Activision calls for console price cuts


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Activision-Blizzard insists that the game industry can still grow despite the global economic gloom – just as long as the market sees more hardware price cuts.Speaking at Activision-Blizzard's earnings call, Blizzard president Michael Morhaime said that the more affordable consoles were key to improving the industry's health.

"If you look at consoles, I think you are going to need to see hardware price declines given the economic uncertainties that we have," he said.

Morhaime added that game studios need to take advantage of the potential presented in both Sony and Microsoft's motion controllers.

"You are going to need to see product innovations," he said. "And as you look at some of the new user interfaces that are coming out, I think those are certainly going to deliver some interesting product innovation."

KochThe Blizzard president went on to talk up digital product, saying it offers higher margin opportunities, adding that natural growth will occur naturally from expanding demographics.

Activision-Blizzard beat city expectations last night, reporting $4.28 billion GAAP net revenues for the 2009 calendar.

Source: http://www.mcvuk.com...sole-price-cuts

I think the consoles are fair at $299 just now, and you'll see the 360 lower before the PS3.

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Personally i'd tend to agree with him to an extent, I am unwilling to pay the asking rate for the PS3 because I am not overly impressed with the range of games, and I am unwilling to pay for a 360 because I am unwilling to pay for live, and the build quality issues put me off investing that kind of money. Having said that, game makers also need to get real with their pricing. ?24.99 for the PC version of Bioshock 2, but ?34.49 for the PS3 and 360 editions... do me a favour :/

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Agreed. Consoles? Pah! Drop the cost of the software - and develop/port mort software to the PC, and I don't mean 6 months after the console.

Want to see more sales? There's some smart ways to go about it. Bitching about console prices ain't it. Perhaps we should have a chat about DRM.

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Having said that, game makers also need to get real with their pricing. ?24.99 for the PC version of Bioshock 2, but ?34.49 for the PS3 and 360 editions... do me a favour :/

That's not the publishers, that's the consoles as well. You're not only required to get your game approved for the console but you do have to pay licensing fees. I mean, that's how consoles makers are able to sell the consoles bellow cost (excluding the Wii). The same even goes for the DLC's on consoles.

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No kidding.. Some titles are $70!!

I just look for the cheap games these days, I hardly ever buy games brand new anymore..

I do the same. The most I will spend on a game is $20, so I primarily buy used. There is the odd time that I will pay $40 (for example Dragon Age), but that is it. As for Live, I don't even play multiplayer. I can't justify paying the extra cost when I can play better multiplayer games on the PC. That, and paying full price for a game that I will never go online for seems silly, as I am using only half of the value. Therefore, I am patient if it means I can save money.

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That's not the publishers, that's the consoles as well. You're not only required to get your game approved for the console but you do have to pay licensing fees. I mean, that's how consoles makers are able to sell the consoles bellow cost (excluding the Wii). The same even goes for the DLC's on consoles.

Maybe you are right, but as an end user I don't really care who is at fault, the end result is the same, and that result is the buyer getting ripped off to the tune of about 30% in terms of price

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This coming from the same company that set one of their games' RRP to ?55?

Says the company who charges $120 to $160 for the POS that is Tony Hawk: Ride....

Lower the prices for your own hardware before you complain about console hardware prices.

Agreed on both counts.

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lmao the company who milks the hell out of WoW is gonna tell other people to make there **** cheaper. I think he's on some serious crack or something because the POS Tony Hawk cost way to much.

Hell at work we give you $50 or so for it for trade in and sell it(tony hawk ride) for $60. Really its not worth that much. Usually when games come in there half off, which makes sense. But you get 1/2 of what you paid for so $30 for a $60 game but then we sell it for five dollars less(something I dont condone but oh well im tired of arguring with corporate). But with tony hawk ride we sell it for $60 :laugh:. Its literally worth ****.

Also Console games should be $50 like they use to be pushing PC games to $40 :) I use to love those days. Im use to the 59.99 they have charged for latest gen games but I still would like $49.99 better. Also, I believe PC Games will always be Cheaper besides the FAIL OF A GAME here and there thats $60(MW2). Which brings me to another point, they mark a PC game the same price as console games, its a Console port, yet they are talking about dropping prices? How about you realize that every PC game has been $50 but no your ****ty console port is $60. The extra $10 for what? Being a BETA tester to the crap service called IWNet?

