Capcom President Claims Video Game Prices are Too Low
Harushiro Tsujimoto, the president of Capcom, has expressed his belief that the current retail price of video games is too low. During the Tokyo Game Show 2023, Tsujimoto discussed the rising development costs in the industry and the need for increased prices to sustain business.
According to a report from Nikkei, Tsujimoto explained that while development costs have increased significantly compared to the Famicom era, software prices have not kept pace. He stated, “Development costs are about 100 times higher than during the Famicom era, but software prices have not gone up that much.”
In addition to addressing the development costs, Tsujimoto also highlighted the importance of pay raises. He argued that considering the rising wages in the industry, increasing unit prices is a reasonable and healthy option for businesses.
Contrary to concerns about a slow economy affecting video game sales, Tsujimoto reassured that high-quality games will continue to sell. He compared it to other entertainment industries, stating, “Just because there’s a recession doesn’t mean you won’t go to the movie theater or go to your favorite artist’s concert. High-quality games will continue to sell.”
Impact of Price Increases in the Gaming Industry
The current generation of consoles has seen a shift in game pricing. While the standard price for games has traditionally been $60, publishers such as Activision and Electronic Arts have started charging $70 for PS5 and Xbox Series X|S versions of their games. Sony initially stuck to the $60 price point for their first-party PS5 games, but titles like Horizon Forbidden West and God of War Ragnarok have now been priced at $70. Microsoft followed suit with its own price increase.
Capcom, on the other hand, has continued to sell its games, including Street Fighter 6, at the standard $60 price. Even the upcoming Resident Evil 4 remake for the iPhone 15 will maintain the console standard price.
However, it is speculated that Capcom may raise the prices of their standard current-generation games to $70 in the future. This is particularly relevant for their exclusive title, Dragon’s Dogma 2.
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