An Xbox console price hike is not in the cards, CEO of Microsoft’s gaming division Phil Spencer told CNBC as part of Xbox’s presence at the Tokyo Game Show. Spencer clarified Xbox’s position in the global market and Microsoft’s plans for remaining relevant in a highly competitive space.
While Spencer recognized that position might change in the future – for now at least, Microsoft has no plans to raise prices for Xbox Series X|S.
“We’re always evaluating our business going forward,” Spencer said via CNBC. “I don’t think we can ever say we’ll never do something. But when we look at our consoles today, we think value is incredibly important. Over half of our new players are coming in through Series S.”
$MSFT's @XboxP3 talks #Tencent, #JRPG's, and @discord – and explains why it's not time to follow $SONY's hike in prices. #Xbox #PlayStation pic.twitter.com/BCIY0wE8Gt
— Squawk Asia (@asiasquawkbox) September 16, 2022
Last month, Sony announced price increases for the PS5 in nearly every region except the United States – unfortunately making it even more difficult for interested consumers to get their hands on Sony’s current-gen console in light of the global economic crisis. Spencer said Xbox prioritizes offering value to consumers and doesn’t want to raise prices when many consumers are struggling.
With price increases off the table, Spencer said Xbox looks to acquisitions as one way of competing with Sony, though he didn’t specify what Xbox’s next purchase may be.
Buying other studios isn’t the only way Xbox plans. Spencer said partnerships that don’t lead to buyouts, such as Xbox’s recent work integrating Discord functionality with Xbox consoles, are another viable path for the console maker to create a unique place for itself in the market.
Written by Josh Broadwell on behalf of GLHF.
