Costco has confirmed it will no longer be carrying Xbox consoles, describing the move as "a business decision." While some outlets are reportedly still stocking current-generation Xbox systems as of this writing, all are already in the process of clearing existing inventory.
The Washington-based retail giant stopped selling Xbox consoles online in late September 2025. The entire Xbox section of the Costco website had disappeared as part of the move, which happened without any fanfare.
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Costco Confirms Pulling the Plug on Xbox Console Inventory
In a statement to LA Times Studios programming director Destin Legarie (via TheGamer), a Costco spokesperson confirmed the Xbox hardware clearout. The move was characterized as "a business decision," with the rep clarifying that there are no plans to carry Xbox consoles moving forward. The spokesperson added that Costco is currently offering both PlayStation and Switch products, suggesting the company considers them sufficient for its gaming inventory.
Costco's Xbox Clearout Is Global
The decision to drop Microsoft's gaming hardware is not exclusive to the retailer's stateside branch. Recent consumer reports suggest Costco New Zealand is also in the process of aggressively clearing out its Xbox inventory, with discounts reaching up to 50%. The Series X and Series S can also no longer be found on Costco UK's website. The retailer operates in 11 other countries, all of which appear to be in the process of clearing out their Xbox inventory as of late September 2025.
More Xbox Price Hikes Are Around the Corner
Costco's inventory clearout materialized within days of Microsoft announcing the second Xbox Series X/S price hike in five months. The move, set to go into effect on October 3, will see the entry-level Series S model (512GB) jump from $379.99 to $399.99, while the most affordable, all-digital Series X will go from $549.99 to $599. The 2TB Series X model and its Galaxy Black Special Edition counterpart, currently priced at $729.99, will become Microsoft's first-ever $800 consoles following the adjustment. Given the proximity of the two events, it's possible Costco's inventory clearance is a direct response to the price hikes, particularly if the retailer was already facing weak demand for Xbox products.
Microsoft cited "macroeconomic" factors as the chief reason for both the forthcoming price adjustment and the Xbox console price hike from May 2025. The comment is a reference to the recent moves from the current U.S. Administration, which has based its overall economic policy on aggressive tariffs, which many businesses have passed on to consumers.
- Brand
- Microsoft
- Original Release Date
- November 10, 2020
- Original MSRP (USD)
- $499
- Operating System
- Proprietary (Windows-based)
- Processor
- Custom AMD 8-core Zen 2 3.8 GHz
- Resolution
- 720p - 4K UHD