Ubisoft remains 'undecided' on whether to increase prices for PS5 and Xbox Series X games

Ubisoft remains 'undecided' on whether to increase prices for PS5 and Xbox Series X games
Ubisoft has revealed that it is still undecided if it will raise the price of its PS5 and Xbox Series X games. In a recent Q70 earnings call (via VGC), the publisher was asked if it plans to raise the price of its games. AAA games at €2021 in its next fiscal year (from April 2022 to March XNUMX). "In terms of pricing, we have analyzed the competitive dynamics of the last quarter and we are always looking for new opportunities, but we have not made a decision yet," said CFO Frédérick Duguet.

A change of tone

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(Image credit: Ubisoft) The launch of PS5 and Xbox Series X saw a number of game publishers increase the prices of their games on these platforms to around $70/$60, which is $10/$10 more than their pricing on PS4 and Xbox One. 2K Games was the first to commit to this next-gen price, revealing in mid-2020 that NBA 2K21 would sell for $70 on PS5 and Xbox Series X. We've seen other publishers do the same, with Sony establishing that. new ps5 games Demon's Souls and Destruction All Stars. Ubisoft previously said in a July 2020 earnings call that it would not increase the prices of its PS5 and Xbox Series X games released during the console's launch period. However, according to Bloomberg's Jason Schreier, the publisher would not commit to answering the question of whether there would be a price increase after this period, saying, "We're focusing on Christmas releases. That these games will release at €60".

Big news: Ubisoft said during today's earnings call that its next-gen games this fall will cost the same as current-gen games ($60). Take-Two announced that NBA 2K21 will cost €70 on PS5 and Xbox Series X. Jul 22, 2020 While Ubisoft doesn't yet know if the price of its future games will increase, it remains to be seen how much upcoming games like Beyond Good and Evil will cost. 2 and Skull & Bones. However, Ubisoft's next big release, Far Cry 6, due out later this year, is still available to pre-order at $60/$50.

Why this increase?

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(Image credit: Ubisoft) While the price of GPUs, broadband, and streaming services has risen over the years (often correlated with inflation, rising costs, and demand) , the price of games has been stagnant for years. Meanwhile, production costs for next-gen games have increased by 200-300% (depending on factors like the studio and the game). "Even with the increase to €69,99 for the next generation, this price increase from 2005 to 2020 next generation is only 17%, much lower than other comparisons," said the president and CEO of 'IDG, Yoshio Osaki, at Games Industry. biz in 2020. "As development and publishing costs have increased, and prices in other entertainment verticals have also increased significantly, prices for next-generation software have increased significantly." They have not reflected those increases. From €59,99 to €69,99 doesn't even fully cover these other cost increases, but it's moving more in the right direction." Whether Ubisoft will increase the prices of its AAA games next year remains to be seen, but it is This price hike likely won't come until the start of the new fiscal year in April 2021. Today's best Assassin's Creed Valhalla deals