For the holidays, Microsoft is reducing the cost of its Xbox Series S console to $249.99. The new discounted pricing is effective right now and comes with special packaging with a Christmas theme. It’s one of several Black Friday offers from Microsoft, including up to $300 off the new Surface Laptop 5, $200 off specific Surface Pro 9 models, and up to 67 percent discount Xbox digital games.

In addition, there is an Xbox Series S Christmas bundle that is popular over the season. With retailers like Walmart, Best Buy, and Amazon selling stock, that one was also offered for $239.99, though stock has been irregularly coming in and out since it was first released. See our Xbox Series S price and bundles guide for further comparisons and to get the best offers for February 2023.

In a recent Decoder podcast, Microsoft Gaming CEO Phil Spencer made a suggestion about holiday discounts for the Xbox Series S. You might see some price reductions around the holidays, Spencer said. The Xbox Series S’s sale price of $249.99 is not expected to last very long, though.

The larger, more potent Xbox Series X will continue to sell for $499, despite a brief price reduction for the Xbox Series S. In contrast to Sony, Microsoft is offering a Christmas discount on the Xbox Series S. Sony is Microsoft’s biggest competition. Just a few months ago, Sony raised the PS5’s pricing in Europe, Japan, and other territories. The price of the PS5 has increased by 10% in Europe, 12.5 percent in Japan, and about 6% in the UK. Sony attributes this to high inflation and unfavourable currency trends. Yet, there has been no adjustment to the PS5’s price in the US.

Spencer hinted that maintaining pricing on subscriptions, games, and consoles might not last long beyond the holidays, despite his original declaration that Microsoft will not increase Xbox prices in reaction to the global economy and Sony’s price increases. During a recent Wall Street Journal tech conference, Spencer admitted that he didn’t think they would able to do that forever. Although they believed it is crucial to keep our current prices going into the holiday, he also believes they will eventually need to raise some of the costs on some items.