Xbox raises console prices again, discontinues 2TB model

Xbox will raise console prices worldwide effective August 1, 2026, and will discontinue its 2TB model. Prices will increase by US$100 for 512 GB models and US$150 for 1 TB models. New prices: Xbox Series X – 1TB w/ disc drive – $800 ($650); Xbox Series X – 1TB all digital – $750 ($600); Xbox Series S – 512GB – $500 ($400); Xbox Series S – 1TB – $600 ($450).

Microsoft says storage and memory prices have increased "2.5x" since the last price increase in October and expects them to double again by fall 2027. The company added that "the entire consumer electronics industry is struggling" and noted consoles are often sold for less than they cost to make, unlike phones, computers and speakers.

To help customers, Xbox is launching a "Buy Now, Pay Later" service that will allow interest-free installment payments through its stores. Amazon is offering up to 12-month financing with flexible monthly payments, and Xbox says it is working with retailers to sell pre-owned systems as well as certified refurbished systems on the Microsoft Store.

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