Xbox X25 Scalpers Cash In As eBay Looks The Other Way
Microsoft's limited edition Xbox Series X25 sold out almost immediately after preorders opened August 27, sending buyers who missed out at retail straight into a familiar eBay feeding frenzy.
The $899.99 console is already being offered for two and three times retail price, with Gizmodo finding more than 80 eBay presale listings and completed sales above $2,500 within hours of the preorder launch. One seller was asking $5,000.
Kyle Barr
Many of the listings say the seller has a confirmed preorder, but the Xbox Series X25 console will not be released until November 13. That means sellers purchasing through normal retail channels cannot possibly meet eBay's 40 business day shipping requirement, whether their preorder with Microsoft, GameStop, Best Buy or another retailer is confirmed or not.
eBay expanded its presale policy from 30 calendar days to 40 business days in 2023, saying the change would give sellers more flexibility while still making sure transactions remained covered by marketplace protections.
Under the eBay Money Back Guarantee, buyers generally have 30 calendar days after the estimated delivery date to report an item that was not received.
One active Xbox X25 listing with a Buy It Now price of $2,500 gives buyers an estimated delivery window of September 1-9, while the seller says in the description that they don't expect to pick up the console from Microsoft until November 13 and will ship it to the buyer afterward.
Thirty days after eBay's latest estimated delivery date would be October 9, more than a month before the seller says they'll even have the console in hand. The seller also declares the sale "100% FINAL" and says it "WILL NOT BE CANCELLED OR REFUNDED AT ANYTIME FOR ANY REASON."
That language doesn't override the eBay Money Back Guarantee, but a buyer who sees the November 13 date and reasonably waits for the seller to receive the console could find themselves outside the Item Not Received claim window before that date even arrives.
Value Added Resource has covered buyers getting caught in that exact trap before, including cases where eBay initially refused refunds because too much time had passed even though the presale itself should never have been allowed under marketplace policy.
The FTC's Mail, Internet, or Telephone Order Merchandise Rule also requires online sellers to ship within the promised timeframe or obtain the buyer’s consent before delaying the order. But despite rampant presale violations on eBay going back years, there has been no meaningful FTC investigation or enforcement action to stop them, leaving buyers largely dependent on eBay to enforce its own rules.
Liz Morton
In 2021, eBay promoted a Funko Funkoween event filled with listings that exceeded its presale limits. The company acknowledged some sellers had circumvented the policy and removed the promotional page after Value Added Resource raised questions, but many of the violating listings continued to sell.
Liz Morton
eBay also made an exception to its own rules for an official MetaZoo Wilderness booster box presale in 2022, allowing purchases roughly 60 days before release while assuring buyers in that particular promotion they would remain covered if anything went wrong. Scalpers quickly piled in with their own MetaZoo presales, many outside the normal policy window.
Liz Morton
As Value Added Resource recently covered with questionable Pokémon 30th anniversary presales, eBay records GMV when a paid transaction occurs and does not later adjust that figure for returns or cancellations.
Liz Morton
That means an Xbox Series X25 sold for $2,500 on August 27 can contribute to eBay's third quarter GMV even though the console will not be released until the fourth quarter. If the seller loses their retail preorder, oversells the number of consoles they actually receive or simply fails to deliver and refunds the buyer months later, that cancellation does not reduce the GMV eBay already reported.
The same transaction may also generate final value and advertising fees, though some fees can be credited back if the sale is ultimately refunded. Removing noncompliant presales before buyers purchase them means those transactions never enter eBay's GMV in the first place.
eBay was apparently much more motivated to act this week after The Pokémon Company International complained about unreleased 30th anniversary Pokémon cards. Dexerto reported that eBay removed multiple on-hand listings and warned sellers that the merchandise could violate its stolen property policy unless they could document a legitimate source.
Zackerie Fairfax
A comparison between the stated release date, handling time and estimated delivery date should be enough to flag the most obvious cases and block them from being listed in the first place. eBay could also create a dedicated presale format that requires an official release date, blocks delivery estimates that precede it and prevents sellers from accepting orders that cannot be shipped within the permitted window. For higher-risk presales, it could hold funds until shipment.
Bottom line: eBay has plenty of ways to stop this. It just needs to put buyer protection ahead of the revenue and GMV bump and actually enforce its own policies.