All in all, Activison-Blizzard fails with this statement.

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Da ****? Are you serious? You are one to talk Mr. $100 Guitar Hero **** every year, $40 still for CoD:MW1, that POS called Tony Hawk Ride, Sorrecy excuse for a POS glitchy online called MW2, raising game prices on the PC to $60, horrible PC support, etc.

You are now the new previous EA...a P.O.S. I am glad you don't make many titles that I like because I hate buying anything with the Activison name on it.

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I understand the high cost of games however currently at around $70 per game I can only afford a few a year

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I have to agree with most, if not all, the price of game should be lower. £45-50 is a bit much. A reasonable price of £30-35 and I'd be happy, besides I tend to wait till games are that price or lower before I buy anyway. Console games should be slightly more expensive to PC games, manufacturers recouping console cost as they still lose money, albeit very little, its still a loss and they need to make profit.

PC games are fine at £25, wii should be £20-25, 360 & PS3 £30-35 and I'd be a very happy chap.

Its due to the pricing that I will not be buying Heavy Rain and GoW3 at their launch due to me buying FF XIII (already pre-ordered and thats a first :p ) I need to wait about 2 months before I can buy my next game, so I can save :p

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F#$% Activision.

I don't even want to see their name anymore.

+1 There prices need to come down more than consoles, I think here in NZ they are @ a good price... maybe the wii could drop abit. but the price of games for consoles are way to much! thank the gods i use steam on my PC... I know alot of people that are happy with the price on steam that they dont priate anymore! so i guess if you make the price too high people will not buy and pirate!

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I'd happily pay ?60 for a 'long term' piece of software like Flight Simulator, as you really get your moneys worth. What gets me is high street retailers in some cases adding ?5 onto their online price (look at GAME or HMV and then go instore). I wouldn't have bothered with MW2 Hardened edition if I didn't have the points on my loyalty card. There is also games like COD4, which never dropped in price and still commands ?35+ on the high street.

There are a few major retailers that are a godsend. Amazon.co.uk deserve top marks for keeping their prices competetive. I also loved how the supermarkets buy huge stocks of major titles to sell cheap, undercutting the high street retailers and showing them how its done. I know supermarkets often sell at a loss as is the case of FIFA 10 and MW2, but it also proves the ?30-?35 sweetspot isn't a difficult target.

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I'd happily pay ?60 for a 'long term' piece of software like Flight Simulator, as you really get your moneys worth.

Totally agree with you there.

What gets me is high street retailers in some cases adding ?5 onto their online price (look at GAME or HMV and then go instore). I wouldn't have bothered with MW2 Hardened edition if I didn't have the points on my loyalty card. There is also games like COD4, which never dropped in price and still commands ?35+ on the high street.

Stores will always say they have over heads, due to rent space, electricity and staff wages. I can understand their point. The only time I purchase from stores are for pre-owned games.

There are a few major retailers that are a godsend. Amazon.co.uk deserve top marks for keeping their prices competetive. I also loved how the supermarkets buy huge stocks of major titles to sell cheap, undercutting the high street retailers and showing them how its done. I know supermarkets often sell at a loss as is the case of FIFA 10 and MW2, but it also proves the ?30-?35 sweetspot isn't a difficult target.

Supermarkerts artificially reduce the cost as they expect you to buy something else and make up their own profits. I for one would never have bought MW2 @ ?50 and was happy enough to pay ?25 after playing I wanted my money back :p

Game developers are always moaning about the costs of games, if they reduce their prices more people will buy, its simple and therefor more profit. But there are plenty of people willing to buy top prices that keep the prices high.

PC games are cheap due to piracey and also they don't have to pay royalties for the hardware.

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As for as the console prices they are fine as is in my opinion. As for as the cheap asses who dont want xbox live, silver version of it free. Gold version is totally worth it for the superior online play over the ps3 and there is netflix, facebook and other advantages such as discounts on dlc and the ability to get dlc sometimes before other people do. If you download alot of dlc you can almost have the gold version to pay for itself with all the discounts. I know it has for me. Lastly I want to say this, there are legit sites and sales that sell the live subscriptions cheaper, you just gotta look out for them. I know for me I bought 2 live gold cards when they were like $25. So thats 26 months for $50 since they both came with a free month. I am sure you can afford that.

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