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These New Xbox Prices Are Truly Terrifying for PS6
Microsoft has raised Xbox Series X|S prices again this weekend, with the increases hitting European retailers particularly hard after only being formally announced in the US. The move comes as memory chip costs continue to soar due to AI-driven demand, leaving Microsoft reportedly still losing around $150 per console sold despite the hikes. It leaves Xbox at a significant disadvantage against Sony, which says PS5 pricing should hold steady until at least April 2027 thanks to secured component inventory, giving it an edge heading into the launch of GTA 6.
In the UK, the 512GB Xbox Series S has risen from £299.99 to £429.99, while the 1TB Series X now costs £669.99, up from £499.99. Sony's PS5 range has also increased this year, with the base console now £649.99 and the PS5 Pro £789.99, though further rises aren't expected imminently. The pricing pressure stems largely from AI-fuelled demand for memory chips, a problem Samsung has warned could worsen into 2027, and commentators suggest it bodes badly for the affordability of a future PS6, which may end up costing over $1,000.
In short
- Microsoft hikes Xbox Series X|S prices again, hitting Europe hardest
- Rises blamed on AI-driven memory chip shortages, not Microsoft's choice
- Sony's PS5 pricing expected to hold until April 2027, giving it an edge
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Supply chain pressures reflect genuine economic constraints, not corporate preference. Memory chip costs have materially increased due to broader AI demand, and Microsoft's reported $150 loss per console demonstrates these aren't trivial adjustments but fundamental margin pressures. Companies maintaining viable operations serves consumers long-term by enabling continued platform support, service investment, and future innovation. Price increases reflect economic reality rather than pure profit maximisation, and sustainable businesses ultimately benefit the gaming ecosystem.
The case against
Consumers shouldn't absorb costs arising from corporate AI investment decisions beyond their control. Companies possess alternatives to direct price passes: absorbing costs, sourcing components differently, or adjusting launch timing. Gaming's strength rests on affordability; $1,000+ consoles shift the industry away from accessibility and concentrate participation among wealthier consumers. Price competition fundamentally benefits consumers and industry health, whilst price increases reduce competitive pressure and contradict gaming's inclusive growth narrative. Accessibility, not corporate margins, should be the priority.
Explained simply
Xbox and PlayStation are competing families of home video-game consoles made by Microsoft and Sony. The Series S is a lower-cost Xbox model, while the Series X is more powerful; Sony sells the PS5 and a higher-performance PS5 Pro. Console makers often sell hardware at a loss or on thin margins, and earn money through games and subscriptions.
Both companies rely on components such as memory chips, which are also in demand for artificial-intelligence systems. Higher component costs can make consoles more expensive to produce, while companies’ stockpiles and supply deals may affect how quickly those costs reach shoppers.
The PS6 is Sony’s expected next-generation console, though its price and release details are not established here. Its eventual affordability matters to players planning a future upgrade, especially as the current generation’s prices are already high and demand for chips may remain strong.