Costco has made headlines by announcing that it will cease the sale of Xbox consoles, referring to the cut as a ‘business decision.’ Although some retailers may still have current-generation Xbox systems available, they are actively working to sell off their remaining stock.

A composite image featuring a semi-transparent Costco Wholesale logo in front of side-by-side Xbox Series X and Series S consoles being engulfed by a water wave.

Following the late September 2025 decision to pull Xbox consoles from its online listings, the entire Xbox section has vanished from the Costco website without much public notice.

Costco Confirms the Xbox Clearout

In a statement to Destin Legarie from LA Times Studios (as reported by TheGamer), a representative from Costco confirmed the decision to clear Xbox hardware. The spokesperson explained that there are no intentions to stock Xbox consoles in the future and noted that the retailer will continue to offer products from both PlayStation and Switch, indicating satisfaction with these items in their gaming section.

Global Clearout

This strategy isn’t a unique move for Costco’s U.S. locations, as reports emerging from various sources indicate that other countries like New Zealand are witnessing similar actions regarding their Xbox inventory, with discounts reportedly reaching up to 50%. Moreover, the Xbox Series X and Series S have become unavailable on Costco UK’s website as well, highlighting a widespread initiative across all 11 countries where Costco operates.

A 2:1 aspect ratio composite image featuring an Xbox Game Pass gift card flanked by the Series X and Series S.

Impending Price Hikes

The inventory removal comes shortly after Microsoft announced an impending price increase on Xbox consoles, set to take effect on October 3, which is likely why Costco is clearing its shelves of Xbox products in light of the price hikes. Microsoft cited macroeconomic factors for this price escalation, attributing it to recent regulatory actions affecting business costs.