In what continues to be an increasingly volatile hardware market, Microsoft has confirmed another round of Xbox price increases. Starting August 1, Xbox consoles are getting significantly more expensive, with prices jumping by as much as $150 depending on the model.
For those looking to get ahead of the hikes, both Walmart and Target are selling the Xbox Series X for $573.99. That’s already $76 below today’s MSRP of $649.99, but more importantly, it’s a massive $226 less than the incoming $799.99 price tag due to take effect soon.
By comparison, the PlayStation 5 currently costs $649.99, the PS5 Digital Edition is $599.99, while the PS5 Pro sits at a hefty $899.99.
Xbox Console Price Rises – August 2026:
- Xbox Series S 512GB: $399.99 —> $499.99
- Xbox Series S 1TB: $449.99 —> $599.99
- Xbox Series X 1TB Digital: $599.99 —> $749.99
- Xbox Series X 1TB: $649.99 —> $799.99
Why Are Consoles So Expensive Right Now?
According to Microsoft, the biggest culprit for the change is the ongoing components crisis. It says console storage and memory prices have increased by “more than 2.5x” already, with costs expected to “double again by the fall of 2027”.
Sony has also cited “continued pressures in the global economic landscape” when it raised PS5 prices earlier this year, while Nintendo has already confirmed the Switch 2 is getting a $50 increase in September.
Even Valve recently bemoaned how its upcoming Steam Machine is launching at an eye-watering $1,049 after it couldn’t hit its original target price because of component supply issues.
To make matters worse, according to The Game Business, one major games retailer has already warned that there may not be enough consoles to satisfy demand during the holiday season, particularly with GTA 6 arriving. Here’s the quote:
“We’ve been informed that because of the on-going issues around hardware component availability, we won’t be getting the units we want ahead of GTA. Demand will likely outstrip supply during the year end period.”
We’ve already seen how price changes haved rattled a lot of potential buyers into buying consoles now rather than later, and with Xbox prices about to jump again and concerns beginning to emerge around hardware availability, things don’t look like they’ll get any better, any time soon.
Judging by how things are going, it wouldn’t be surprising to see several more price hikes within the next 12-18 months for PlayStation and Nintendo, and across the rest of the industry as well.
Are you planning to pick up a new console for GTA 6? If so, are you leaning toward Xbox or PS5, or are you hoping retailers have enough stock when the game finally arrives?
Either way, we’ll leave some other notable deals on consoles just below as well.
The Best Console Deals Today
For now, utilizing the Walmart/Target discount, the Xbox Series X for $573 is the cheapest way to pick up a new current gen console that can play GTA 6. That’s discounting refurbished, of course, which is actually the best way to pick up a console right now, at least in my opinion.
Speaking of refurbished consoles, another reasonable offer for potential buyers can be found at Best Buy. This promo will be especially interesting for those wanting to pick up a GTA 6 preorder at the same time.
Best Buy recently announced that it’s giving away free “$50 reward certificates” for anyone bundling a Grand Theft Auto 6 preorder with an eligible PlayStation 5 or Xbox console.
The deal is available to both new and existing My Best Buy members (free to join), and applies to a wide range of consoles, including the Xbox Series X, Xbox Series S, PS5 Pro, PS5 Slim Digital Edition, PS5 Slim Disc Edition, and, as I mentioned, select refurbished PlayStation 5 models.
This is likely the most affordable option for most people right now; opting for a refurb PS5 at $499.99, getting a $50 gift card for Best Buy, and picking up GTA 6 to play in November. Best Buy also has a 12-month no-interest finance option ($41.67/mo for the PS5), for those interested in spreading the cost out even more.
Otherwise, the next best console deals will be on other refurbished lines, such as PlayStation’s exclusive range of $499.99 digital, or $549.99 disc edition PS5 (slim-model) consoles from PS Direct.
If you’re not worried about playing GTA 6 and just want a decent console to play games on that won’t cost you an arm and a leg, the Switch 2 currently has a $499 “Free Game Bundle” that is well worth picking up before the promo expires in September.
Robert Anderson is IGN’s Senior Commerce Editor and resident deals expert on games, collectibles, trading card games, and more. You can follow him @robertliam21 on Bluesky.