Next Xbox Targets 2028 Release and Could Cost Over US$1,000, Report Says
Microsoft's next Xbox could cost US$1,200 to US$1,800 and reach shops by the 2028 holiday season, according to a Fortune report published on 20 October 2026.
The machine, codenamed Project Helix, is expected to be joined by a next-generation handheld by the 2027 holiday season. That is a smaller, portable device for playing games on the go. Both dates and the price projection come from internal planning described in the report, not from a formal Microsoft launch announcement Fortune.
Microsoft confirmed at the Game Developers Conference in March that Project Helix will run both Xbox and PC games. The company said on 11 March 2026 that the console was deep in development, and described it as designed for leading performance. Developer kits, early versions of the hardware sent to game makers so they can build and test titles, are expected to go out starting in 2027 Video Games Chronicle.
The price tag is the shock. It is not final. Fortune reported the US$1,200 to US$1,800 range as an internal projection of what players might pay unless Microsoft subsidises the cost, meaning it sells the box below cost to keep the shelf price down.
Parts prices help explain the pressure. Memory-chip maker Micron warned on 2 October 2026 that shortages of RAM, the fast memory consoles use to run games, and a tight balance between supply and demand would continue into 2028. Microsoft has already raised prices for its current Xbox Series S and X consoles by up to US$150.
The report centres on Asha Sharma, who Microsoft chief executive Satya Nadella put in charge of Xbox in February 2026. She replaced Phil Spencer as chief executive of Xbox. Sharma had no past video games experience before taking the role, and now leads what Fortune described as a US$21 billion business spanning hardware, creative studios and thousands of game titles.
Since taking over, Sharma has cut thousands of roles and centred Xbox around its largest franchises and publishing groups, including Blizzard Entertainment. Fortune also reported an internal debate over software for the planned handheld, with Windows leaders favouring a trimmed-down version of Windows Home while Sharma's Xbox team wanted to build and control its own software for gaming performance.
Game Pass could change too. That is Xbox's subscription service, a monthly fee that gives access to a library of games. Fortune reported Microsoft is planning an overhaul that would let players pick features a la carte, with add-ons for cloud gaming, which streams games over the internet rather than running them on the machine, and for multiplayer.
For players, this means waiting. No launch date has been announced. No price has been announced. What is public is the direction: one powerful home console that bridges Xbox and PC, one portable to sit alongside it, and a subscription reshaped around choice rather than a single bundle.
