Games Should Not Cost $60 Anymore - Inflation, Microtransactions, and Publishing - Extra Credits
Extra Credits2 HN recommenders · recommended in 2 months, 2018-2021
678K views · 8 years ago · explainer · dated
Extra Credits explains from a game developer's perspective why AAA games have stayed at $60 despite inflation, and how that pressure drives DLC, microtransactions and loot boxes.
HN uses it as a short explanation of AAA pricing economics in discussions of microtransactions and game pricing.
8:44MMO Economies - Hyperinflation, Reserve Currencies & You! - Extra Credits
Extra Credits
1.5M views • 9 years ago
34:13The Addictive Cost Of Predatory Videogame Monetization (The Jimquisition)
Stephanie Sterling
1.3M views • 7 years ago
21:19Manufactured Discontent and Fortnite
Folding Ideas
1.7M views • 7 years ago
48:27Jonathan Blow: Game design: the medium is the message
CreativeMornings HQ
119K views • 13 years ago
1:44:09Jonathan Blow: Video Games and the Human Condition
rubbermuck
158K views • 15 years ago
19:49Let’s go whaling: Tricks for monetising mobile game players with free-to-play
PocketGamerbiz
757K views • 10 years ago
52:22Exposing FRAUD And DECEPTION In The Retro Video Game Market
Karl Jobst
2.8M views • 5 years ago
6:58The Skinner Box - How Games Condition People to Play More - Extra Credits
Extra Credits
1.2M views • 14 years ago
22:44Investigation: How Roblox Is Exploiting Young Game Developers
People Make Games
2.7M views • 5 years ago
36:24How Valve is Profiting from Steam's Back-Door Casinos
People Make Games
425K views • 4 years ago
8:53Game Critics
videogamedunkey
17.7M views • 9 years ago
44:23The Immoral Design of Diablo Immortal
Josh Strife Hayes
4.4M views • 4 years ago
49:57Meaningful Play: Getting Gamification Right
Google TechTalks
118K views • 15 years ago
2:31:44This is Financial Advice
Folding Ideas
8.4M views • 3 years ago
25:09The Next Major RTS Will Fail. This Is Why.
GiantGrantGames
985K views • 4 years ago
1:15:54"Games as a service" is fraud.
Accursed Farms
1.1M views • 7 years ago
2:44:28Talk: Video Games and the Future of Education
Jonathan Blow
130K views • 6 years ago
59:47Failing to Fail: The Spiderweb Software Way
GDC Festival of Gaming
570K views • 8 years ago
1:49:22The Future is a Dead Mall - Decentraland and the Metaverse
Folding Ideas
8.2M views • 3 years ago
14:05TUN: Un-Ruining the MMO
MrBtongue
291K views • 13 years ago
4 comments from Hacker News
There's a bit of handwaving and the the video admits $90 is just a gut estimate. However, I think they did try to account for things like that: they started with an estimate games should cost $225-$300 before accounting for larger audience size. Larger market size and efficiencies like reusable game engines are balanced by increased productions costs. The first versions of Final Fantasy just had text captions in 2D. Now they are in full 3D with fully acted voice actors. Starts here: ▶ this video
Related: ▶ this video This 6 min video explains from game dev perspective why (AAA) games have been pegged at $60 on release, even though they should be priced higher to be sustainable ($85-$90 in 2018). So game developers tried various ideas to make up for this gap: DLC, perpetual experiences (map packs & expansions), loot boxes, microtransactions...
This sort of thing is going to keep happening, and not just because game publishers are greedy bastards. These days, it's very, very difficult to make a profit on a AAA game at only $60 a pop, but if anyone tries to raise that price the fans will cry bloody murder. So publishers are desperately trying to find ways to make up the difference. Cosmetic sales, DLC packs, loot boxes, anything. Making loot boxes illegal doesn't fix the problem; it just pushes it somewhere else. Source, among others: ▶ this video
Extra Credits did a good video on AAA game pricing recently ( ▶ this video ) that talks about why developers are going down the lootbox and microtransaction roads. Their argument is basically that AAA games are just way too cheap. The price has been at $60 for a long time, and even though the market has expanded since then, it's still not enough to cover the development costs, which have skyrocketed. Finding other revenue streams has become a necessity. The alternative would be $80 or $100 AAA games.