How Much Will Next-Gen Games Cost?
It remains a hot topic everywhere: the next generation of consoles.
And while hardware price is always a major issue, we also can't forget about the all-important cost of software.
Many think $60 is too much for games this generation (which I don't agree with at all), but the overall cost of development is ever on the rise.
Historically, games on the PlayStation side have gone up $10 with each new generation. During the PS1 era, new games were $40; for the PS2, they were $50, and now for the PS3, they're $60. So is it safe to assume that PS4 games will be $70? Is that properly taking into account inflation and the rising cost of game creation, from the drawing board to the production line? And how much are gamers ultimately willing to spend on a routine basis?
The other question involves shifting formats; from physical to digital. A lot of people think digital copies of games should be cheaper than their physical counterparts, as it costs the publisher less (theoretically). However, we haven't really seen that yet; might we see it in the new generation? Maybe that will accelerate the death of game discs. If a new title launches simultaneously on store shelves and on the PSN, for instance, what if the digital copy is $10 cheaper? Then what? Will that drastically increase sales of one version over the other?
I'm a little tired of all the complainers, who clearly weren't around when SNES cartridges cost $50-$70 nearly 20 years ago. We should all be thanking our lucky stars that games today don't cost $100 apiece; by all rights, maybe they should. But things need to remain accessible and affordable; after all, the industry has experienced several down years, here. So maybe a big price hike in the software department next generation isn't a good idea. Maybe it should just stay at $60...if that's even feasible.
1/13/2012 Ben Dutka
Put this on your webpage or blog:
Email this to a friend
Follow PSX Extreme on Twitter
Comments (63 posts)
Cpt_Geez
Friday, January 13, 2012 @ 9:56:05 PM
frylock25
Friday, January 13, 2012 @ 10:11:13 PM
Cpt_Geez
Friday, January 13, 2012 @ 11:17:41 PM
Qubex
Saturday, January 14, 2012 @ 1:05:30 AM
The reason why I say this is that for the perceived value of various items, such as a game, you eventually reach a threshold that people will simply not go beyond.
The suites will push the limit and see how far they can take the price, but reality is that there WILL be a limit to the price rises and what people are prepared to pay.
Put simply, if economics play against the man in the street, if wages don't rise enough and keep up with inflation... you are going to see a lot more I.P. piracy than you see today. People will just get their entertainment illegally if need be because prices will be ridiculous for the average family.
In addition, you will have a huge 2nd hand market, whereby people will force deflation on games by waiting for games to come onto the second hand market and pay half price or less for those titles - and rather pay the top up for online access...
In the extreme cases I am reading on the net today, games that have been made to run on hacked PS3's and 360's can now be played online via an alternative network using software that bypasses PSN and xBox Live. I feel these activities will increase as prices escalate...
Q!
"play.experience.enjoy"
H0TSHELLZ
Saturday, January 14, 2012 @ 6:58:05 AM
firesoul453
Saturday, January 14, 2012 @ 10:26:23 AM
Havoc
Saturday, January 14, 2012 @ 10:49:19 AM
bigrailer19
Friday, January 13, 2012 @ 9:42:51 PM
Reply
I dont think we will see a price increase. I can see the price increase for the PS brand as it went from CD to DVD to Blu-ray. Now though Blu-Ray isn't going anywhere soon. So there's no reason to up the price from that stand point.
I do agree however that the amount of time, money and technology put into a game, maybe they should be selling at $100. Problem is even at $60 most developers and publishers see a good return. If not then we would have seen the price hike of games a long time ago.
bigrailer19
Friday, January 13, 2012 @ 11:41:56 PM
Games like WoW, or maybe I should say Skyrim, dc universe or even MW3 to get consoles involved, offer tons of gameplay, but on an even plane (all games being sold at the same price) most games don't offer that. The amount of games that are released each year is very large and most games are in demand. But once you up the price that demand and even drive to get the next best game goes away.
