Microsoft's Next Xbox Rumored to Cost Around $1,000

The upcoming Xbox console is reportedly aiming for a more premium experience with PC-like capabilities.

Published on Feb. 9, 2026

Recent reports suggest that Microsoft's next-generation Xbox console could carry a hefty price tag of around $1,000. The device is said to be pushing for a more premium experience, potentially offering PC-like capabilities and versatility through an Xbox-forward version of Windows 11. While exact details remain scarce, the high price is attributed to continued increases in component costs, particularly for RAM. Microsoft is reportedly considering supporting third-party game stores like Steam and Epic Games Store, further blurring the lines between consoles and PCs.

Why it matters

If the next Xbox does indeed carry a $1,000 price tag, it could be a major barrier for many consumers, potentially limiting the console's mainstream appeal. However, the move towards a more PC-like experience could also open up new opportunities for Microsoft, allowing the company to cater to a different segment of the gaming market that values performance and versatility over a traditional console experience.

The details

The next-gen Xbox is reportedly being developed with the goal of providing a console-like ease of use combined with the greater versatility of a PC. This could involve supporting third-party game stores and leveraging Microsoft's Windows 11 operating system as the foundation. The high price tag is attributed to the continued rise in component costs, particularly for RAM, which is expected to impact the overall cost of the device.

  • Microsoft's gaming division is currently working on the next Xbox console.
  • AMD CEO Lisa Su recently suggested the next-gen Xbox could launch in 2027, but this is not a strict deadline.
  • The ROG Xbox Ally handheld may provide a glimpse into Microsoft's future hardware plans.

The players

Microsoft

The tech giant behind the Xbox gaming console and Windows operating system.

AMD

The semiconductor company providing the chips for Microsoft's next-gen Xbox console.

Lisa Su

The CEO of AMD, who recently made comments suggesting the next-gen Xbox could launch in 2027.

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What they’re saying

“The next-gen Xbox is pushing for a more premium experience.”

— Windows Central (Windows Central)

What’s next

Microsoft is expected to continue supporting the current Xbox Series X/S consoles, even as the company develops its next-generation hardware. The company's plans for the future of Xbox hardware remain fluid, with the possibility of more premium and affordable options in the works.

The takeaway

Microsoft's next-generation Xbox console is shaping up to be a significant departure from traditional console experiences, potentially offering a more PC-like approach with higher performance and versatility. However, the rumored $1,000 price tag could be a major hurdle for many consumers, highlighting the balancing act Microsoft faces in delivering a premium gaming experience while maintaining broad market appeal.