Microsoft's first party Xbox One games will have $59.99 prices

While some analysts were predicting that games for the next generation of consoles, such as the Xbox One, could be priced as high as $70 when they are released, Microsoft has confirmed that prices for its own first party Xbox One games will remain the same as they are for the Xbox 360.

In a post on Polygon, a statement from a Microsoft spokesperson stated, "I can confirm that Microsoft Studios games on Xbox One will be $59.99 (MSRP)." That means games such as Forza Motorsport 5, Quantum Break and others that are directly published by Microsoft won't go over the $59.99 mark.

Of course, that doesn't mean third party publishers such as Electronic Arts, Activision, and others won't raise their prices for their own Xbox One games when they are released later this November. So far, there's been no indications that will happen.

Sony has already confirmed that its own games for the upcoming PlayStation 4 console won't break that $59.99 barrier. In February, Sony Computer Entertainment America CEO Jack Tretton claimed on CNBC that PS4 games would have a maximum price of that amount for its own titles. All in all, it sounds like gamers will avoid a big price hike for the games that will be published for the Xbox One and PS4.

Source: Polygon | Image via Microsoft

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I guess you don't understand how steam works... the point isn't to lower initial costs of games, which it technically HAS due to the stagnant price of games from last gen to this, the real benefit comes with used game sales 3-4 months down the line. AAA games on steam are released at $60 just like any other platform, but due to the lack of a used game market on Steam you also see huge sales on games a few months down the line on digital sales. If youre a frugal gamer you can simply wait for the online sales that will come.

Anyone who actually believed this is the case doesn't understand how pricing works.

The choice of how to price a good is a crucial decision that will directly affect demand for it; price it too high and no one will buy it, price it too low and you will miss out on potential profits.

The gaming industry already knows a game will sell at $60 to early adopters. So why would they ever lower the release price now that we are conditioned to accept this price, unless of course a competitor is offering a lower price.

The promise of DRM on the Xbox is not that the initial price will be lower. Even on Steam with all its DRM, the initial price of most games is $60. No, the promise is that publishers will be on an even footing with retailers in the secondary game market. Thus as time goes on, prices will go down in the form of steam style sales.

webdev511 said,
"DRM will lower prices"

Look the prices are the same.

FAIL

Yup because no change in price over an eight year period is a bad thing? FAIL.

Mikeffer said,

Yup because no change in price over an eight year period is a bad thing? FAIL.

Yeah when you consider improvement in technology and efficient distribution of of digital data then price has to come down. Look at any consumer devices such as Tv, price goes down every year with advance in technology and efficiency in production. Isn't the whole reasoning of MS for DRM is to kill used game market so people buy more new games to fatten up publishers profit. DRM is not for the benefit of consumer but for the publishers and MS only. People supporting this kind of BS has lost their ability to see what is good for them. Stop acting like corporate zombies and try to defend them at any cost with your fanboyism. So it's FAIL on your part.

Auditor said,

Yeah when you consider improvement in technology and efficient distribution of of digital data then price has to come down. Look at any consumer devices such as Tv, price goes down every year with advance in technology and efficiency in production. Isn't the whole reasoning of MS for DRM is to kill used game market so people buy more new games to fatten up publishers profit. DRM is not for the benefit of consumer but for the publishers and MS only. People supporting this kind of BS has lost their ability to see what is good for them. Stop acting like corporate zombies and try to defend them at any cost with your fanboyism. So it's FAIL on your part.

Oh do be quiet. The sad thing is you actually believe that rubbish but anyway, on topic...
It is fail because over 8 years and vast improvements, the price hasn't gone up. Do you understand that now or do i need to spell it out even more clearly?

I also fail to see where i'm being a fanboy? Go on, quote where i said something fan boy about MS? Exactly you can't so be a good chap and shut up.

Auditor said,
Look at any consumer devices such as Tv, price goes down every year with advance in technology and efficiency in production.

Prices go down for those items because costs go down for the manufacturer. Costs are not going down for game devs over time. If anything, games are becoming more expensive to make. Because of the second-hand market, the ROI is largely dependant on how much they can sell first-hand, which in turn keeps prices high. Want cheaper prices? Kill the second hand market. Steam did just that and look what happened: everyone here lauds them for their DRM.

DClark said,
Inflation?

Not that big of a factor, console's have to compete for you time, and other interests you may have that cause you spend you time on other things.

ModernMech said,

Prices go down for those items because costs go down for the manufacturer. Costs are not going down for game devs over time. If anything, games are becoming more expensive to make. Because of the second-hand market, the ROI is largely dependant on how much they can sell first-hand, which in turn keeps prices high. Want cheaper prices? Kill the second hand market. Steam did just that and look what happened: everyone here lauds them for their DRM.

And Gog.com been creeping in to newer game territory, DRM free and still cheap.

I think think the issue with AAA Studios is they become like hollywood. With massive budgets, massive advertising, aversion to new IP's, and endless sequels until they drive a franchise in the ground.

