Prices are going up everywhere, from necessities like food to escapism like video games. For example, Sony’s PlayStation and Microsoft’s Xbox are retailing for $650 to $900, plus the cost of games. These steep price tags, coupled with stagnant wages, have some old-school gamers arguing it has become a luxury hobby.
And it looks like Xbox’s new CEO, Asha Sharma, agrees.
In a leaked memo obtained by The Verge, Sharma specifically goes after Game Pass. Which makes sense given that the subscription service is in hot water with fans due to raising its price 2 years in a row.
“Short term, Game Pass has become too expensive for players, so we need a better value equation,” Sharma wrote in the memo. “Long term, we will evolve Game Pass into a more flexible system which will take time to test and learn around.”
The Trouble With Game Pass
The Game Pass’ latest price hike was justified by the inclusion of Fortnite Crew and Ubisoft Classics. Many subscribers didn’t feel like it was worth it. Microsoft does not publicly reveal its Game Pass subscriber numbers. Even if a small percentage of the people online threatening to cancel their subscription followed through, it would really hurt the company. So, hopefully, this signals a search for a more collaborative solution.
Xbox is far from the only gaming company trying new things to bring customers back into the fold, or to make more money. Sony is trying dynamic pricing on PS5 with customized game discounts. Last month, Nintendo announced it would be selling first-party games at a lower price point than physical versions. Once again, using digital versions over physical to cut costs, which presents a completely different set of issues, like preservation and licensing. Also, Epic, the publisher behind the popular game Fortnite, increased the cost of in-game currency known as V-Bucks
Maybe Sharma and the Xbox team will figure out a happy medium between affordable gaming and keeping profits up. We’re not sure what that will look like, but all we know is the current system is unsustainable.
We’ll keep you posted on updates about the possible changes coming to Game Pass as this situation develops.
