The next Xbox may cost as much as $1,800. On October 20, 2026, Fortune tech correspondent Sebastian Herrera reported that Microsoft internally projects the price of its next-generation console, codenamed Project Helix, at "between $1,200 and $1,800, unless Microsoft decides to subsidize the cost," with a launch before the 2028 holidays. The report also covers a 2027 handheld, a Game Pass overhaul and a fight between the Xbox and Windows teams.
Microsoft has confirmed none of those numbers. This post separates what is reported from what the company has actually said, so you can tell a leak from a price tag. For earlier context on where Xbox's subscription business is heading, see our look at Xbox Cloud Gaming hour caps, and for the human cost of the restructuring, our coverage of the Xbox layoffs and union protest.
TL;DR: Project Helix claimed vs confirmed
| Question | Reported or confirmed? | Answer |
|---|---|---|
| Does Project Helix exist? | Confirmed | Xbox announced it in March 2026, built with AMD, to play Xbox and PC games |
| What will it cost? | Reported | $1,200 to $1,800, unless subsidized (Fortune) |
| When does it launch? | Reported | Before holiday 2028 (Fortune); Microsoft has no date |
| Is a new handheld coming? | Reported | Holiday 2027 target, but internally contested |
| Is Game Pass going a la carte? | Reported | Under consideration, no details confirmed |
| Has Microsoft commented on this price? | Not in the sources we read | No official price or date exists |
| How much is a Series X now? | Confirmed | $799.99 in the US after an August increase |
What exactly does the Fortune report claim?
The reporter's own summary of his scoops, posted on X and embedded by Dexerto, lists several claims, including that Xbox is planning "a major overhaul of Game Pass that would have players choose features à la carte, including add-ons for console-only games, cloud gaming, and multiplayer," and that "Xbox and Windows teams have clashed over the OS for the next-gen."
Polygon fills in the rest. In its summary of the Fortune story:
- Microsoft's internal price projection is $1,200 to $1,800 "unless Microsoft decides to subsidize the cost."
- Project Helix would launch "sometime before the holidays in 2028, later than previously expected."
- A next-generation Xbox handheld would arrive by the 2027 holiday season, described as "essentially an early version of what the next Xbox is going to be like."
- The Windows team reportedly wants the handheld to run "a trimmed-down version of Windows Home," while Xbox CEO Asha Sharma's team wants to "build and control its own software." The dispute reportedly got so heated that Xbox leadership threatened to kill the handheld.
We could not load the Fortune article itself, so everything here is as relayed by Polygon and Dexerto. Anonymous or internal-projection reporting should always be read as a snapshot, not a plan.
What has Microsoft actually confirmed?
Less than the headlines imply. Xbox officially announced Project Helix in March 2026, describing a next-generation console developed with AMD that plays both Xbox and PC games. Polygon notes Microsoft positioned it as a "very premium, very high end" device akin to a powerful gaming PC. There is no retail price and no launch date from Microsoft.
On pricing context, Dexerto reports the Series X now costs $799.99 in the US after August increases: 512GB models went up $100, 1TB models up $150, and the 2TB version was discontinued. Microsoft attributed the rises to memory and storage costs that had increased more than 2.5 times and "could double again by fall 2027."
That backdrop explains why a high number is plausible without proving it. A projection that includes unsubsidized memory prices is not the same as the price Microsoft will print on a box two years from now.
How does this compare with earlier Helix price rumors?
Earlier estimates were lower. VGC covered a report earlier this year that Project Helix could cost $999 to $1,200, which was based on the analyst-leaker Moore's Law is Dead's reasoning about GPU costs, not a Microsoft number. The Fortune range sits higher and attributes itself to Microsoft's internal projection.
Two differently sourced leaks pointing the same direction is a signal that the number is high. It is not a signal of the final price. Consoles are often sold at a loss and recouped on software and subscriptions, which is the subsidy lever the Fortune piece itself mentions.
Why would Xbox price a console like a gaming PC?
