XBOX DROPS $80 GAME PRICE AFTER CONSUMER BACKLASH

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Summary

• Microsoft canceled its $80 pricing for new Xbox games, returning to $69.99 following player criticism
• The Outer Worlds 2 and other holiday releases will cost $69.99 instead of the planned higher price
• Consumer response may influence pricing decisions across the gaming industry

Microsoft has withdrawn its plan to sell new Xbox games at $80, opting to maintain the current $69.99 price point after facing criticism from players. The company announced in May 2025 that upcoming first-party titles would carry the higher price tag, beginning with The Outer Worlds 2.

The original pricing decision placed Xbox alongside Nintendo, which had set Mario Kart World at $80 for the Switch 2. However, the reception differed considerably between the two companies' announcements.

Players responded negatively to the Xbox price increase, particularly questioning whether The Outer Worlds 2 warranted premium pricing typically associated with larger-scale productions. Early pre-order data for the Obsidian Entertainment RPG reportedly fell short of expectations, suggesting consumers were reluctant to accept the new pricing structure.

Obsidian Entertainment addressed the situation through social media, posting an in-universe message that referenced receiving player feedback "via skip drone" and mentioned "revising the price". The developer's response acknowledged the community's concerns while maintaining the game's fictional narrative style.

Microsoft confirmed that customers who pre-ordered The Outer Worlds 2 at the higher price will receive refunds for the difference. The pricing change extends to other Xbox holiday releases scheduled for 2025, all of which will now launch at $69.99.

The company's statement addressed the reversal: "We understand that these changes are challenging, and they were made with careful consideration given market conditions and the rising cost of development. Looking ahead, we continue to focus on offering more ways to play more games across any screen and ensuring value for Xbox players".

Development costs have increased across the gaming industry, with studios citing inflation, expanded team sizes, and longer production cycles as contributing factors. Some publishers have used these arguments to justify price increases over the past few years.

The speed of Microsoft's reversal demonstrates how consumer feedback can influence corporate pricing strategies. Other major publishers, including Sony, may reconsider their own pricing approaches based on the response Xbox received.

This situation reflects broader tensions in the gaming market, where publishers balance rising development expenses against consumer willingness to pay higher prices. The outcome suggests that price increases require careful consideration of market acceptance, particularly when competitors maintain lower price points.

The reversal affects Microsoft's revenue projections for 2025, though the company has not disclosed specific financial impacts. Industry analysts will likely monitor whether other publishers attempt similar price increases or maintain current pricing structures based on this outcome.