Xbox is hiking the prices of its X and S gaming consoles by more than $100 across models, the Microsoft-owned company announced Thursday. This marks the second time Xbox has raised the prices of its consoles in less than year.

The increase comes as the company is undergoing a significant round of layoffs under new CEO Asha Sharma, who took over for longtime chief Phil Spencer earlier this year.

Per a blog post published on the Xbox Wire, “Effective August 1, 2026, we will be updating prices worldwide. The price of XBOX consoles will increase by US$100 for 512 GB models and US$150 for 1 TB models. We will also be sunsetting our 2 TB model.”

The blog continues: “Last October, we increased XBOX console price by $20-$70 in the U.S. We hoped another price increase would not be necessary, and we have spent the last several months working with suppliers on options. 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. Unlike phones, computers, speakers, and other consumer devices, consoles are typically not sold at a profit, but instead for less than they cost to make.”

In the post, Xbox went on to cite multiple “programs to make XBOX consoles more accessible,” including buy now, pay later plans, interest free financing, previously owned consoles and certified refurbished models.

More to come…