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Microsoft has announced it will be yet again increasing the prices of its Xbox Series X|S consoles, having already raised the cost less than a year ago in October 2025.

The price of hardware nowadays, thanks to the ongoing component shortage and the battle against AI, is absurd, and that includes the PS5. Sony has raised the prices of its PS5 systems a number of time this generation, but this latest wave of Xbox Series X|S price increases takes the biscuit.

Here are the new prices for Xbox Series X|S hardware, effective 1st August 2026:

  • Xbox Series S 512GB — $499.99 ($100 increase)
  • Xbox Series S 1TB — $599.99 ($150 increase)
  • Xbox Series X 1TB Digital — $749.99 ($150 increase)
  • Xbox Series X 1TB — $799.99 ($150 increase)

If you cast your mind back to the start of this generation, the Xbox Series S was pitched by Microsoft as the affordable route into current-gen gaming. Now, that same console costs the same as a PS5 packing a disc drive did at launch back in 2020.

Here's how the new Xbox Series X|S prices compare to the PS5 ones, using the latest Sony price increases from April 2026, in price order:

Console Model Current / Future Price
Xbox Series S 512GB $499.99
PS5 Digital Edition $599.99
Xbox Series S 1TB $599.99
PS5 $649.99
Xbox Series X 1TB Digital $749.99
Xbox Series X 1TB $799.99
PS5 Pro $899.99

In an Xbox Wire post, it's explained that while Microsoft hoped to avoid another price increase, one became necessary. "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."

It's announced and updated some schemes to make obtaining an Xbox Series X|S easier, such as a Buy Now, Pay Later initiative and interest-free financing. However, now, an Xbox Series X costs considerably more than a PS5.

What do you make of this? Post your thoughts in the comments below.

[source news.xbox.com]