Microsoft Raises Xbox Series Prices and Discontinues 2TB Model

Overview

• Microsoft announced a fresh price increase for Xbox Series S and X consoles that takes effect August 1, 2026 and said it will stop selling the 2TB Xbox Series X SKU.
• The new U.S. retail prices raise 512GB models by $100 and 1TB models by $150, putting the Series S at $499.99 (512GB) and $599.99 (1TB) and the Series X 1TB models at $749.99 (digital) and $799.99 (with disc).
• Microsoft tied the change to a sharp rise in storage and memory costs, saying those component prices have risen more than 2.5 times and could double again by late 2027.
• To ease the immediate hit for buyers, the company said it will offer interest-free, installment financing in the U.S. through its stores and retail partners including Amazon.
• Analysts and reports say the same memory and SSD shortage is pushing up prices across consumer electronics, a pressure that matters because consoles are often sold at or below manufacturing cost and are therefore highly sensitive to input-cost shocks.