It’s Not Just Xbox Fans Paying More for Hardware, It’s Game Developers Too

How We Rate Rumors

• 0-20%: Unlikely – Lacks credible sources
• 21-40%: Questionable – Some concerns remain
• 41-60%: Plausible – Reasonable evidence
• 61-80%: Probable – Strong evidence
• 81-100%: Highly Likely – Multiple reliable sources

RUMOR ASSESSMENT: 90% Highly Likely

A new report from The Verge reveals that following the price hike of Xbox Series X/S consoles in the US (the second one in 2025), raising the price of Xbox Game Pass, and the release of a very expensive Xbox-branded, ASUS-made handheld, it’s not just the average Xbox fan and consumer who’s paying more for Xbox hardware. Game developers also have to pay more now for Xbox development kits.

Sources speaking to The Verge claim that the price for an Xbox development kit has jumped 33%, from its old $1,500 price tag to a new $2,000 USD price tag. Just like when Microsoft announced the price hike for Series X/S consoles, the increase “reflects macroeconomic developments.” However, unlike the recent price increase in the US for the Series X/S, this price hike applies globally to anyone looking to grab a development kit.

It’s important to note that development kit versions of consoles are inherently far more expensive than their consumer-facing counterparts. They come loaded with additional hardware and power designed to test various unfinished and unoptimized versions of games. This is before even considering the different suite of software options available to developers when testing their games for a commercial release.

That said, the initial $1,500 price tag was already expensive, but it was not unusual for development kits to cost at least four figures. The price of development kits is often difficult to pin down since such details are usually shared only under NDAs between game developers and manufacturers like Sony, Microsoft, and Nintendo.

What’s notable about this price increase is that it arrives at a time when Microsoft appears to have moved away from its reputation as “the home of the best deal in gaming” toward being “the most expensive deal in gaming.” This shift is evident not only in the cost of Xbox consoles and premium subscription services but also in the rising price of development kits. Like the Series X/S console price increase, the hike in development kit costs seems partly driven by tariffs imposed by the current United States administration.

Despite several major successes, the video game industry in the United States has faced challenges in recent years. Raising the barrier to entry for developers aiming to put their games on Xbox makes it seem like Microsoft is “catching flies with vinegar rather than honey.” Studios already worried about recouping development costs might hesitate to choose a platform that has become more expensive from the start.

Even considering that developers can technically convert any Series X/S console into a development kit by adjusting settings and paying a Microsoft fee, the significant hardware limitations between a consumer Series X and a dedicated development kit likely make this option unrealistic for many developers. The feasibility depends on the game type, but using consumer-grade Series consoles is not a reliable workaround to avoid this price increase.

Ultimately, this aligns with Microsoft’s new approach to position Xbox as the most expensive deal in gaming—whether you’re playing the games or making them.

https://wccftech.com/xbox-development-kits-price-hike-microsoft/

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