Former PlayStation CEO Shawn Layden, a prominent figure in the gaming world, made striking statements about rising production costs and stagnant pricing policies. In an interview, Layden stated that AAA game budgets have increased exponentially over the past 20 years, but prices haven’t kept pace. He said this discourages studios from taking risks and stifles innovation in the industry.
Former PlayStation CEO Draws Controversy
Layden argues that game prices should be gradually increased with each console generation. He noted that in the early 2000s, a game selling 20 million copies could be developed with a budget of approximately $10 million, while today, similar projects cost upwards of $160 million, yet still sell for similar prices. He believes this equation is unsustainable.
Game prices are known to have remained at $60 for a long time, starting in 2005. This price only rose to $70 in the early 2020s. Layden stated that this increase was both late and insufficient to address the structural problems in the industry.
According to him, the gaming world has been operating with the mindset of “we’re growing, but we’re not profitable, so we won’t go bankrupt.” The primary reason for the long-term price stagnation is attributed to publishers delaying price hikes out of fear of consumer backlash.
Some companies in the industry have begun to deviate from this principle. Nintendo adopted an $80 price policy for its first-party titles, such as Mario Kart World for the Switch 2. In contrast, Microsoft lowered the price of The Outer Worlds 2 from $80 to $70, making this standard for all major releases during the holiday season.
However, the notion that game prices should be increased contradicts some current examples. Clair Obscur: Expedition 33, one of the highest-rated games of 2025, launched at just $50 and sold 3.3 million copies in its first 33 days.