AcHiLLiA
Friday, January 13, 2012 @ 11:51:53 PM
BigD0207
Saturday, January 14, 2012 @ 10:02:41 AM
Warrior Poet
Friday, January 13, 2012 @ 9:44:23 PM
Reply
Even considering that, I'm certainly not willing to pay $70 for any game, no matter what it is. I can't afford that. I might pay $40 for a super rare or several hundred hour game (like Legend of Mana or Ogre Battle 64) but that's when I'm splurging. A few months after release, games are way cheaper in stores than on PSN because stores need to get rid of their stock, and PSN doesn't. Is Dissidia Final Fantasy still $25? Exactly.
Either way I can't pony up $70 for much of anything, so if that happens they've lost me.
WorldEndsWithMe
Friday, January 13, 2012 @ 10:14:46 PM
Reply
Qubex
Saturday, January 14, 2012 @ 11:28:07 AM
BikerSaint
Friday, January 13, 2012 @ 10:29:21 PM
Reply
AcHiLLiA
Friday, January 13, 2012 @ 10:43:22 PM
Beamboom
Saturday, January 14, 2012 @ 2:50:26 AM
SnipeySnake
Friday, January 13, 2012 @ 10:36:11 PM
Reply
Cpt_Geez
Friday, January 13, 2012 @ 11:20:00 PM
Cesar_ser_4
Friday, January 13, 2012 @ 11:52:20 PM
Reply
frylock25
Saturday, January 14, 2012 @ 12:35:42 AM
Beamboom
Saturday, January 14, 2012 @ 2:42:41 AM
Cesar_ser_4
Saturday, January 14, 2012 @ 1:27:24 PM
Excelsior1
Friday, January 13, 2012 @ 11:55:55 PM
Reply
Here's a quick question for my fellow PSXE members. Do you guys think most games are worth $60?
Off topic:
I finaly got through the suicide mission in Mass Effect 2 with all my team members alive. No easy task since Miranda and Legion were not loyal to me. If they aren't loyal they tend to die. I left them behind to defend the door and they somehow survived. Intense battle. Epic game.
frylock25
Saturday, January 14, 2012 @ 12:38:22 AM
bigrailer19
Saturday, January 14, 2012 @ 1:16:38 AM
The thing consumers have to realize and I'll admit there's a fine line with a game being $60, is that this generation the cost of developing has gone way up! Not to mention the salaries of the developers and all the team members has also gone up. So all things considered we are lucky games are not $100.
Beamboom
Saturday, January 14, 2012 @ 2:45:53 AM
Last edited by Beamboom on 1/14/2012 2:54:16 AM
FatherSun
Saturday, January 14, 2012 @ 6:54:10 AM
Beamboom
Saturday, January 14, 2012 @ 7:59:10 AM
I don't want to mention any titles cause that'd include some exclusives too and then all hell would probably break loose around here. But there's definitely titles I regretted buying, and even more titles I'm really happy I didn't pay full price for.
Last edited by Beamboom on 1/14/2012 8:12:58 AM
Excelsior1
Saturday, January 14, 2012 @ 9:07:02 AM
The first Assasin's Creed game bored me to freaking tears. I only paid $30 for it and still felt ripped off, I am going to have to say KZ3 as well. I hated the sp campign. It only lasts about 5-6hrs and that was another game that bored me to death...at least on the sp side. There was a lot os sprinting down narrow paths until the next set of glowing eyes. It kind of had an "on rails" feel to it. Yuck.
Here is my list of games that offer a lot content. Worth every penny I spent on them.
Fallout 3 GOTY
Mass Effect 2
Crysis 2
Castlevannia:LOS
Skyrim
MGS HD Collection
FF13
The Lost Odyssey
Last edited by Excelsior1 on 1/14/2012 9:19:22 AM
Xbox_Killer
Saturday, January 14, 2012 @ 12:12:11 AM
Reply
FatherSun
Saturday, January 14, 2012 @ 7:41:30 AM
So yeah a big copy and paste to you:
Yeah.. What happens when that Casual Mingle becomes a Casual TINGLE/Itchy/Burning sensation between your pants?
