You’re staring at the screen and it’s just... frozen. Again. Or maybe you're finally upgrading to a Series X and need to wipe your old console before selling it on eBay. Whatever the reason, figuring out how to factory reset Xbox One consoles shouldn’t feel like trying to crack an Enigma code. It’s actually pretty straightforward, but there are a few "gotchas" that can really ruin your day if you aren't careful.
I’ve seen people accidentally wipe five years of Forza progress because they clicked the wrong button in a rush. Don't be that person. Honestly, the most important thing to realize is that a reset isn't always the "nuclear option" it sounds like. Sometimes, you just need a fresh start for the OS without nuking your 500GB install of Call of Duty.
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The Big Choice: Keeping Games vs. Wiping Everything
When you dive into the settings, Microsoft gives you two main paths. This is where most people hesitate. One option is "Reset and keep my games & apps." This is your best friend for troubleshooting. It refreshes the firmware and clears out corrupted system files but leaves your actual game data alone. It’s the "I think my Xbox has a virus or a weird glitch" button.
Then there’s the "Reset and remove everything" option. This is the scorched-earth policy. You use this when you’re selling the console or giving it to a cousin. It returns the box to the exact state it was in when it left the factory in 2013 (or whenever your specific model was made).
Why the "Keep Games" Option is a Lifesaver
If your dashboard is lagging or apps refuse to launch, try the "Keep Games & Apps" version first. It saves you dozens of hours of re-downloading. Since most Xbox One games are massive—we’re talking 80GB to 150GB—saving those files is a massive win for your data cap. Just remember that you’ll still need to log back into your Microsoft account afterward. Your saves are usually synced to the cloud anyway, so as long as you were connected to Xbox Network (formerly Live), your progress is safe.
The Step-by-Step Walkthrough
Let’s get into the actual menus. First, press the Xbox button on your controller. That’s the big glowing one in the middle.
- Navigate over to Profile & system.
- Open up Settings.
- Look for System on the left-hand sidebar.
- Click on Console info.
- Select Reset console.
This is the "point of no return" screen. You’ll see the three options: Reset and remove everything, Reset and keep my games & apps, and Cancel. Pick the one that fits your situation. If you’re selling it, go for the full wipe. If you’re just tired of the UI crashing, keep the games.
The console will restart. You’ll see a progress bar. Don’t touch it. Seriously, if you pull the power plug during a factory reset, you might end up with a very expensive, black plastic brick.
What if the Screen is Totally Black?
Sometimes you can’t even get to the settings. Your Xbox One might be stuck in a "black screen of death" loop or won't boot past the green logo. In this case, you have to use the hardware buttons. It feels a bit like a cheat code from the 90s.
First, turn off the console completely. Unplug the power cord for 30 seconds to be sure. Plug it back in. Now, you’re going to hold two buttons at once: the Bind button (the small one used to sync controllers) and the Eject button. While holding those, press the Xbox power button on the front of the console.
Keep holding Bind and Eject. You’ll hear a startup chime. Then, a few seconds later, a second chime. Once you hear that second "beep," let go. You should see a "Troubleshoot" menu on your TV. From here, you can select Reset this Xbox. This is the secret backdoor for when the software has completely given up the ghost.
A Quick Note for Xbox One S All-Digital Users
If you have the version with no disc drive, obviously you don't have an Eject button. In that case, you only need to hold the Bind button and then press the Xbox power button. The rest of the process is the same.
The Secret "Offline Update" Alternative
If the factory reset fails, you aren't necessarily out of luck. You can actually perform a reset using a USB flash drive. You'll need a PC and a drive with at least 6GB of space formatted to NTFS. You download the "Xbox Offline System Update" (OSU1) files from the official Microsoft support site.
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This is the ultimate "I give up" fix. It replaces the entire operating system from the USB drive. It’s a bit technical, but for a console that won't even load the Troubleshoot menu, it’s the only way to avoid a repair bill.
Moving Your Data Before the Big Wipe
If you are doing a full reset to sell the console, please, for the love of Master Chief, back up your captures. While your game saves live in the cloud, your screenshots and game clips might not be fully synced if you haven't set them to auto-upload.
I usually tell people to plug in an external hard drive and manually move their "Games & Apps" to the external storage first. That way, when you get your new console, you just plug the drive in and start playing immediately. No 24-hour download marathons.
Common Myths About Resetting
A lot of people think that a factory reset will delete their Xbox Live Gold or Game Pass subscription. It won't. Your subscriptions are tied to your Microsoft Account, not the hardware. Once you log into a new console (or the same one after a reset), all your digital rights and subscriptions come right back.
Another misconception is that resetting "cleans" the physical dust out or fixes a loud fan. It doesn't. If your Xbox sounds like a jet engine, a software reset isn't going to help. You probably need a can of compressed air or a new thermal paste application, which is a whole different project.
Dealing with "Home Xbox" Settings
If you're selling the console, there is one crucial step people forget: Deactivate as Home Xbox.
Go to Settings > General > Personalization > My home Xbox. If it says this is your home Xbox, remove it. If you don't, the person who buys your console might accidentally have access to your digital library, or you might find yourself unable to play your own games offline on your new machine. It's a small detail that saves a huge headache later.
Actionable Next Steps for a Clean Reset
If you've decided to pull the trigger and factory reset Xbox One, follow this checklist to ensure everything goes smoothly:
- Check your Cloud Saves: Ensure you were connected to the internet recently so your latest progress in games like Starfield or Elden Ring is backed up to Microsoft's servers.
- External Storage: If you have an external HDD or SSD, move your largest games there now. This prevents having to re-download hundreds of gigabytes.
- The "Home Xbox" Check: Unregister the console as your "Home Xbox" in the Personalization settings if you are parting ways with the hardware.
- Remove the Disc: It sounds stupid, but check the disc drive. You’d be surprised how many people ship a console with their favorite Blu-ray still inside.
- Account Removal: For maximum security, you can manually remove your profile from the console before hitting the final reset button, though a full wipe handles this anyway.
- Sync Your Controller: If you're keeping the console and just troubleshooting, keep a USB-to-micro-USB cable handy. Sometimes after a reset, the console "forgets" your wireless controller and you need to plug it in physically to get through the initial setup screens.
Once the reset finishes, the console will eventually land on the "Bring out the green" setup screen. If you see that, you're done. You can either turn it off for the next owner or start the fresh login process to see if your technical glitches are finally a thing of the past.