Microsoft has announced significant price increases for its Xbox Series X console and Xbox Game Pass subscriptions. Beginning August 1st, Xbox Series X prices will see a notable surge in most countries, aligning with Sony‘s price adjustments for the PS5. Additionally, starting July 6th, Xbox Game Pass and Xbox Game Pass Ultimate subscriptions will experience their first-ever price hike.

Microsoft’s decision to raise the prices of the Xbox Series X console mirrors Sony’s similar move last year. The Xbox Series X will retail for £479.99 in the UK, €549.99 across most European markets, CAD $649.99 in Canada, and AUD $799.99 in Australia. Notably, the prices in the US, Japan, Chile, Brazil, and Colombia will remain unchanged. Conversely, the Xbox Series S pricing will remain steady at $299.99 in all markets.

Microsoft acknowledges the impact of competitive conditions in each market and justifies the price increase to reflect those conditions. Kari Perez, head of communications for Xbox, affirms this stance, stating, “We’ve held on our prices for consoles for many years and have adjusted the prices to reflect the competitive conditions in each market.”

In addition to the console price hike, Microsoft plans to raise the monthly prices of Xbox Game Pass and Xbox Game Pass Ultimate subscriptions for the first time starting July 6th. The base Game Pass subscription for the console will move from $9.99 to $10.99 per month (this price won’t affect PC Game Pass), while Xbox Game Pass Ultimate will increase from $14.99 to $16.99 per month.

Phil Spencer, the head of Xbox, had previously hinted at potential changes to subscription pricing, indicating that the existing prices were not set in stone. By adjusting subscription costs, Microsoft aims to enhance the value proposition of its gaming services while keeping up with evolving market dynamics.

Existing Xbox Game Pass monthly subscribers will be shielded from the new prices until August 13th, except for those in Germany, whose subscription costs will increase on September 13th. New members, on the other hand, will experience the revised pricing immediately on July 6th. Users who subscribe to Xbox Game Pass using yearly codes will not be affected until they renew their subscription.

Although the majority of markets will witness Xbox Game Pass price increases, certain regions will remain unaffected. Game Pass console pricing will remain the same in Norway, Chile, Denmark, Switzerland, and Saudi Arabia. Microsoft aims to match local market conditions with these adjustments and emphasizes that the changes are not directly related to the company’s proposed acquisition of Activision Blizzard.

New Xbox Game Pass pricing