Microsoft is raising the retail price of its biggest AAA releases from $60 to $70 to follow many others in the market, and top boss Phil Spencer has now shed some light on what drove the decision.

　　On the Second Request podcast, Spencer said Microsoft finally followed the likes of PlayStation, EA, Take-Two, and more in raising game prices due to economic headwinds.

　　You need a javascript enabled browser to watch videos.

　　Click To Unmute

　　State Of Gaming Handhelds In 2023

　　How Lies of P Cracked the Souls GenreLike a Dragon: Infinite Wealth - Official Ichiban Kasuga Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Chitose Fujinomiya Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Kazuma Kiryu Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Saeko Mukoda Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Eric Tomizawa Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Joongi Han Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Tianyou Zhao Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Seonhee Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Koichi Adachi Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Yu Nanba Character Spotlight Trailer

　　Share

　　LinkEmbed

　　Size:640 × 360480 × 270

　　Start at: End at: Autoplay Loop

　　Want us to remember this setting for all your devices?

　　Sign up or Sign in now!

　　Please use a html5 video capable browser to watch videos.

　　This video has an invalid file format.

　　00:00:00

　　HTML5

　　Auto HD High Low

　　Report a problem

　　Sorry, but you can't access this content!

Please enter your date of birth to view this video

　　By clicking 'enter', you agree to GameSpot's

　　Terms of Use and Privacy Policy

　　enter

　　Now Playing: PS Plus Vs Xbox Game Pass: Price, Features & Games Differences

　　"Pricing is always something that we're conscious of and the impact it has on our customers," he said. "Given our economic realities right now, something had to give in terms of us continuing to run the business with the increased cost basis that we had."

　　The $70 retail price tag for new Microsoft games goes into effect in 2023, so holiday shoppers don't have to worry about it. Additionally, even when the price hikes go into effect, all of Microsoft's first-party games are included with Xbox Game Pass.

　　Spencer said Microsoft "held off as long as [it] could" regarding price increases. "It's really just the cost basis of building those games and ensuring we can run the business in the right way for our customers," he said.

　　Finally, Spencer said he feels good about the overall value of Xbox, pointing to Game Pass and the $300 Series S being the least expensive current-generation console out there.

　　The Best Xbox Game Pass Games

　　See More