Lars Wingefors, the CEO of Embracer Group, has discussed raising the price of its games with his company, but it all depends on whether the players accept it (haha).

 

 

The retail price of video games is a constant subject of debate. Primarily since in 2020, the price of Triple-A games was standardized around 60 euros. However, since developments have become so expensive, some people are afraid of further increases under the pretext of “paying for creative processes”. In this regard, Lars Wingefors, CEO of Embracer Group, clearly stated that the company has already discussed the price increase. However, it seems to be waiting for another company to take the initiative.

The head of the Swedish holding, Lars Wingefors, has been in the headlines almost constantly in recent years, whether it’s studio closures or projects that have been stopped under his watch, or his openness to criticism of his company, claiming that everything should be his own.

Most recently, the CEO of Embracer was dealt with by Games Industry in connection with raising the price of video games above 70 euros. Several industry giants have discussed the latter question. It has been confirmed that this option is already being considered by Embracer. “I’m not saying you can’t increase the price, but the reality is no one has tried it,” said Wingefors.

 

Why hasn’t Embracer raised the prices yet?

 

Regarding the doubts and complaints – especially the latter – that voice the need to standardize the price in relation to the possibility of adjusting the price to development costs and hours of play, Wingefors seems clear: “If you create an enormous RPG, for example, with 100 or 150 hours of gameplay, very polished and unique, would the consumer be willing to pay more?”

“If the player is willing to pay, there will potentially be more of these products on the market,” he added.

Wingefors is no stranger to reality and current tensions. As you mentioned, the AAA industry has collectively raised the price of its products with the release of the current generation of consoles in 2020. “I think the industry is facing the same problem as all other industries, with inflation and rising costs of game development,” said the leader. He then concluded by saying that players have an increasingly wide range of choices, making it increasingly difficult to stay in the industry.

 

Take-Two also talked about pricing for future AAA games

 

Wingefors’ comments suggest that Embracer is waiting for another video game company to raise prices first. Only then would they follow his example. One of the companies mentioned in the topic is Rockstar, owned by Take-Two. The latter is preparing to release Grand Theft Auto VI at the end of 2025.

Pricing for GTA VI has yet to be announced, but it’s one of the few games that, due to its broad appeal, some say could “justify” a significant increase.

In November 2023, Take-Two boss Strauss Zelnick stated that video game prices “remain very low” compared to other forms of entertainment. This statement caused a huge outcry, which Zelnick himself seems to have furthered in May when he said that “they’re offering more value than we’re asking for.” For now, all we can do is wait and see what happens…

Source: GamesIndustry.biz