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Activision puts price increase on Modern Warfare 2, blames fluctuating exchange rates
by Linford Butler
17.7.09
When the highly anticipated sequel to Infinity Ward's last Call of Duty outing, Modern Warfare 2, hits store shelves this winter, it'll be at a recommended retail price of £54.99, according to a report by games industry analysers, MCV.

The increase in price, triggered by fluctuating exchange rates, economic difficulties and the price of development costs, may see many of this winter's awaited titles undergo an increace in RRP, as the Pound weakens against the Euro.

“Exchange rates between the Euro and the pound are making it very difficult for publishers to show an acceptable operating margin in the UK,” THQ's EVP of worldwide publishing Ian Curran told MCV.

“You can’t continue to trade as normal when the biggest territory in Europe has seen cost of goods increase by 30 per cent due to the strengthening of the Euro. Publishers somehow need to offset this drastic increase in costs. I’m not surprised to see the [Modern Warfare 2] SRP go up and I feel this will continue across more key titles.

“Also, development costs for next gen software has increased at a time when the take-up on these machines is slower than expected and therefore the opportunity to sell more units is limited. The increase in cost of goods due to the weak pound has added to this burden, and therefore something has to happen to ensure publishers’ return on their investment.”

However, while Activision has risen the price of Modern Warfare 2 and will inevitably up the price of some of their other triple-A titles, other publishers are flatly refusing to jump on the bandwagon. Electronic Arts have already commented, assuring gamers that the price of their upcoming titles, such as FIFA 10 and Need for Speed: Shift, will not see a price increase this winter. While inflation continues, though, expect to see more price increases on games and hardware.

Linford

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- Linford Butler

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