Enjoy life.. But please people, do it responsibly.
Last edited by FatherSun on 1/14/2012 7:43:59 AM
Marckon
Saturday, January 14, 2012 @ 12:41:56 AM
Reply
For a while console publishers have been wanting to do what MMO's have been doing for years; subscriptions. But that business model is not the right one for everyone and thats is why many are finding a comfortable space in free to play. Conventional games are more likely to adopt that model than subscription. Games may come down to 40 or even 30 dollars but will be supported much longer and heavier than they are now. DLC will not be DLC but episodes or chapters that will carry the game beyong 10 hours of gameplay. This will also help publishers retain some of the revenue lost to game trading and retail. It may not sound pretty but that is the only way I see the game industry remaining relevant in the next decades.
On average a game developer makes about 85k a year and lets say 100 people work on a game, thats is 8.5 mil in a single year. The better games take 3 years to make, so lets give this one 2 years, so that is 17 million only on staff. The average game sells about one million and considering games tend to drop in price fairly quickly we will give our one million an average price of $45. The game makes 45 mil in revenue, minus the 17, we got 28!! minus retail, other fix cost, advertising and more variable costs.. 28 mil quickly becomes 5 million in a period of 6 month or more. that is not so impressive as corporate profits go.
You will also see our favorite game studios making smaller teams to work on smaller side projects for ios and android, kinda like insomniac click. If I was SCEA I would be piss off that some people believe Rovio is valued at one billion dollars... Dont be surprised if you see a Sucker Punch label on a one dollar game on android. If our favorite studios become recognizable brands in these markets, then the idea that a 50 year old lady who has never played a console game may become more interested on a "professional game" made by a "professional studio" on a dedicated platform does not seem so far fetched.
i swear i never intent to write this much when i start...oh headache
Gordo
Saturday, January 14, 2012 @ 1:52:11 AM
Reply
Here in Australia ($1AU = $1US) new games retail at $100-110.
So how do we cope? We are probably mostly doing one of the following:
1. Being more selective and only buy a few new games a year.
2. Buy more 2nd hand.
3. Trade in our old games.
4. Buy games from overseas mostly Asia or the UK.
5. Wait a few month and buy them when they are reduced.
So next generation may see you doing one or all of those things (you may be doing them already anyway!).
Where there is a will there is usually a way mindyou!
Still don't want digital only games mindyou.
blitz30952
Saturday, January 14, 2012 @ 3:49:33 AM
Beamboom
Saturday, January 14, 2012 @ 4:06:08 AM
StevieRV
Saturday, January 14, 2012 @ 7:46:27 AM
SmokeyPSD
Sunday, January 15, 2012 @ 2:56:22 AM
swapnilgyani
Saturday, January 14, 2012 @ 3:35:47 AM
Reply
Take my favorite game this gen - LBP2. I bought it for $60, and then MM released a Move pack for $10. Now, while purchasing both these things, I knew that if I only wait, I'll get both (and more) for half the price, brand new!
The problem is, we Day-1 Purchasers are fools beyond redemption! Sure I could've waited for LBP2 GoTY edition for a year, but it was too compulsive!
This is one of the reasons why I'll arrive at the next generation of consoles at least three years after it hits - I'll have a huge backlog of new-gen, half-priced, extra-featured games to play.
FatherSun
Saturday, January 14, 2012 @ 7:03:45 AM
mick
Saturday, January 14, 2012 @ 6:30:00 AM
Reply
Ben I'm going to mildly disagree with your blanket statement about whining - yes, there are whiners out there, but with the profits being made off of certain games, and the lack of content in other games, I think we as gamers SHOULD voice our opinions if (when comparing games) $60 gets a varied content/time investment from game to game. That is, should $60 be the standard? Should game price vary?
