taps. Retailers like Microsoft’s online store already reflect the new prices, though some third-party sellers might still have old stock at lower costs—for now.
This isn’t Microsoft’s first rodeo with price hikes. They nudged Series X prices up in 2023 outside the U.S. and raised Game Pass subscriptions in 2024. But jacking up Series S prices, untouched since its 2020 launch, and hiking games to $80 marks a bold move. The industry’s been inching this way—AAA games went from $60 to $70 in recent years—but Microsoft’s leap feels like a gut punch, especially with Xbox hardware sales already sliding year-over-year.
If you’re eyeing an Xbox, act fast. Some retailers haven’t updated their shelves yet, offering a slim chance to snag a console at the old price. Once those are gone, you’re stuck with the new reality: a standard Xbox Series X costs $599.99, a digital one $549.99, a 512GB Series S $379.99, a 1TB Series S $429.99, and select new games will run $79.99 starting late 2025.