#Xbox

Microsoft will increase the suggested retail price of select Xbox consoles in the U.S. starting in October, citing “changes in the macroeconomic environment.” Prices for Xbox Series S will start at $399, and Xbox Series X models will increase by $50-$70. This follows similar price adjustments by Sony and Nintendo. The company states the price changes reflect evolving economic realities, but insists pricing in other global markets will remain unchanged. The Wedbush Securities analysis suggests this reflects a strategic understanding of competitors combined with the Game Pass value proposition.

Former Xbox VP Peter Moore revealed Microsoft’s preference for a cloud-based gaming strategy, mirroring Netflix’s model. He suggests Microsoft would have skipped consoles entirely, prioritizing content aggregation via streaming. The Activision Blizzard acquisition signals this shift towards multi-platform expansion. Despite this, Microsoft recognizes the continued demand for consoles like the Switch and will likely maintain hardware development alongside its evolving, broader ecosystem.