Microsoft is implementing significant price increases for Xbox products.

In an official announcement today, the company revealed that prices will rise for Xbox consoles, controllers, headsets, and select games. The new pricing for consoles and accessories is effective immediately as of May 1. While game prices remain unchanged for now, Microsoft plans to introduce a new $79.99 price point for its first-party titles during the holiday season.

These adjustments are rolling out worldwide, though the headset price increases are limited to the U.S. and Canadian markets.

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Here are the updated U.S. prices for various Xbox consoles and accessories:

Xbox Series S 512GB - $379.99 (previously $299.99)Xbox Series S 1TB - $429.99 (previously $349.99)Xbox Series X Digital Edition - $549.99 (previously $449.99)Xbox Series X - $599.99 (previously $499.99)Xbox Series X 2TB Galaxy Special Edition - $729.99 (previously $599.99)Xbox Wireless Controller (Core) - $64.99Xbox Wireless Controller (Color) - $69.99Xbox Wireless Controller - Special Edition - $79.99Xbox Wireless Controller - Limited Edition - $89.99 (previously $79.99)Xbox Elite Wireless Controller Series 2 (Core) - $149.99 (previously $139.99)Xbox Elite Wireless Controller Series 2 (Full) - $199.99 (previously $179.99)Xbox Stereo Headset - $64.99Xbox Wireless Headset - $119.99 (previously $109.99)

Regional pricing details can be found on the official Xbox announcement page.

Microsoft provided IGN with this statement explaining the rationale behind the price increases:

“We recognize these changes are difficult, and they were carefully considered in response to market conditions and rising development costs. Moving forward, we remain committed to expanding ways for players to enjoy games across all devices while ensuring continued value for the Xbox community.”

While Microsoft hasn't specified which first-party titles will carry the $80 price tag, potential candidates include the next Call of Duty installment, the recently delayed Fable reboot (now expected in 2026), the Perfect Dark revival, inXile’s Clockwork Revolution, Rare's Everwild (which Xbox head Phil Spencer recently previewed), The Coalition's Gears of War: E-Day, Hideo Kojima’s OD, or Undead Labs' State of Decay 3. Double Fine, the studio behind Psychonauts, is also developing a new project.

Microsoft will host an Xbox Games Showcase 2025 alongside an Outer Worlds 2 Direct this June, where more details are expected to be revealed.

This marks the first price adjustment for Xbox Series S consoles since their 2020 debut. Microsoft had maintained its pricing structure in 2022 when PlayStation increased PS5 costs. However, Xbox did raise Series X prices in most international markets (excluding the U.S.) in 2023, and has implemented multiple global price increases for Xbox Game Pass.

While the scale of these increases is notable, Microsoft's decision follows industry trends. PlayStation recently implemented similar price adjustments in the UK, Europe, Australia, and New Zealand – its second such move in three years.

The gaming industry has been gradually shifting toward higher price points in recent years. AAA game prices have climbed from $60 to $70 within the past five years, and Nintendo has set an $80 price for upcoming Switch 2 exclusives like Mario Kart World and other special edition titles. The recently announced Switch 2 console will launch at $450, a price point that drew criticism from fans even as analysts acknowledged its inevitability given current economic pressures.

These developments preceded Nintendo's need to reassess its console pricing following newly announced and frequently changing U.S. tariffs. While the console price remained at $450, accessory costs were affected. Industry analysts speculate Nintendo might implement further price increases after launch, and the Entertainment Software Association cautioned that this trend would extend beyond Nintendo:

“The timing of media coverage around video games and tariffs has been interesting, if unfortunate, with the Switch 2 announcement coinciding with President Trump's tariff declaration. Gaming extends across many platforms beyond consoles – VR headsets, smartphones, and PCs. If we focus solely on the Switch, we're underestimating the situation. These changes will have widespread effects.

“Even American companies rely on imported components to manufacture consoles and games. This will genuinely impact the entire industry, regardless of the company. It's an industry-wide challenge that affects everyone.”

It appears to be an expensive era for gamers, no matter which platform they prefer.