The Xbox section has apparently been removed from Costco's US and UK website:

https://www.thegamer.com/costco-removes-xbox-consoles-games-series-x-s-from-us-uk-websites/

Some retailers in Europe and other regions have been dropping support for a while, but this is one of the biggest retailers in Xbox's home turf.

Yeah, this is in line with what many of us have been saying for some time.

Got the Wal-Mart holiday catalog in the mail a few days ago and in the gaming section they just had a page for Nintendo & a page for PlayStation, Xbox was not featured.

I doubt Wal-Mart is dropping Xbox but it’s not a good sign when the biggest retailer in your biggest market ignores you in their holiday promotions.

If its dying in the UK and US.... its done.
Rest of the world, xbox is like crazy niche (like legit, that japanese meme kid, going "what's a xbox" level).
If you talk to non gamers, not everyone will even know what a xbox is.
While most would know, what playstation and nintendo are.

Edit:
I heard people say Sam's Club is dropping (going to drop) xbox as well? is that true?
When does this start to become a issue?

This is good because MS needs to position themselves more like Steam releasing their software (Windows) to hardware OEMs. They should also do like Steam and release their own gaming PC similar to SteamDeck. MS can call it Xbox lol, it'll just play PC games. MS needs to just work on building a Windows store like Steam has. Let Nintendo and PS carry the console gaming market. The PC market still has plenty of overlap with the console market because of all the shared 3rd party games between them. MS can compete with PS/Nintendo via their massive software ecosystem the same way Steam does.

Leave the console market MS, it isn't worth it and you can still take market share by converting some of the console consumers into gaming PC consumers. Give me an affordable, prebuilt gaming PC please.

Reminds me of going into game shops and Toys' R Us. You could not find a SEGA Saturn or the games on sale around 1997 anywhere, unless a smaller chain like in my local malls. Vita and Wii U went through this. However, Xbox raising the price so much is a new thing.

With its crazy prices and lagging sales, there's not much of a need at Costco for Xbox.
I think Xbox is safe at Walmart, GameStop, Best Buy, and Target for a while.
Kroger, Fred Meyer, Meijer, and similar chains in the US and UK will probably be phasing out Xbox. Though Costco is a warehouse store, it's still a massive retailer. If they're getting rid of Xbox for the foreseeable future, why should those regional chains I mentioned keep it?

Blame Satya Nadella, that AI loving cocksucker.

EB Games here in Australia have removed the Xbox section from their website, and people are reporting that their local outlets are removing their Xbox sections in store.

https://www.ebgames.com.au/

https://www.reddit.com/r/EBGAMES/comments/1nf3g6i/my_local_eb_games_removed_the_whole_xbox_section/

https://www.reddit.com/r/EBGAMES/comments/1noj64z/theyve_straight_up_removed_the_xbox_part_on_the/

I loved the original Xbox, and I loved the 360, as well. Many great memories playing Halo and gaming with family and friends. But when they went full Kinect mode, then full TV mode with the Xbone... sigh. The cracks began to show. Then this generation, they pretty much declared they are leaving the hardware business without saying so. So for me, it's over. Just another defunct brand. Just another memory.