As the future of the gaming industry approaches, Capcom doesn’t know if it will increase next-generation game prices yet. Pricing for next-gen titles has been a hot issue for a long time, with consumers worried prices are going to skyrocket with the release of the PlayStation 5 and Xbox Series X. While most publishers have remained tight-lipped on the issue, Take-Two Interactive has already taken the first steps to increase game prices for the next generation with the $70 USD price tag it’s placing on NBA 2K21.
There hasn’t been a price hike in the gaming industry for many years. However, as technology advances, developing and distributing games, including post-launch support for them, has become more expensive for companies. Despite this, Xbox boss Phil Spencer claimed in July 2020 that gamers will decide next-gen game prices. Meanwhile, industry analysts have suggested jacking up game prices next generation is a huge risk.
In a recent quarterly Q&A, Capcom indicated it still doesn’t know whether it will increase next-gen game prices yet. When asked what its policy regarding pricing for next-generation titles is, the company replied, “We do not have a set policy at this time. We will consider our approach having analyzed both our strengths and weaknesses while closely monitoring industry trends.” So far, the industry trend has been to remain tight-lipped, apart from Take-Two Interactive. Capcom also discussed its increase in digital sales, setting a goal of 90% for its digital sales ratio.
Given the increase in the cost of developing video games, a potential price hike for next-generation titles shouldn’t come as a surprise. Companies need to profit to continue doing business, which is one of the primary purposes of any for-profit organization. If companies operate at a loss, they’ll eventually run out of funds to produce content, leaving their fans deprived of some of their favorite universes. Doing what’s popular isn’t always the same thing as doing what’s best, either for the business, the employees, consumers, or the industry as a whole.
That said, fans’ worries and frustrations are also understandable. Situations like this aren’t cut-and-dry, but financial strains often make it difficult for gamers to acquire their coveted titles – especially during pandemics. Just as companies can speak through their financial statements and their products, consumers can speak through their wallets. Masses of players not buying something because it’s too expensive – on a grand scale – will speak louder than any internet outrage. Hopefully, Capcom can find the right balance to remain profitable while also not alienating its audience.
