Microsoft internal email shows why Redmond forbade Xbox price hike for Series X|S for almost a year
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A Microsoft internal email reveals why the company didn’t want to raise Xbox Series X|S prices for almost a year after Sony raised the price of the PlayStation 5 back in 2022.
The email, as first highlighted by Tom Warren of The Verge, shows that Xbox CFO Tim Stuart notes that the Xbox team had anticipated Sony’s price increase and was moving quickly toward a plan.
Phil Spencer, the head of Xbox, said that he wanted the company to stay focused on gamers, even if it meant raising prices. Ami Silverman, who was then the head of Microsoft’s consumer sales and marketing, agreed with him.
Spencer also said that he purchased a PS5 in August 2022 and that the only option was the Horizon Forbidden West bundle at $549.
In August last year, Sony increased the price of PS5 in Europe, Middle East, Africa, Asia-Pacific, and Latin America regions due to the “global economic environment,” citing “high inflation rates” as the main problem.
“We’re seeing high global inflation rates, as well as adverse currency trends, impacting consumers and creating pressure on many industries,” Sony said in an announcement at that time. The green console finally hiked the price last month to match Sony’s price tag.
