News Microsoft Mulls Hiking Price of Xbox Consoles and Games

[Admin]

Microsoft may have to increase the prices of consoles and games due to economic pressure.

Microsoft Mulls Hiking Price of Xbox Consoles and Games : Read more

 

[InvalidError]

Strange how the cost of memory, storage and other parts have dropped by 30-50% despite inflation since these things launched and they are only musing about jacking up prices now. Executives must feel like they have to sneak a price hike in there soon, before inflation levels out and customers won't buy the inflation excuse anymore.

 

[Giroro]

"$500 + $60/yr forever" is already pretty overpriced for a basic online-locked subscription-based ad-heavy Blu Ray player.
I don't think people will pay any more than that unless Microsoft has some super secret hidden plans to someday start developing games for their "Disney's ESPN+" Box.

 

[PlaneInTheSky]

I'm no market analyst, but I think if you price an Xbox Series X at $600+, you're going to lose a lot of potential buyers, especially in non-US regions.

Console prices were already hiked a lot this gen.

 

[SyCoREAPER]

There is a caveat to the $60 price tag you mentioned. Some games will NOT support free upgrades. One such upcoming example is Hogwarts Legacy.

The Regular Xbox version will not get you the Series-S and X version. You have to pay $70 for that "privilege".

 

[WrongRookie]

It will be interesting to see what Nintendo has to say about the Switch now as the console has entered it's 6th year already.

 

[Deleted member 14196]

It will be interesting to see what Nintendo has to say about the Switch now as the console has entered it's 6th year already.

Oh, don’t worry they’ll come out with a new Console and charge more for it

as for gaming I think I’m out. Can’t deal with these costs

 

[George³]

Strange how the cost of memory, storage and other parts have dropped by 30-50% despite inflation since these things launched and they are only musing about jacking up prices now. Executives must feel like they have to sneak a price hike in there soon, before inflation levels out and customers won't buy the inflation excuse anymore.

This is normal. These components are produced with lithography processes, which have not been at the bleeding edge position for a long time, but are maximally mature and with excellent yields, correspondingly fewer defects than at the beginning of production. Apart from that, the design costs are probably already paid for and it's a crime to keep charging them into the price of the consoles.

 

[bigdragon]

Corporate greed is out of control. I'd honestly like to see world governments start breaking up the biggest corporations and reigning in executive pay. Prices should be dropping at this point in the console lifecycle -- not increasing. We've allowed companies like Microsoft and Sony to grow too big.

 

[Tc17]

Microsoft may have to increase the prices of consoles and games due to economic pressure.

Microsoft Mulls Hiking Price of Xbox Consoles and Games : Read more

That's ridiculous. Hardware prices go down over time. The Series X has been out a couple years now. It's price should go down if anything. They always take a loss on consoles anyways, they can afford it now too. It's not what they make their money off of, unlike jacked up PC hardware.

Any talk of jacking up any prices, including gamepass or games costs will get a LOT of backlash from the public. I guarantee it. It's plain greed. Microsoft is already making billions in profit just from gamepass alone.

 

[mitch074]

Don't confuse customer prices with factory prices - the former are strongly influenced by intermediary commissions and supplies vs demand, the latter are planned a long time in advance and get their variations with a large delay - current factory prices are now hit by last year's prices...

 

[Spectrexr1]

Strange how the cost of memory, storage and other parts have dropped by 30-50% despite inflation since these things launched and they are only musing about jacking up prices now. Executives must feel like they have to sneak a price hike in there soon, before inflation levels out and customers won't buy the inflation excuse anymore.

That's not what he said bro I saw the whole interview. He said some time in the future they might have to increase price on some things. That's exactly what he said. He didn't say what they would increase the price on or when. So this title is a lie.

 

[Spectrexr1]

That's ridiculous. Hardware prices go down over time. The Series X has been out a couple years now. It's price should go down if anything. They always take a loss on consoles anyways, they can afford it now too. It's not what they make their money off of, unlike jacked up PC hardware.

Any talk of jacking up any prices, including gamepass or games costs will get a LOT of backlash from the public. I guarantee it. It's plain greed. Microsoft is already making billions in profit just from gamepass alone.

That's not what he said. I saw the whole interview. He didn't mention console prices or anything. He said in the future they might have to raise prices on " certain things ". He didn't say when or what. So for him to say they thinking of raising console prices is false

 

[Co BIY]

Don't confuse customer prices with factory prices - the former are strongly influenced by intermediary commissions and supplies vs demand, the latter are planned a long time in advance and get their variations with a large delay - current factory prices are now hit by last year's prices...

Just because the BOM was paid for in the past when prices were lower doesn't mean a company will or should sell it for less than it would be priced if build with today's input prices.

Prices are among other things information and signals. To ignore those signals is foolish.

In an extreme case a company that ignores the rise in input prices and sells current inventory at an outdated price might not be able purchase the inputs needed for the next tranche of production.

Inflation isn't the fault of the companies raising prices. It is our money that has been devalued and we have chosen to devalue it. The monetary policy choices that are most relevant have been made over decades in the most democratic and free countries in the world.