Everything continues to be on fire both literally and figuratively. Microsoft just announced that they are increasing the prices of their XBOX consoles by upwards of $150.
The 512GB XBOX models are increasing by $100, while the 1TB models are increasing by $150. Additionally, all 2TB models are being discontinued. These price increases follow a separate batch of price increases in October 2025 when prices increased by $20 to $70 for XBOX hardware.
To re-state the extremely obvious here: The price increase is due to the the absolutely insane prices for storage and memory. Microsoft says that prices on these components have increased by more than 2.5x and that they "expect another doubling by the fall of 2027." Yes, we can continue to thank all of those AI companies, all of the companies pushing AI hardware and data centers, and all of those companies working together to keep prices high, ditch the consumer market, and focus primarily on commercial business deals.
On top of the price increase on purchasing XBOX hardware, Microsoft just rolled out several programs that sound good on paper but could get people into financial troubles if they don't stay on top of the payments. If the "buy now, pay later" scheme sounds a little too risky to you then you may want to instead look into a used XBOX console.
Today we are also sharing programs to make XBOX consoles more accessible:
- Buy Now, Pay Later: We’ve made it easier for players to use Buy Now, Pay Later options on eligible XBOX hardware purchases through Microsoft Stores, making it possible to break up your payment into predictable short-term, interest-free installments.
- Interest Free Financing: Players purchasing eligible XBOX hardware through Amazon can take advantage of 0% APR financing for up to 12 months, giving players more flexibility with lower monthly payments and more budgeting control.
- Previously Played Consoles: We are working with retail partners on new programs to provide previously played consoles at lower prices. Players who are ready to upgrade or no longer use their console will be able to trade it in with participating retail partners for cash or store credit. Those consoles will then be made available at lower prices for players.
- Certified Refurbished Consoles: XBOX Certified Refurbished Consoles are available at Microsoft Stores for up to US$100 off MSRP.
