New York, May 2 (AP) As new tariffs continue to strain global supply chains, some gamers are already feeling price hikes.

Microsoft raised recommended retailer pricing for its Xbox consoles and controllers around the world this week. Its Xbox Series S, for example, now starts at USD 379.99 in the US — up USD 80 from the USD 299.99 price tag that debuted in 2020. And its more powerful Xbox Series X will be USD 599.99 going forward, a USD 100 jump from its previous USD 499.99 listing.

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“We understand that these changes are challenging," Microsoft wrote in an Xbox support update on Thursday. The tech giant didn't mention tariffs specifically, but cited wider “market conditions and the rising cost of development.”

The Associated Press reached out to Microsoft for further details Friday morning.

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Beyond the US, Microsoft also laid out Xbox price adjustments for Europe, the UK and Australia. The company said all other countries would also receive updates locally.

Some Xbox accessories, including wireless controllers, are impacted too — as well as headsets in the US and Canada. And further down the road, Microsoft said it also expects to make some of its new, first-party games more expensive this holiday season — with a price tag of USD 79.99.

The price hikes arrive during a turbulent and uncertain time for the gaming industry, largely due to new tariffs implemented by US President Donald Trump — and responding retaliation from targeted countries, notably China. Economists have warned that the steeper levies will result in higher prices on a range of consumer goods relying on a global supply chain today, including electronics.

And Xbox players aren't the first gamers to feel impacts amid these ongoing trade wars. Last month, Sony, for example, raised its recommended retail pricing for PlayStation 5 consoles in select markets — including countries in Europe, the Middle East and Africa, as well as Australia and New Zealand. At the time, the company cited “a challenging economic environment, including high inflation and fluctuating exchange rates.”

Preorders for Nintendo's highly-anticipated Switch 2 were also delayed in April as retailers assessed the potential impact of tariffs. Nintendo later confirmed that some Switch 2 accessories would see price adjustments — but maintained that its previously-announced baseline price for the console, USD 449.99, would remain the same.

The starting USD 449.99 price for the Switch 2 is significantly higher than the original Switch's USD 299 price tag. And while new bells and whistles may account for a sizable portion of that hike, experts have previously noted that new import taxes are also a contributor.

While companies across industries have already shared weaker or cloudy outlooks amid tariff uncertainty, larger impacts on their bottom lines may not be seen until farther down the road. The Xbox price hikes were announced just one day after Microsoft posted a strong earnings report.

For the January-March quarter, the Redmond, Washington-based company raked in USD 70.07 billion in revenue, with a net income of $25.8 billion. Microsoft also saw a 6 per cent increase for revenue in its personal computing unit, which includes its laptop business and Xbox services. But that was before many of Trump's latest tariffs took effect. (AP)

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