Third-largest retail chain delists Xbox products, stops selling Xbox games and consoles

US retailer Costco has delisted all Xbox products from its website and has removed Xbox consoles, games, and accessories from store shelves.

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Microsoft's gaming presence may be starting to be diminished at US retailers. Costco, the third-largest retail chain in the world, has removed all Xbox products from its website and its physical store locations. Right now, Costco only carries PlayStation and Nintendo products, which traditionally have sold better than Xbox.

While there's no official explanation from Costco, I've reached out to multiple customer service reps to no avail--no one seems to know what is happening. Searching for Xbox products on the Costco website nets zero results, however it's worth mentioning that competing warehouse retailers like BJ's and Sam's Club are both still selling Xbox consoles, games, accessories, and gift cards, albeit a very limited selection (BJ's is selling 17 different Xbox games, whereas Sam's Club is only selling 4).

It's unclear whether or not this is just a site error, but the removal of Xbox-branded content and products from physical stores feels like the biggest sign. The reality is that selling electronics at places like this takes some prognostication, or predictive abilities. Retailers like Costco spend millions to secure products like Xbox consoles and games, typically before the products are even released, so there's no way to tell how well the systems will sell. Over time, retailers will renew their supply based on immediate demand.

From the sound of it, Costco may have just cut their Xbox inventory for good because the products simply weren't selling.

Microsoft did just announce its second Xbox price hike of this year, leading to a generation where there's an $800 Xbox Series X console (granted it is the special edition 2TB version).

We've reached out to Costco for further clarification and will update coverage if a statement is provided.