Microsoft (MSFT) is raising the price of the Xbox 512 GB console by $100 and the Xbox 1 TB model by $150, effective Aug. 1.

"Unfortunately, console storage and memory prices have increased by more than 2.5x and we expect another doubling by the fall of 2027," Microsoft said Thursday in a statement.

The company is sunsetting the 2 TB model and introducing programs to make consoles more affordable, including buy-now, pay-later options, interest-free financing and certified refurbished models.

Price: 351.01, Change: -14.44, Percent Change: -3.95