The reporting gives three pressures:
- Component costs. Memory and storage prices have surged, and Microsoft has said so publicly.
- Positioning. Helix is pitched as a PC-class machine that runs your Xbox and PC games, so the comparison is a gaming PC, not a $500 console.
- A weak hardware business. Dexerto reports that, per Fortune, current Xbox consoles have sold just over one-third as many units as the PS5, and the division's profit margin is around 3%. That leaves little room to absorb a loss on each unit.
Polygon compares the top of the range to "twice the current price of a PlayStation 5 Pro." That is useful framing for readers, but it also shows the risk: a console far above its rival is hard to sell on hardware alone, which is presumably why the report talks so much about Game Pass and the handheld.
What does this mean for the Xbox reset and job cuts?
The same story feeds the larger restructuring. Polygon says Xbox is in the middle of a so-called "reset" that includes thousands of layoffs, a reworked studio structure, and new initiatives like Xbox XP and Xbox Labs, with further layoffs expected in the coming months.
None of this tells you what to buy. It does tell you Microsoft is reshaping both hardware and subscriptions at the same time, and that the next two years of Xbox will look different from the last ten. Our earlier look at Xbox bringing original Xbox backward compatibility to PC shows the same direction of travel: games move toward PC, and the console becomes one way in among several.
What could change before 2028?
Plenty, and that is the main reason to hold the $1,800 figure loosely. The report itself says the range assumes no subsidy, so a decision to eat part of the cost could drop the shelf price by hundreds of dollars. Memory prices, which Microsoft has publicly blamed for its own price increases, could ease or worsen. The launch window has already moved once, according to Fortune, which describes 2028 as later than previously expected.
The handheld dispute is the other open question. If the Xbox and Windows teams settle on a Windows-based design, a 2027 device is easier to ship. If the project is cancelled, as leadership reportedly threatened, the lineup Microsoft eventually shows could look very different from what this leak describes. Either way, a projection made roughly two years before launch is a starting point for questions, not a budget line.
What should you do now?
- Do not preorder or save for a rumored price. Nothing is on sale, nothing is confirmed.
- Buy for the library you play today. If you want an Xbox for upcoming games, decide on the current $799.99 Series X economics, not on 2028 speculation.
- Watch for an Xbox Wire post or a Microsoft earnings call. Those are where a real price or date would appear.
- Check your Game Pass tier before any à la carte change. If features were unbundled, the plan you pay for today could look different. No such change is announced.
- Weigh official statements over leaks. Anything Sharma or Xbox says on the record is more informative than another anonymous projection.
Other game news today
Helldivers 2 moves to Easy Anti-Cheat. Arrowhead switched the co-op shooter from GameGuard on October 20 and warned that some mods will break, which also drew a heap of negative Steam reviews. We have the full breakdown.
Shrek 2 Remastered launches November 10. Aspyr's remaster of the 2004 platformer comes to Switch, Switch 2, PS5, PC and Xbox Series X with 4K visuals and, new for this version, up to four-player online co-op (Polygon).
Cyberpunk 2077 gets a free update on October 22. CD Projekt Red says the update arrives on PC, PS5 and Xbox Series S/X, with a Switch 2 version following, and adds content inspired by Edgerunners 2. A livestream on October 21 will show what is in it (Eurogamer).
EA says Fight Night is coming back. The publisher opened social accounts for the long-dormant boxing series and posted that "Fight Night is coming back." IGN notes that no developer, platform or window was given (IGN).
Related reading
- Xbox Cloud Gaming hour caps from November 2026
- Xbox layoffs, Save Our Devs and the union protest
- Xbox original backward compatibility comes to PC
- The PlayStation disc ban story: Sony and physical discs in 2028
- Steam hits 43.5 million concurrent users
- Polygon on the Project Helix price report
- Dexerto on the Fortune report
- VGC on the earlier $999 to $1,200 estimate
Facts in this post are accurate as of October 21, 2026. Prices, dates and plans in leaks change quickly, so check Xbox Wire for anything official.