Microsoft raises Xbox prices amid looming summer layoffs - MyNorthwest.com

Microsoft raises Xbox prices amid looming summer layoffs as the company prepares operational changes in its gaming division. Starting August 1, the Xbox Series S and Series X lineups see price increases, with the cheapest Series S moving to $500 (up $100) for 512GB storage and $550 for the 1TB version (up $100). The 1TB all-digital Xbox Series X costs $750 (up $150) and the 1TB disc-drive model is $800 (up $150). The article links the shift to multiple reports that thousands of layoffs could begin in early July, shortly after Microsoft’s fiscal year ends on June 30, following a “reset” ordered by new leadership. It also notes Microsoft plans a next-generation console, dubbed Project Helix, in 2027. The Xbox hardware business has struggled, with a 29% year-over-year hardware decline reported for Q1 2026. Comparable moves are cited from Apple, which raised MacBook and iPad prices by as much as $300 due in part to memory and storage chip shortages driven by AI demand.