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Why do people think raising the price of games will end microtransactions?

Gamingtodaynews1b - Why do people think raising the price of games will end microtransactions?

The point of microtransactions is for recurring revenue, its safer revenue and its something that companies prefer to have to show investors.

Lets pretend games were 100 dollars now, they would still have microtransactions, and we would be given the same excuses for the pseudo intellectual surface level talking points.

Now with the pretend 100 dollar game, it releases quarter 1, Its a hit for Company A who produced the game. Their stock skyrockets, then quarter 2 happens, and they don't have something, their stock goes down, you go to quarter 3, same issue , they release another game quarter 4 and it does not do well…. investors dont invest, stocks fall.

Thats why microtransactions are in our games. Company A sells game at 60 dollar price, or less, and through microtransactions shows growth to investors in quarters 2,3, and without having to worry about a flop, 4.

However the real issue is, is that this is not sustainable, these companies are budgeting themselves, their costs, their development, on a model that only works if things go up. We are seeing this issue now across the economy, specifically the tech sector, and even more specifically in some major publishers.

COD making 500 million is bad because it didnt outsell the last COD game thus investors dont see promised growth, the addition of microtransactions makes up for that difference.

Now I could lead into why microtransactions are bad (they are) and no the argument of "when its done right" is hollow…. because if you do anything right it works, but what does that mean….

Now people argue games like God of War, Spiderman, all the PS4 exclusives dont have MTX and sold great, and Sony laughs with you while accepting the recurring revenue stream of PSN, and their cut from all games sold on their platform. Which is why those games dont need MTXs, because Sony already has recurring revenue to show investors.

Read:  Jagex is working on "an unannounced online action role-playing game" using Unreal Engine 4

Also another fallacy is that games were always 60 dollars…. that was mostly true in the 6th and 7th generations, before that games did vary in price, and for the most part were honestly overvalued.

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