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The Xbox next-generation system could cost significantly more than the PlayStation 6 due to the Magnus APU and potential support for third-party stores that would deprive Microsoft of a 30% cut on every game sold.

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September 3, 2025
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The Xbox next-generation system could cost significantly more than the PlayStation 6 due to the Magnus APU and potential support for third-party stores that would deprive Microsoft of a 30% cut on every game sold.
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In a discussion on NeoGAF forums, AMD leaker Kepler L2 confirmed that the leaked AMD Magnus APU will power both the console and a line of gaming PCs. However, only the console will support backward compatibility with previous-generation Xbox games, mainly because publishers are not willing to allow an Xbox game license to be converted into a PC game license. Outside of a legal grey area involving potential dual-boot scenarios, Microsoft will likely have no way to make backward-compatible Xbox games run on PC.

The next-generation system is expected to support Steam and GOG games without significant legal issues, as these can technically be run inside a virtual machine. However, supporting third-party stores on the system may increase its price by around double, due to the need for profit without the 30% cut on every game sale, plus the added cost of the Magnus APU, which is reportedly large.

The higher price of the Xbox next-generation system, as speculated based on the AMD Magnus APU details leaked online, is becoming less surprising. This big APU with a chiplet design will provide Microsoft with flexibility to produce a wide range of systems that will likely compete with pre-built gaming PCs rather than other consoles like the PlayStation 6 and Nintendo Switch 2.

Meanwhile, Sony is reportedly developing a system aimed at delivering a 4K, 120 FPS capable console with significant ray tracing performance enhancements while keeping costs down. They are also working on a portable system that is expected to outperform both the Xbox ROG Ally X and even the base PlayStation 5 when games are patched to take full advantage of the console’s capabilities.

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