Microsoft Raises Xbox Console Prices by Up to $150 Starting August 1

Microsoft is raising prices on its Xbox consoles effective August 1. The 512GB models will cost $100 more and the 1TB models will cost $150 more than current levels. The Xbox Series S will start at $499.99.

99, while the version with a disc drive will start at $799.99. Microsoft last raised console prices in October by amounts ranging from $20 to $70.

The company said it had hoped to avoid further increases but storage and memory prices have risen more than 2.5 times, with another doubling expected by fall 2027. "The entire consumer electronics industry is struggling with the current components crisis, but the effects are particularly hard on consoles," Microsoft stated in a blog post.

" The company is adding a buy now, pay later option and interest-free financing through Amazon.

It also plans to work with retail partners on programs offering previously played consoles at lower prices. Microsoft launched the Xbox Series S at $299 and the Series X at $499 in November 2020.