Microsoft’s next generation of Xbox hardware could be its most expensive yet. A wide-ranging Fortune profile of Xbox CEO Asha Sharma, published Tuesday, October 20, reports that the company’s internal estimates put its next-gen Project Helix console somewhere between $1,200 and $1,800.
Microsoft has not announced pricing or dates, and the report says plans could still change. But it offers the clearest picture yet of how the company is approaching its next hardware cycle.
Two devices, two years
Sharma has previously described Helix as a family of devices, and Fortune’s reporting says that family will include two pieces of hardware: a handheld and a traditional console that sits under the TV. According to the report, the handheld is targeted for holiday 2027, with the home console following in holiday 2028.
The price range is reportedly what Microsoft expects consumers would pay if the hardware is not subsidized, rather than a bill of materials. As Eurogamer points out, that would be a steep jump from today’s prices. After several increases tied to the memory and storage shortage, the Xbox Series X now sells for $800 and the Series S for $500. A $1,200 Helix would be a 50 percent increase over the current Series X.
Windows versus Xbox
Fortune also describes an internal disagreement over what software the Helix handheld should run. The Windows team reportedly wanted a slimmed-down version of Windows, while the Xbox team pushed for dedicated software tuned for gaming performance. The dispute reportedly became heated enough that an Xbox executive threatened to end the handheld project.
More layoffs reported
The same report says Xbox plans three more rounds of layoffs, the first as early as this month, followed by rounds in November and January 2027, according to people familiar with the plans. That would continue the cost-cutting that has already reshaped the division this year.
Sharma has been moving quickly since taking over, from studio consolidation to new internal groups such as the Xbox Labs team exploring AI-era ports and remixes. Whether players will follow Xbox into a console generation priced like a high-end gaming PC is the question hanging over all of it. Until Microsoft shares official details, these numbers should be treated as internal targets, not a final price.
