TECHNOLOGY

Microsoft may price its upcoming Xbox console between $1,200 and $1,800, with a handheld device set for release in 2027 and the main console in 2028.

Microsoft’s next-generation console, codenamed Project Helix, could launch with a price tag as high as $1,800, according to a report by Fortune. The company plans to release a handheld device first in the holiday season of 2027, followed by a full console release in late 2028.

The projected pricing of $1,200 to $1,800 reflects internal estimates at Microsoft and could potentially change if the company decides to subsidize the cost, as seen with previous console launches. This anticipated pricing, if accurate, would mark a significant increase from the current Xbox Series X, which has seen its price rise due to component shortages fueled by AI-driven market dynamics.

The internal debate at Microsoft over the operating system for the handheld has intensified, with disagreement between the Xbox and Windows teams. While the Windows team advocated for a modified version of Windows, the Xbox team preferred a bespoke operating system aimed specifically at gaming. Reports suggest that tension escalated to the point where an Xbox executive threatened to cancel the handheld project over the OS debate.

Industry insiders have expressed concerns that the high cost of the new console could deter consumers, particularly when competing with existing, more affordable options. The ongoing component shortages have already impacted pricing across the gaming industry, forcing major players such as Xbox, PlayStation, and Nintendo to increase their retail prices.

Microsoft has maintained that both hardware teams are working closely together, despite concerns over pricing and development challenges. The future of Xbox also includes potential changes to its Game Pass service, moving toward a tiered pricing structure for various gaming features.

As development continues, Microsoft is expected to issue developer kits for Project Helix in early 2027, setting the stage for the upcoming releases.

Sources

Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Readhis insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.