XboxOne DRM is still more restrictive than steam. There's also plenty of unsteam hacks to unlock your game(s), but doesn't seem to hurt steam.

XboxOne DRM is still more restrictive than steam. There's also plenty of unsteam hacks to unlock your game(s), but doesn't seem to hurt steam.

Huh? How do you lend games on Steam? How do you sell games you already bought on Steam? Xbox allows you to do both of these things, while Steam does not. So how is Steam less restrictive?

Also, the existance of tools to remove DRM from Steam does not change the fact that Steam has DRM, and as I pointed out above it is a less convenient platform for the user who cannot lend or sell digital games.

Because of course having limited resale options, being able to allow a cut to the producers if any resale happens, and the game only being able to be given away for free once, we can lower the prices accordingly!

oh wait.

If anyone remembers...when the 360 first came out Microsoft studio games were "still" $50 when everyone else increased to $60. Later, even Microsoft games moved to the $60 tier.

It's "good" to hear that Xbone games will be at the same price point as before (although, they should be less given that they are really just digital rentals now, but that's besides the point) However, I'm still cautious of the 3rd party games. They were the first to go to $60 this generation, and we haven't heard from any of those publishers yet on Xbone game prices.

Everyone complaining about wanting lower prices; With game sharing you can essentially split the cost with someone else, $30 game on launch day.

giantpotato said,
Everyone complaining about wanting lower prices; With game sharing you can essentially split the cost with someone else, $30 game on launch day.

I dont' think they understand.

Sorry this is a red herring in my opinion. Sure you can do that, but you can`t play the game together at the same time, you can`t play a mult--player game together as a team, you`ll have to work something out, say you play alternate Monday, Wednesday and Friday, the other party plays Tuesday and Thursday and you alternate weekends.
Most people wan`t to play constantly in the first few days after launch.
Maybe i`m wrong but that`s how i`m reading it as working, allthough MSFT haven`t really been very clear on many things lately

Riggers said,
Sorry this is a red herring in my opinion. Sure you can do that, but you can`t play the game together at the same time, you can`t play a mult--player game together as a team, you`ll have to work something out, say you play alternate Monday, Wednesday and Friday, the other party plays Tuesday and Thursday and you alternate weekends.
Most people wan`t to play constantly in the first few days after launch.
Maybe i`m wrong but that`s how i`m reading it as working, allthough MSFT haven`t really been very clear on many things lately

The newest info that's been put out on that regard is that you and one other person can play the same game together at least but not more than that. If this is the case then you should be able to co-op in that new game you just bought together.

Riggers said,
Sorry this is a red herring in my opinion. Sure you can do that, but you can`t play the game together at the same time, you can`t play a mult--player game together as a team, you`ll have to work something out, say you play alternate Monday, Wednesday and Friday, the other party plays Tuesday and Thursday and you alternate weekends.
Most people wan`t to play constantly in the first few days after launch.
Maybe i`m wrong but that`s how i`m reading it as working, allthough MSFT haven`t really been very clear on many things lately

no, both of you can play the same game at the same time. you're thinking about it traditional sharing. this is new type of sharing and is something I'm looking forward to.

notuptome2004 said,
Sony should now come out and say Wait we changed are minds are games wont go above $40 price tag oh how that would hurt Microsoft even more

And hurt Sony's already weak overall business right? Unless we've stopped making money on each game sold this new generation compared to all the rest.

Well Microsoft, tell you what... You want DRM and Always on, then you need to give us something. Lets start with $39 Games.

BTW, Until my Brothers in the Marine Corps can use the Xbox Once, I will not.

Ok, I will bite...

A. YOU do not have an Xbox One....

B. Most Marines do not have Internet Connections in the Field. Having the Xbox One, Call Home Daily, is almost impossible. I spent 4 years in various desert environments, yea, rarely had internet access during my downtime.

C. How does Microsoft truly believe the Young 18 YO Men and Women are going to buy a 360 over a PS4, is beyond me.....

Ok ill bite...

A. No ****ing ****

B. Not necessarily true, while some overseas in FOBs might not have access to internet enough to sustain an online game for very long, to say they cant access internet enough to check in for a second or two is disingenuous ... the people who don't have access to ANY connection at all also don't have access to a games console.

C. Don't, buy the Xbox One

If they are trying to bring a Steam model console the only way that works is with steam like sales and incentives. Day one digital downloads is not enough incentive for the restrictions of digital only gaming.

swanlee said,
If they are trying to bring a Steam model console the only way that works is with steam like sales and incentives. Day one digital downloads is not enough incentive for the restrictions of digital only gaming.

Correct me if i'm wrong but not every new game comes out on steam with some sale price. You still have to wait a while before you'll see a new title go on sale, and even then the amount depends really. It could be $10 cheaper or it could be more.

GP007 said,

Correct me if i'm wrong but not every new game comes out on steam with some sale price. You still have to wait a while before you'll see a new title go on sale, and even then the amount depends really. It could be $10 cheaper or it could be more.

