Former Microsoft VP Criticizes Second Xbox price Increase
REDMOND, WA – September 26, 2023 – microsoft is raising prices on its xbox Series X and Series S consoles in teh US starting October 3, marking the second price hike this year. While the company attributes the increase to “changes in the macroeconomic environment,” a former Microsoft executive publicly disputes this reasoning, claiming the issue stems from unsatisfactory profits.
The price adjustments will see the Xbox Series X increase from $600 to $650, the Xbox Series S jump from $380 to $400, and the Galaxy Black Special Edition rise from $730 to $800. The initial price increase occurred in May, which Microsoft justified due to tariffs.
Mike Ybarra, former corporate vice president of Microsoft’s gaming division, took to X (formerly Twitter) to voice his disagreement. “And the reason why profits are not where they should be is a far,far deeper issue vs. the tariff excuse,” ybarra posted on September 20.
He further clarified that while the may increase was justifiable due to tariffs, the current hike points to a different underlying problem. Ybarra suggests the company is asking consumers to absorb the cost of a console and ecosystem strategy that has led to declining demand.
Consumers looking to purchase an Xbox Series console at the current price have until October 2 before the new prices take affect across all retailers.
