Xbox boss Phil Spencer has warned that price increases could happen in the new year.
Talking about the future of Xbox Series X|S and Xbox Game Pass, Phil Spencer revealed that the subscription is falling significantly short of your growth goals (opens in new tab) and the company may raise prices “on certain things” in 2023.
Phil Spencer hints at future Xbox Game Pass or console price increases on WSJ Live “I think at some point we’re going to have to raise prices on certain things, but this holiday we think it’s important to keep prices up.”October 26, 2022
A passing dot?
Despite hopes of 73% year-over-year subscription growth for 2022, Microsoft revealed that growth is currently 28% overall. This indicates that while Game Pass has grown its user base and seen an increase in subscriber numbers, it has fallen short of their expectations.
Interestingly, the low growth numbers are not the same on PC and console. On the PC, there was a growth rate of 159% (opens in new tab)so Microsoft is late in attracting new console subscribers.
On a interview with WSJ (opens in new tab)Spencer announced that Microsoft is considering raising prices at some point – but didn’t specify whether that price increase would be for the consoles themselves, Game Pass, software, or peripherals.
O Xbox Series S Considered one of the best and most affordable next-gen consoles, its lack of a physical disk drive makes it an ideal choice for those who don’t mind an all-digital experience.
However, with PS5 x Xbox Series X being a hotly contested topic, a possible price increase for the latter could lift the S Series’ popularity as gamers look for cheaper options.
Console price increases are nothing new in 2022. Sony announced its plan to raise PlayStation 5 prices in certain regions in August; due to continued demand for the console, however, this jump is not anticipated to affect your fiscal projections (opens in new tab).
It’s unclear when Microsoft plans to raise prices for certain Xbox services, but Spencer assures it won’t happen until “after the holiday season.”