Yep this is true. Some games, like the Call of Duty titles for instance, never really see HUGE discounts like on many other titles. Having said that MOST titles you can grab on sale at greatly reduced prices within about 6 months of release.

IgorP said,

Yep this is true. Some games, like the Call of Duty titles for instance, never really see HUGE discounts like on many other titles. Having said that MOST titles you can grab on sale at greatly reduced prices within about 6 months of release.

Right, it's the 6month or so timetable that is key, people seem to think that games go on sale faster on Steam when that's not the case. If Xbox One games see sales a few months after their release then I'd say that's spot on with things.

Didn't i just read something the other day where a MS guy said they were modeling this online DRM stuff after Steam with the primary benefit of reducing the cost of games?

know i realize that games have been $59.99 or less for some years now, but i still believe that is to much for Digital download games, if they are gonna be the same price point then the DD games should come with extras included for that price

Phantom Helix said,
Didn't i just read something the other day where a MS guy said they were modeling this online DRM stuff after Steam with the primary benefit of reducing the cost of games?

know i realize that games have been $59.99 or less for some years now, but i still believe that is to much for Digital download games, if they are gonna be the same price point then the DD games should come with extras included for that price

While they're digital in nature you can still, if you have a disc copy, go to a GameStop and sell it away. You can also share your library with up to 10 people. Anyone visiting you can play your games under their own account without you being logged in. You can also share Gold with anyone in your family on your main console.

So while you can compare the DRM to steam and demand lower prices (since when have people NOT demanded lower prices for anything?), you also have to take a step back and take the extra sharing options into account as well.

Phantom Helix said,
Didn't i just read something the other day where a MS guy said they were modeling this online DRM stuff after Steam with the primary benefit of reducing the cost of games?

know i realize that games have been $59.99 or less for some years now, but i still believe that is to much for Digital download games, if they are gonna be the same price point then the DD games should come with extras included for that price

yah, reducing cost over time, not instantly.

AAA games on steam start out at $60 too. The difference is Steam can discount the price over time.

You can't do that in a physical disc game market, because retailers like Gamestop buy back a used game for $5 and put it on the shelf for $55. This huge margin allows gamestop to beat the publisher at virtually any price. If the publisher wants to offer a discount price of $40 after a month, Gamestop will sell used copies for $35. Gamestop has a huge incentive to do this, because they probably make 500+% profit on a used game sale while only a fraction of that on a new game sale.

The end result is it's impossible for the publisher to discount their games while the secondary market exists, Thus the only solution is to price the initial run as high as possible, because that's the only way they can make a profit.

Microsoft is trying to creation a situation where publishers can discount their product after the initial run. No, the initial price probably won't come down from $60, since consumers are used to it and have shown that they are willing to pay that much. Even Steam has shown they will not bring down the initial price. But after that, the policies Microsoft has put in place will hopefully enable Steam style sales.

I'm not surprised, and I doubt 3rd parties will charge more, oh they'll do the same old "special edition" version so they can charge you $80-$100 but that's expected as well.

The real thing is if game prices will lower quicker than they have now that every title will also be out day and date on digital as well.

So in the UK that's about £40-£50 then? I doubt it, the price of games has to go up.

PS1 Games = £15
PS2 games = £30
PS3 Games = £40

Battlefield 4 is priced at £60 on Origin for PC, so I would imagine console will be the same. In this situation I'm sure the price will just change the currency sign.

$60 = £60

illage3 said,
So in the UK that's about £40-£50 then? I doubt it, the price of games has to go up.

PS1 Games = £15
PS2 games = £30
PS3 Games = £40

Guess you still get the same salary as 1999, right

illage3 said,
So in the UK that's about £40-£50 then? I doubt it, the price of games has to go up.

PS1 Games = £15
PS2 games = £30
PS3 Games = £40


That's probably what most stores were selling them for, but the RRP for PS2 (and Xbox) games was £40, and for the PS3 (and 360), it was £50 (I've no idea what it was for the PS1). If it's still $60 in America for the Xbox One, then it'll still be £50 here. Unfortunately, the controller's will also cost $60, meaning we'll probably be paying £50 for an extra one of those. I'll predict another rise of the third-party controllers (like in the Xbox/PS2 days) for the Xbox One; not sure for the PS4 though, due to the touchpad and the Move light, which would probably be tricky for other makers to reproduce.

SK[ said,]Xbox One games are currently £55 on Amazon.

Amazon likes to toss out placeholder prices and as often is the case they'll set it on the high end just to make sure they're not lower than the official price and have to stick by the lower price for pre-orders.

illage3 said,
So in the UK that's about £40-£50 then? I doubt it, the price of games has to go up.

PS1 Games = £15
PS2 games = £30
PS3 Games = £40

eh, No. Those prices are not true at all.

I don't why people like to insist that the price of games goes up every generation, because it's not true at all. Generally the actual price of games has stayed about same, but when you account for inflation the price of games has gone DOWN, not up.

They should cost closer to £46~50. I don't know if they add any other tax other than that 20% VAT. My bud that lives over there says that food is considerably cheaper in the UK if that makes you feel better.