Microsoft offers buyback for Xbox consoles

Microsoft has launched a program to buy back Xbox consoles from owners who have shifted to PC gaming. The company has contacted some U.S. users, offering to purchase their consoles through Best Buy, a retail partner, with compensation varying based on the console's condition and model.

Buyback values fall short of current prices

The buyback program offers up to $375 for a new Xbox Series X with accessories, $150 for a damaged model, and $200 for the smaller Series S. However, a new Xbox Series X currently retails for $799.99, meaning the offer is less than half the current market value, provided as a gift card.

Xbox faces supply shortages ahead of GTA 6

The initiative aims to alleviate a supply shortage for Xbox consoles, especially as GTA 6 prepares to launch on November 19. The shortage is partly due to increased demand for memory by data centers focused on AI and the natural decline of the current console generation.

Xbox Series X returns to French shelves

In France, the Xbox Series X is now available at Micromania for $799.99, including taxes, after previously being out of stock. This marks a return to shelves for the console in the country, where it had been difficult to find in stores.

Program seeks to improve financial performance

Beyond managing inventory, the buyback program aims to improve Microsoft’s financial performance by reactivating users who might then purchase games or subscribe to Xbox Game Pass. This aligns with the leadership of Asha Sharma, who took over as head of Xbox in February 2026.

Austerity measures in Xbox division

According to Fortune, the Xbox division’s profit margin remains around 3 percent, much lower than competitors. To improve profitability, Sharma has implemented austerity measures, including 1,868 job cuts out of 3,200 planned, and the closure or sale of several studios. Further layoffs are expected in October, November, and January 2026.

Microsoft plans new console and portable device

Microsoft is reportedly working on a portable console for late 2027 and a new home console, internally called Helix, expected in December 2028. The Helix is estimated to cost between $1,200 and $1,800, more than double the current Series X, though potential subsidies could lower the price.

Sony faces similar hardware costs

Sony is also dealing with rising material costs, with the RAM and SSD of a future PS6 expected to cost more than an entire PS5. However, some analysts believe the PS6 will remain less expensive than the Xbox Helix.

Upcoming results will show Xbox’s health

Microsoft’s upcoming quarterly results, expected by the end of October, will provide more insight into the performance and challenges of its Xbox division.