Microsoft said on Friday it is raising the prices of its Xbox gaming consoles in the U.S. for a second time this year, as the cloud giant’s video game division grapples with tariff-induced cost pressures, strong competition and uncertain spending. The price increases, which Microsoft attributes to “changes in the macroeconomic environment,” will apply to its current generation of hardware, with the one-terabyte Series S set to cost around $450 and the high-end Series X around $650 when the changes go into effect on October 3. Xbox previously raised console prices in May in several markets including the United States, Europe, Australia and the UK, as U.S. President Donald Trump’s tariffs on imports from manufacturing hubs like China threaten to raise the cost of hardware and compress margins.
