Take-Two Interactive CEO Defends Next-Gen Price Increase

The next generation of game consoles is on the way, but the PlayStation 5 and Xbox Series X / S just can’t bring better graphics and more advanced technology. New consoles with a $ 60 standard could potentially introduce a higher price for own games since 2005, presumably gone.

That’s not necessarily the case, according to Strauss Zelnick, CEO of Take-Two Interactive, who defended the idea of ​​an increase in the price of the next generation in an interview Make a contract.

“The bottom line is that we have not seen front-line price increases for nearly 15 years, and production costs have gone up from 200 to 300 percent. But more than the point that no one really cares what the cost of your production is, what consumers are able to do with the product has completely changed, ”said Zelnick.

“We distribute huge games for $ 60 or $ 70, as much as we gave $ 10 10 years ago. The opportunity to spend money online is completely optional, and is not a free-to-play title. It’s A complete, incredibly strong experience, even if you don’t spend another penny after your initial purchase. “

Take-Two was one of the first companies to state that it would charge more for the next generation of titles, the company announced back in July NBA 2K21 The current generation Xbox One and PlayStation 4 will cost $ 70 compared to $ 60 on the PlayStation 5 and Xbox Series X / S consoles.

The news was far removed from the community of customers who have grown accustomed to the $ 60 price point over the past decade and is the industry benchmark. Zelnick later commented that Take-Two would “announce pricing on a title by title”, but he reiterated the same point: the cost of the game today compared to the $ 60 price point being offered Far more.

Take-Two has already begun to show what some ideas of that title-by-title might look like, with which the company plans to offer a free, standalone version of its popular (and attractive). Grand theft auto online Game mode for PlayStation 5 customers next year.

Other companies, such as Ubisoft have chosen to punt over the issue, promising free upgrades and no price increases for cross-generation games.

Zelik is not wrong: as Polygon Note, the cost of games remains almost oddly unchanged, with prices decreasing over time in almost every other aspect of the economy (both entertainment-focused and otherwise). Adjusting for inflation, a $ 60 game in 2005 would cost more than $ 80 in 2020 – meaning a $ 70 price jump is also comparatively cheaper.

And faced with the prospect of the next generation of games – which promises to be much larger and most expensive than today’s current AAA titles – it’s hard to imagine a world where games cost money Is not Growth to make growth sustainable.