The Xbox Wireless Controller, which remains a staple for both console and PC gaming, now costs $65. The Xbox Elite Series 2 controller now starts at $150, up from $145. The official Xbox Wireless Headset will set you back $120, $10 more than before. Microsoft’s gaming hardware will see price hikes outside the U.S. as well.

Microsoft is raising the price of first-party video games to $80. The move comes as the company also increases the price of its console and peripherals. Hardware price increases are effective immediately.

A month after President Trump announced new tariffs on imports into the U.S., Microsoft is citing higher video game development costs for an increase in prices.

Microsoft's blowout results in the latest quarter calmed investor worries in an uncertain economy and lifted its shares 7% after hours.

Microsoft Corp. shares jumped after the company reported stronger-than-expected quarterly sales and profit growth, suggesting customer demand for cloud services has held steady despite a wave of tariffs and economic turbulence.

Microsoft reported earnings for its fiscal third quarter after Wednesday's closing bell. MarketWatch will be breaking down the results and expectations.