Microsoft has officially launched its Xbox Developer Direct Sale 2026, a massive digital promotion timed to coincide with today's highly anticipated showcase. As fans prepare to see the future of Xbox with reveals for Fable and Forza Horizon 6, the Xbox Store is offering steep discounts on the franchises that paved the way. Live right now, this sale slashes prices on major first-party hits, offering the perfect opportunity to catch up on essential titles before the next wave of releases hits later this year.
Top First-Party Deals for January 2026
The headline offers for this year's Developer Direct sale focus heavily on Microsoft's most acclaimed studios. Leading the charge is Forza Horizon 5, which sees a rare 50% price cut, bringing the standard edition down to just $29.99. This is an ideal entry point for players looking to explore Mexico's open roads before Playground Games unveils their vision for Japan in Forza Horizon 6 later today.
Another standout deal is Double Fine's psychedelic masterpiece, Psychonauts 2. Currently available for 75% off ($14.99), this platformer remains one of the highest-rated games on the Series X platform. For those looking for narrative depth, Hellblade: Senua's Sacrifice is also discounted by 75%, dropping to a remarkably low $7.49—a steal for anyone wanting to experience Ninja Theory's audio-visual prowess.
Prepare for Fable with Legacy Discounts
With Fable being a centerpiece of today's 1pm ET / 10am PT broadcast, Microsoft has appropriately discounted the entire original trilogy to help fans revisit Albion. Fable Anniversary, Fable II, and Fable III are all currently marked down by 67%, available for just $6.59 each. These backward-compatible classics have been enhanced for modern consoles, offering boosted resolution and smoother frame rates that make them play better than ever on Xbox Series X.
Recent Hits and RPG Classics on Sale
The sale isn't limited to older titles; several significant 2025 releases have also received their first major price reductions. Ninja Gaiden 4, arguably the standout action game of last year, is currently 30% off ($48.99), marking its lowest price to date. Similarly, the magical realism adventure South of Midnight has received a 25% discount, making it a tempting pickup for those who missed its launch.
RPG fans have plenty to celebrate as well, with deep cuts on beloved classics that rarely see sales. Cult hits from the Xbox 360 era like Blue Dragon and Lost Odyssey are available for under $10 each. These titles, penned by Final Fantasy creator Hironobu Sakaguchi, offer dozens of hours of gameplay and are essential for any JRPG enthusiast's digital library.
What to Expect from Today's Showcase
This aggressive pricing strategy sets the stage for the Xbox Developer Direct 2026, streaming today at 10am PT. Microsoft has confirmed deep dives into three major titles: the rebooted Fable from Playground Games, the next evolution of racing in Forza Horizon 6, and Beast of Reincarnation, a new IP from Game Freak. Rumors also persist of a secret fourth game reveal, possibly a smaller-scale project that could shadow-drop immediately after the show.
The Developer Direct sale is scheduled to run through Monday, February 2, 2026, giving players just over a week to capitalize on these deals. Whether you are looking to complete your Fable collection or finally jump into the driver's seat of Forza, these offers represent some of the best value we've seen on the Xbox Store this winter.
