Xbox has announced price increases for its consoles and accessories, along with plans to raise game prices to $80 USD later this year. This news has sent shockwaves across the industry, with consequences that extend well beyond just third-party game costs—potentially affecting PlayStation console pricing too.
It's no exaggeration to say gaming is becoming more expensive than it's been since the 1990s. Microsoft confirmed that the entry-level Xbox Series S, with just over 500GB of storage, now costs $380 USD. That’s less than $20 cheaper than a PlayStation 5 Slim Digital Astro Bot bundle on the PlayStation Store. Meanwhile, the 2TB Xbox Series X is priced at $729—roughly $30 more than the PS5 Pro.
Xbox’s announcement comes shortly after Nintendo revealed the Switch 2, priced at $450, and a new $80 price point for select first-party titles like Mario Kart World. Nintendo, which previously charged $60 for new games, skipped the $70 price point adopted earlier this generation by Xbox and PlayStation (which itself sparked backlash) and went straight to $80. Now Xbox is set to follow this holiday as its first-party titles also reach that mark—and there's little reason to believe this is where the increases will stop.
Will PlayStation Games Also Jump to $80?
All eyes are on Sony to see if it will follow Nintendo and Xbox's lead—but it seems almost inevitable. Rising manufacturing expenses and tariffs from the ongoing US trade war are forcing Sony's hand. The company must adjust prices to keep up with current economic pressures.
Even if Sony is less impacted by tariffs than Microsoft—believed to be Xbox’s main reason for raising prices—Sony’s dominant position in the console market means leaving prices unchanged would mean leaving money on the table.
And beyond hardware, it’s even more likely Sony will raise the cost of its first-party PlayStation games. The company consistently emphasizes the premium quality and value of its exclusive lineup. Given their consistent critical and commercial success, Sony is unlikely to price its top-tier games lower than Xbox’s. So if Xbox adopts the $80 price point, Sony will likely do the same.
There’s precedent for Sony’s confidence in its first-party offerings. The company stood by its $70 price tag for Housemarque’s Returnal, despite fan criticism over the studio’s previous lower-priced digital releases. Considering the enormous costs of developing Sony’s biggest games, an $80 price feels almost unavoidable.
The Decline of Physical Games
Beyond increasing hardware and software prices, these changes reflect a broader industry push toward subscription services and digital-only distribution—and away from physical media.
Platform holders like PlayStation and Xbox earn higher margins from digital games and subscriptions than from physical copies or used game sales. That’s why both companies have heavily promoted services like PlayStation Plus and Xbox Game Pass. While Xbox Game Pass isn’t getting a price increase right now (after its mid-2024 hike), the upcoming $80 game prices could make subscription services look even more attractive to budget-conscious players.
As someone who values physical media, it's disheartening to see the industry steering users toward digital storefronts. Higher prices on physical games could accelerate the shift to an all-digital future faster than many expected.
What Does This Mean for GTA 6 and Other Publishers?
The floodgates are open. Even before trade tensions and the post-pandemic economic climate, the game industry faced shrinking profits and ballooning development costs. Analysts and insiders have long questioned whether current pricing was sustainable—and now we’re seeing the result.
With leading platform holders moving to raise prices, all eyes are on Grand Theft Auto 6 to signal whether this is a temporary shift or a lasting change. Releasing in 2026, GTA 6 could set a new benchmark for game pricing.
Initial speculation suggested GTA 6 might launch at $100. While that started as analyst conjecture, it quickly gained traction across the industry. With billions invested in development and more than a decade of work, publisher Take-Two will aim to maximize returns on what is arguably the most anticipated game of all time. Take-Two's CEO has previously stated that games are priced “very, very low” relative to the entertainment value they deliver.
When Rockstar finally announces the release date for Grand Theft Auto 6, I’m convinced it will cost at least $80. That doesn’t mean every game will follow—titles like Helldivers 2 and the recent Split Fiction have shown strong demand for more affordable experiences outside the AAA space. Many players are happy to wait for sales rather than buy at launch. Still, one thing is clear: prices are trending upward, and for many of us, that means being more selective about the games we buy and play.
