Microsoft’s next-generation Xbox could come with a price tag much closer to a high-end gaming PC than a traditional console. A new report from Fortune cites claims that Project Helix, Microsoft’s upcoming Xbox console-PC hybrid, “has internally been projected” to cost somewhere between $1,200 and $1,800 without subsidization.

Although the figures reportedly come from Microsoft’s internal projections, they could still change significantly before the hardware reaches consumers. It seems likely that Microsoft will subsidize part of the cost, as console manufacturers have traditionally done so to keep hardware prices lower and recover money through games, subscriptions (like Xbox Game Pass), and other services.

Next-gen consoles may cost you four figures

Even the lower end of the reported range would make Project Helix significantly more expensive than what Xbox players are used to paying for a new console. At $1,800, it would move firmly into powerful gaming PC territory. Analysts have already warned that next-gen high-end consoles (PlayStation 6 and Project Helix) could face a huge sales drop if they end up costing four figures.

However, Microsoft doesn’t appear to be designing Project Helix as a conventional Xbox. The company has previously described its next-generation hardware as a “very premium, very high-end” device, while also confirming that the system will be capable of playing both Xbox and PC games. The Xbox Ally handhelds released in 2025 have reportedly provided an early look at the direction Microsoft wants to take with its future hardware. The recent Xbox Ally X20 model launched for $1,299.99 alone.

The price estimate also comes at a difficult time for gaming hardware. Memory and other PC components have become more expensive amid growing demand from the AI industry, putting additional pressure on hardware manufacturers. Existing consoles have also been hit by price increases rather than following the traditional pattern of becoming cheaper several years after launch.

With Project Helix still reportedly around two years away, those component prices could play a major role in determining what Microsoft eventually charges. Nothing is confirmed yet, but the console is currently expected to arrive before the 2028 holiday season, meaning there is still plenty of time for hardware costs, specifications, and Microsoft’s pricing strategy to change.

About the Author

Abdul Haddi

Abdul is a tech writer and Editor for PC Guide, specializing in all things tech, gaming, and hardware.