One of the ways companies make more money on games is through download content - in some cases, through "unlock keys" because it's already on the disc - so it seems we already are paying more than $60 for some games, but it's spread out over time
which brings me to "episodic content" - saw it in the above comments and elsewhere - especially effective (I would think) for downloadable titles - make the first part (and make it bigger than a demo!) 10/15/20 dollars, then if I like it I can buy more of the game - spreads out my purchase, and also gives me the opportunity to see if I'm receiving value for my money
If game prices DO go up, I too will be financially forced to wait for most of the games I play to go on sale, have a retail price reduction, or buy used. If a good portion of gamers go this route, will that hurt the game industry?
Someone else mentioned piracy - if gamers can't afford games/entertainment, they'll get them illegally? That, in my opinion, is whining...sounds as though we, as gamers, are "entitled" to games. To me gaming is a great diversion, but there are other means of entertainment that are less costly for me than to resort to illegal activity. Don't mean to offend, just stating my viewpoint
Thanks for all the good comments, and Ben thanks for the site - no matter what we see as to game prices, it's good to know there are forums/sites like this!
FatherSun
Saturday, January 14, 2012 @ 7:24:44 AM
Reply
That experience is not common. Only some titles have offered this thoughout the years. Usually by elite game developers. And that level of pride and workmanship costs time and money and sometimes even blood, sweat and tears. Im willing to give those creators their just due. But please take me to that place I wish to be. Take me out of this world.
Honestly, I think we are going to see more tiered pricing than ever. Sony, MS and Ninty will agree to on a set price for marquee titles. Possibly $70-$75 but will also price games according to production value. Which its why I do not see Digital Distribution overtaking physical media any time soon. Definitely not in the next generation of consoles. They will exist side by side. Smaller games will never see life on a disc unless it is a compilation. The heavy hitters will be Disc and Digital. After that.. Its anyones guess.
Last edited by FatherSun on 1/14/2012 7:28:49 AM
CrusaderForever
Saturday, January 14, 2012 @ 7:37:50 AM
Reply
Yemster
Saturday, January 14, 2012 @ 5:54:32 PM
Reply
Even so, I got to admit games are getting expensive and I don't think I could pay another 10-15 on top for a new game.
Last year alone during the big game fiasco I bought ratchet and clank: a4o, rayman origins: collector's edition, uncharted 3 and battlefield 3 and all together cost me £150. Could of cost more but I got uncharted 3 in a sale.
Digital releases are meant to be cheaper but never are, I mean new releases are on psn for like 50-55 pounds. That's insane.
SmokeyPSD
Saturday, January 14, 2012 @ 10:01:48 PM
Reply
Due to this the base should be going DOWN not up as the industry has moved to this distribution system (it has already happened). The only place that gets this right is the digital realm, with pure episodic content. I for one am just starting to wait for the game of year/complete editions to come out in a year because I am sick of paying so much for one game with base + DLC.
DemonNeno
Sunday, January 15, 2012 @ 1:55:50 AM
Reply
If developers have both routes for sales, they can reduce their overall cost for distribution while remaining reasonably profitable. Increasing to $70 is simply going to hurt their sales too much. In Chicago, that would mean an additional 10% for taxes. Nearly $80.
I'm not saying some of these games aren't worth it. Clearly, many of them are. I just think they would harm their sales for even those who are willing to fork that kind of money out, but have a hard time paying what the cost is already. Sure, it's another $11 for someone such as myself, but I usually buy at least 10 games a year. That's over $100 yearly increase.
