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The controversial boss of Embracer Group has discussed the topic of increasing the price of video games beyond $70 amid rising development costs and an increasingly competitive market.
On the one hand, games have stayed the same price for a long time, well below the rate of inflation.
On the other, wages have also stayed well below inflation for a long time. I don’t expect they’ll see the growth they want when a game purchase takes a larger and larger bite out of someone’s paycheck.
It’s a good example for how inflation isn’t something constant that affects everything equally. Game development costs are mostly wages, if wages stay below inflation then development costs stay below inflation unless teams get larger, and especially game development is known for paying rather low wages.
On the one hand, games have stayed the same price for a long time, well below the rate of inflation.
On the other, wages have also stayed well below inflation for a long time. I don’t expect they’ll see the growth they want when a game purchase takes a larger and larger bite out of someone’s paycheck.
It’s a good example for how inflation isn’t something constant that affects everything equally. Game development costs are mostly wages, if wages stay below inflation then development costs stay below inflation unless teams get larger, and especially game development is known for paying rather low wages.
Development, yes. Executives, the sky is the limit.
Especially when you have a great success, like laying off tonnes of your employees, which Embracer has been leading the charge on.