In an effort to stay competitive and align with PlayStation 5 prices, Microsoft has decided to raise the price tag of the Xbox Series X and Game Pass subscriptions in many markets. Notably, the United States, Japan, Brazil, Colombia, and Chile will be exempt from these changes. The new prices are expected to kick in by August 2023 but won’t affect the Xbox Series S console or PC Game Pass.
Xbox Series X Price Boost
Microsoft is bumping up the price of the Xbox Series X console in ‘most countries globally. This adjustment comes as they’re trying to match Sony’s PlayStation 5 pricing strategy based on “competitive conditions in each market.” The UK, for example, will see a jump from £449.99 to £479.99 for the Xbox Series X console. Other locales should expect similar increases but remember that countries like the United States, Japan, Brazil, Colombia, and Chile won’t experience any change at all.
Game Pass Subscription Bump
In addition to hiking up console prices, Microsoft has announced an increase in Game Pass subscriptions starting July 6th, 2023. This means that the current $14.99 subscription fee for Xbox Game Pass Ultimate will go up to $16.99! British and European customers can also anticipate paying more: £12.99 and €14.99 per subscription, respectively.
The base Xbox Game Pass subscription fee is only going up by one pound/dollar/euro! As you might wonder why – so do we! However intriguing it may seem – Microsoft has decided not to increase PC Game Pass pricing without giving too much away about their rationale behind this choice.
If you’re already subscribed, don’t worry – existing subscribers won’t see the new prices reflected in their recurring payments until August 13th, 2023, at the earliest.
Quick Recap on Prices
- Xbox Game Pass Ultimate: $16.99 USD (up from $14.99), £12.99 GBP (up from £10.99), €14.99 EUR (up from €12.99)
- Basic Xbox Game Pass: $10.99 USD (up from $9.99), £10.99 GBP (up from £9.99), €10.99 EUR (up from €9.99)
- Xbox Series X console: £479.99 in the UK (up from £449.99)
- No change: Xbox Series S console and PC Game Pass prices
The Value Proposition Stays Strong!
While this considerable price increase for the Xbox Series X and Game Pass subscriptions has raised some eyebrows, it clearly indicates Microsoft’s intention to keep up with Sony’s aggressive pricing strategy for gaming consoles! It definitely doesn’t come as a shock within this competitive marketplace – after all, ever since its launch back in 2017, Xbox Game Pass’ price hasn’t really budged until now.
Do keep an eye out for when these subscription price hikes will affect your bill – likely around August or September! If you are based in the United States, though, your wallet can relax since Microsoft is keeping its current prices as is over there.
To stay on top of Microsoft’s new pricing announcements, please visit here.
Aiming for Market Parity
This may be seen as a slight setback, yet Microsoft finds it mandatory to strike the right balance in its market strategy. Managing the message for Xbox, Kari Perez told The Verge, “We’ve held on to our prices for consoles for many years and have adjusted the prices to reflect the competitive conditions in each market.” This move puts them on an equal footing with Sony, who had already tweaked PlayStation 5 console pricing last year in various markets.
Funnily enough, this marks the first prominent price hike since Xbox Game Pass was launched in 2017! Notwithstanding rising manufacturing costs coupled with distribution expenses for high-end gaming gear & services – both Microsoft and its rivals had primarily absorbed such financial bumps internally. That being said, recent changes serve as a sign of Microsoft’s updated strategy, bypassing some of these costs on to consumers as they adapt to current competition trends!
Now’s a great time to rethink your gaming budget with these impending changes! Despite higher costs, your favorite Xbox Series X console and Game Pass subscriptions still remain strong contenders offering you limitless interactive experiences.
The fast-growing global gaming industry may spring up new challenges every day; while not all gamers will appreciate this makeover — it surely showcases market dynamics!
We don’t know if there will be any future price U-turns soon. So if you’re deliberating over whether or not it is the perfect time to snag an Xbox Series X console or try out Game Pass service — now’s probably a good time before rates go up! To stay informed, head over to Microsoft Store.