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Pachter: Xbox Live could increase in price

Xbox Live logo.
Xbox Live logo.
Photo credit: 
Photo from http://www.wikipedia.org

In the latest episode of his new show on Gametrailers, Pach-Attack!, industry analyst Michael Pachter said that Xbox Live may be due for a price increase sometime between now and this time next year. The statement came after a user on the site submitted a question to the show asking why Microsoft would increase the price of Xbox Live when it generates one billion dollars per year in revenue while Sony offers it's online service for free.

Mr. Pachter explained that the true question isn't why Microsoft would raise their prices but why Sony would continue to offer their online service for free when it is costing them money to do so. He believes that Sony will begin charging users for PlayStation Network soon. This shouldn't come as a shock to PS3 owners as Sony has been looking into ways to charge for PSN content for months. Pachter then went on to say that Microsoft probably won't increase prices for Xbox Live while PSN is still free, but if they did charge more, it wouldn't be a huge jump.

"I don't think you're going to see the price go up to a hundred bucks over night," Pachter said in the show. "I think the first one will be fifty (dollars) will become sixty. That's a very easy thing to do."

How would you react if Microsoft slightly increased the yearly price of Xbox Live to $59.99 if it meant more features were added and better overall functionality? Would you still renew your Gold membership or would you look elsewhere for your online gaming needs?

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Alex Hinkley holds a bachelors degree in Criminal Justice. He has been playing video games since the original NES and has had an Xbox 360 since its launch in 2005. He once played games competitively but now plays just for fun. Alex also founded his own online gaming developer called Penguin Run...

Comments

  • alex c 2 years ago

    yeh hes said is before as well, like a warning,

    micrsoft waiting untill there realy infroont of sony, which isnt happening , as sonys catching since lat year

    then they bump it p once theve got their captive audience, theres a term for this.

    not nice eh... dont get taken for a mug

    that live is a game a year yo could have for free, or anoher controller, or a trip out to the cinema and a burger and chips for 2 people.

  • hethjsetj 2 years ago

    ive been paying $60 for xbox live for 3 years

  • r1sh12 2 years ago

    I really dont think the cost of live will increase because they havent improved the technology for the service. As with many technological things, the older it becomes the easier it is to maintain. I dont mind paying for live, I never have issues. Its worth its current price tag. Should they reduce the cost of live for consumers that would help. If there is a price increase im gonna sell my xbox and move to the ps3. I already have a ps3 so....

  • RuddigerPez 2 years ago

    Don't be stupid. If they raise prices, they won't increase functionality. They are greedy pricks.

  • Anonymous 2 years ago

    I would not pay for it. The way video games cost, $60, and already paying for my internet provider every month, then to get $10 thrown onto my LIVE subscription, I may start pirating, seriously. Super Street Fighter IV just leaked onto the web and nothing is stopping me from stealing it but my respect for developers. But if prices on games and LIVE increase by even a dollar, I'm done buying and will spin to pirating. And I'll do it all offline.

  • LordCancer 2 years ago

    I wont pay $50 as it is. I pick them up at $30 and If I don't find them for that price I go without.

  • judono1980 2 years ago

    i doubt it will increase in price...just my opinion, when 50$ is reasonable enough. it's just the ones that think PSN will stay free are out they mind when sony they selves actually said they're thinkin about it...so look forward packages on PSN soon like cross game chat and party invites on PSN for a price. something LIVE users pay for.

  • LordCancer 2 years ago

    I wont pay $50 as it is. I pick them up at $30 and If I don't find them for that price I go without.

  • Steve 2 years ago

    Pachter has been wrong about stuff in the past. Don't trust everything he says.

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