Microsoft is raising prices on the ...

Microsoft is dramatically increasing the price of the Xbox Series X and Series S, as well as new games and accessories. As of today, the Series S will start at $380, up from $300, while the Series X will begin at $550, a $100 increase from its previous price. As for the 1TB Series S, it now costs $430, up from $350. Meanwhile, if you want the Series X with disc drive, it will now set you back $600. Lastly, the 2TB Galaxy Black Special Edition now costs an eye-watering $730.

Additionally, Microsoft says beginning this holiday season “some” new first-party games will release at $80. If you purchase one of those games through the Xbox Store, it will support Microsoft’s Play Anywhere feature, allowing you to play it on PC at no additional cost.

At the same time, the company is increasing the price of nearly all of its first-party and peripherals. Most notably, a core controller will now set you back $65. Microsoft is also increasing pricing in Europe, UK, Australia and many other countries.

“We understand that these changes are challenging, and they were made with careful consideration given market conditions and the rising cost of development,” the company said. “Looking ahead, we continue to focus on offering more ways to play more games across any screen and ensuring value for Xbox players.”

Historically, the price of consoles has gone down, not up, mid-generation. In 2002, for instance, Sony cut the price of the PlayStation 2 from $299 to $199. Alongside the system’s extensive game library, Sony’s aggressive pricing strategy was widely credited for the PS2’s runaway success. The fact Microsoft is now increasing the price of the Xbox Series X/S nearly five years after release is likely to kill whatever little momentum the two consoles had.