Next-Gen Xbox Could Cost $1,800 Without Subsidies

Project Helix and the end of console subsidies

For decades, the console industry followed an ironclad economic model: platform holders swallowed big manufacturing losses on boxes at launch, banking on game sales and service subscriptions to balance the ledger. Microsoft might walk away from that tradition entirely.

According to a report from Fortune, Microsoft is projecting that its next-generation home console—internally codenamed Project Helix—could cost consumers between $1,200 and $1,800 unless the company steps in with major hardware subsidies. While premium silicon has made living-room hardware expensive across the board, matching early reports that the PlayStation 6 price may top $1,000, an $1,800 sticker price moves the Xbox out of mass-market territory and straight into boutique gaming PC pricing.

The shift points to a broader transformation under Xbox CEO Asha Sharma, who has described Project Helix as a "family of devices" rather than a single standardized box under your television.

Xbox Project Helix: expected launch window, chips and price

Handheld in 2027, flagship console in 2028

The flagship living-room system is not arriving anytime soon. Microsoft is reportedly pacing its release across two consecutive holiday cycles, putting portable hardware first.

A next-generation Xbox handheld is scheduled to launch for the holiday 2027 window, serving as the opening salvo for the Helix lineup. It remains unclear whether Microsoft will manufacture the handheld in-house or partner with an established original design manufacturer, following its prior collaboration with Asus on modified Windows handhelds. Both the handheld and the 2028 console will rely on AMD silicon under a multi-year partnership signed to develop custom chips.

Behind the scenes, the project has also revived internal friction between Microsoft's Windows and Xbox teams over software architecture. The Xbox division has reportedly secured primary control over the Helix operating system, avoiding the standard desktop compromises that often hamper dedicated gaming hardware.

Availability and pricing

The Project Helix console family is slated for a worldwide holiday rollout, starting with the handheld in late 2027 and the living-room console in late 2028. Final consumer pricing remains unconfirmed, as Microsoft has not decided whether it will absorb manufacturing expenses or pass the full $1,200 to $1,800 bill onto buyers in North America and Europe.