And YES, I balance my budget and get thrifty when I need to. For example, FF-XIII is now selling for $19.95. Perfect price point for a broke-ass joke! (Psst, that's me!) :)
EA is Greedy
Sunday, January 15, 2012 @ 2:15:01 AM
Reply
(For PS4, Xbox 3, Wii U, PS Vita, 3DS)
Sports Games Price
39.99 (PS3,360,Wii U) / (29.99(3DS,PS Vita)
Shooter Games Price
49.99 (PS3,360,Wii U) / (39.99(3DS,PS Vita)
RPG Games Price
59.99 (PS3,360,Wii U) / (39.99(3DS,PS Vita)
Music Games Price
59.99 (PS3,360,Wii U) / (39.99(3DS,PS Vita)
Rest of Games Type Price
59.99 (PS3,360,Wii U) / (39.99(3DS,PS Vita)
EA is Greedy
Sunday, January 15, 2012 @ 2:15:09 AM
Reply
PHOENIXZERO
Sunday, January 15, 2012 @ 12:12:30 PM
Reply
This generation started off very expensive, especially on the PS3's end thanks to the hardware's funky architecture, just as they always do before costs level off and lower as development gets more efficient. IMO there's little reason the price would need to go higher next generation as there's not going to be leap as big as the last one. Things are going to be much easier and faster for developers this time around, probably right from the start.
A lot of the games that spent so much time in development went through a fair bit of development hell before coming out, that'll still be the case but it won't be from difficulty figuring out the hardware.
We'll probably see even more DLC though as I doubt publishers are looking to piss off customers more with a higher upfront cost again. IMO the $60 launch price hurt a lot of games and had a negative impact on sales for anything that wasn't a huge franchise. I think they'd rather sell a million copies at $60 than 800k copies (or less) at $70.
I do roll my eyes when I see people complain about game prices but at the same time I do think there has to be balance and a watchful eye on the market and raising prices higher is just going to turn off even more people from buying new games at launch. If they do end up buying it, it'll be when it's much cheaper or even worse for developers/publishers, used, if they buy it at all.
EagerGamer
Sunday, January 15, 2012 @ 1:26:34 PM
EagerGamer
Sunday, January 15, 2012 @ 1:15:45 PM
Reply
Gravelight
Sunday, January 15, 2012 @ 1:53:51 PM
Reply
Ather
Sunday, January 15, 2012 @ 3:11:56 PM
Reply
Gamefly's arrival time seems to depend on location. My games arrive within 2 days usually. But I seem to be near a distributionc enter. One came from out of state, and took 5 days. SO, good if you're close, bad if you're not. Also bad because the more who use GFG, the longer it'll take for the big popular games to even be available. Not a good solution.
Perhaps the solution to to redesign game developpment to keep costs down. Games wer emad eby a few long ago. Now it takes a whole village to make a game. But we must pay for that entire village.
phade2blaq
Sunday, January 15, 2012 @ 6:42:18 PM
Reply
SS4
Monday, January 16, 2012 @ 12:31:13 AM
Reply
Only Nintendo keeps their AAA at full prices for 5 years or more anyways lol.
So release price of games doesnt matter to me. The only thing that matters is how fast the price drops til i find it a decent deal ^^
Gabriel013
Monday, January 16, 2012 @ 1:23:06 AM
Reply
The gamer market is exponentially bigger now than it used to be so they should be able to make an acceptable slice on each game without trying to rip off consumers.
It's the publisher refusal to accept market pressure that's the problem. It's almost as bad as the music industry. People are finding other ways to obtain your product because it's deemed to expensive? Cut your damn price and profit margin.
Each gen I buy fewer and fewer full price games. Whether that's replaced by preowned games or cut price specials is beside the point. I would have thought that the industry would have seen by now that gamers just won't take it.
If prices go up then we'll end up with fewer game developers as less gamers have money to risk on up and coming companies.
As SmokeyPSD mentioned, The increasing trend of releasing a game shortly followed by dlc to boost the margins should result in a cut in the starting sales price as gamers like Smokey and I are more likely to completely avoid games which do this until the GOTY edition is released, and by that point we may have gone off the idea completely.

View Large Image









frylock25
Reply
Friday, January 13, 2012 @ 9:39:50 PM