EA Defies Trend: No Plans to Raise Video Game Prices

In a recent financial call with investors, EA CEO Andrew Wilson announced that the company will not be increasing the prices of its games, despite recent moves by competitors like Microsoft and Nintendo to raise theirs to $80. Wilson emphasized EA's commitment to providing "incredible quality and exponential value" for its players, highlighting the success of their co-op adventure game Split Fiction, which has sold an impressive 4 million copies.

Wilson elaborated on the evolution of EA's business model over the past decade, noting a shift from primarily selling physical copies in retail stores to a more diverse pricing strategy that includes everything from free-to-play models to deluxe editions. "At the end of the day, whether we're doing something that costs a dollar, or we're doing something that costs $10, or we're doing something that costs $100, our objective is always to deliver incredible quality and exponential value for our playerbase," he stated. He further explained that combining quality and value has proven to be a successful strategy for EA, leading to a strong, resilient, and growing business.

EA's CFO, Stuart Canfield, reinforced this stance by stating that the company's current pricing strategy remains unchanged. This decision comes at a time when Microsoft confirmed it was raising Xbox prices, including controllers, headsets, and some games, with new first-party titles expected to cost $79.99 during the holiday season.

The gaming industry has seen a general trend of price increases, with AAA gaming prices jumping from $60 to $70 over the last five years. Nintendo has also announced $80 pricing for upcoming Switch 2 exclusives like Mario Kart World and other Switch 2 Edition games. The Switch 2 itself is set to launch at $450, a move that has drawn criticism from fans but is seen by analysts as inevitable amid current economic conditions.

Given EA's stance, fans can expect the next iterations of EA Sports FC, Madden, and Battlefield to maintain the $70 standard edition pricing. This news comes amidst reports from IGN that EA cut around 100 jobs at Apex Legend developer Respawn Entertainment, along with broader layoffs affecting approximately 300 individuals across the organization.