Phil Spencer on Price Increases: “We hold on as long as we can”

John Elden Ring

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5 Jul 2022
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Visiting Brazil for CCXP 2023, where Xbox hosts a huge space dedicated to fans, Spencer spoke with Flow Games about these and other challenges that permeate being one of the giants of the “iron trio” of the video game industry, one of them being the decision to increase princes (in this case it was about the Series S price in Brazil)
Xbox Series S price increase in Brazil: what Phil Spencer told Flow Games:

Yes. I'll start by acknowledging that price increases are never a positive thing. It's not something we like, we want to make the price as affordable as possible, which is why we held off as long as we could two years after launch, to make it viable for consumers who wanted a Series S. You know this because you're in this market: launching products in it, with the taxes and everything, is very, very challenging.

And even with the price we have now, after the increase, this is, for us, in terms of what we can see from the sales of the Series S [in Brazil], probably the lowest margin in the world from what we get, from the revenue we can get. For me, the most important thing is that pricing happens in a way that makes us viable here in the long term. I need to make sure that my commitment to the consumers here is to run a good business. That's also one of the reasons why we focus on multiple ways for people to play Xbox. People buying a console: I think that's great, we want to be here in a way that makes sense for our business. And we're also on PC, in the cloud, to give people multiple choices in how they engage with us.

When is the Activision Blizzard titles coming to Game Pass?

I don't have an answer yet, sorry. We have to work with the teams involved, there are a few things that need to be sorted out. But obviously Game Pass is part of our strategy, and Activision Blizzard is an important element of that," he summed up.
 

laynelane

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14 Jul 2022
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He could have just said they're taking the beginning steps to recoup the money they spent on acquisitions instead of that insincere word salad. Of course, that would be honest so therefore not possible with Phil. On another note, still no date for ABK titles on Game Pass. I wonder if delaying that as long as possible will be another such step.
 

KiryuRealty

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28 Nov 2022
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Where it’s at.
He could have just said they're taking the beginning steps to recoup the money they spent on acquisitions instead of that insincere word salad. Of course, that would be honest so therefore not possible with Phil. On another note, still no date for ABK titles on Game Pass. I wonder if delaying that as long as possible will be another such step.
If he was honest, he'd say "My strategy has cratered so spectacularly that daddy Satya has told me that I can't piss money away like a trust-fund kid at a Mexican resort, so grease up your sphincter, cuz we going DEEEEEEEEEEP for those ducats!"