Updated
Updated · Eurogamer.net · Jul 20
Microsoft, Nintendo Raise Console Prices as AI-Driven Component Costs Climb Through 2027
Updated
Updated · Eurogamer.net · Jul 20

Microsoft, Nintendo Raise Console Prices as AI-Driven Component Costs Climb Through 2027

3 articles · Updated · Eurogamer.net · Jul 20

Summary

  • Microsoft will raise Xbox Series X/S prices on Aug. 1, while Nintendo plans a Switch 2 price increase from Sept. 1 as memory and storage costs keep rising.
  • Valve engineer Yazan Aldehayyat said retail pricing still lags bulk component markets by three to six months, signaling more consumer-electronics price pressure ahead.
  • Microsoft said RAM and storage—hit hardest by AI datacenter demand—could double in price again by autumn 2027, setting up the risk of further console hikes.
  • Valve already felt the squeeze with a Steam Machine starting at £879 ($1,049), and Sony has also raised PS5 prices several times, underscoring a broader industry-wide cost shift.

Insights

The AI boom is making your gadgets more expensive. Is there any end in sight?
Are tech giants secretly downgrading new phones and laptops to hide soaring costs?
As AI's hunger for memory grows, will the $1,000 gaming console become our new reality?