# Xbox prices surge: Up to 30% increase on premium models Microsoft hikes console prices by up to €200 in Europe and UK markets. - **Source:** [The Verge](https://www.theverge.com) - **Published:** 2026-08-02 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/0d452196-8f43-4f07-8cae-f9f24c439eff ## Dramatic Xbox price hikes Microsoft implemented its third major price increase for the Xbox console series. The 1TB Xbox Series X disc version saw over 30% price jump, rising from £499.99 to £669.99 in the UK and from €599.99 to €799.99 in Europe. The entry-level 512GB Series S model experienced a staggering 43% increase, marking one of the steepest console price surges in recent history. ## New pricing by model 512GB Xbox Series S: €349.99/£299.99 → €499.99/£429.99. 1TB Xbox Series S: €399.99/£349.99 → €599.99/£519.99. 1TB Digital Xbox Series X: €549.99/£449.99 → €749.99/£619.99. 1TB Disc Xbox Series X: €599.99/£499.99 → €799.99/£669.99. Microsoft has discontinued the 2TB model entirely amid the global storage component shortage. ## Context behind increases This marks Microsoft's third price adjustment since May 2025. The premium model now costs $300 more than its $499.99 launch price in 2020. The company cites soaring RAM and storage costs driven by AI industry demand as primary reasons. Other console manufacturers have implemented similar increases, though none as dramatic as Xbox's recent moves. ## Industry-wide developments While Sony assured sufficient RAM supply for PlayStation, US senators urged Apple to avoid Chinese-made RAM chips. NVIDIA's RTX 5080 graphics card sells above RTX 5090's MSRP at Best Buy. The consumer electronics sector continues facing severe cost pressures across components, with no relief in sight for 2026. ## Consumer backlash Gamers flooded social media with complaints about consecutive price hikes. Many criticize the reduced accessibility of gaming consoles during economic downturns. Some users turn to second-hand markets while others explore cloud gaming alternatives. Industry watchers anticipate potential Game Pass subscription fee increases following hardware pricing changes. ## Market share implications Xbox's market position has weakened against PlayStation and Nintendo in recent years. Analysts warn price increases may exacerbate this trend, particularly in European markets where middle-income consumers might delay purchases. Microsoft is expected to accelerate cloud gaming investments as physical hardware becomes less accessible to average consumers. ## Hardware cost analysis The AI boom has inflated GPU and RAM prices across the tech industry. Semiconductor giants like TSMC and Samsung allocate most capacity to AI chips. Demand for GDDR6 memory modules used in consoles far outstrips supply. NAND flash storage prices surged 60% year-over-year, directly impacting console manufacturing costs. ## Future projections Industry analysts predict component costs won't decrease before 2027. Microsoft might delay next-gen console plans amid these challenges. Cloud gaming and subscription models could potentially replace traditional console sales. The price gap between premium and entry-level consumer electronics continues widening across all categories. ## Sources covering this story - https://www.theverge.com/games/974253/xbox-prices-increasing-200-euros — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._