During the Q2 2024 earnings call at Take-Two Interactive, Strauss Zelnick, the CEO of the company, expressed his views on pricing video games based on the hours of gameplay that customers receive. Zelnick stated that when determining the value of entertainment assets, a formula is used which calculates the fun factor or value per hour multiplied by the potential hours of viewing or playing. This is then added to the true value of the player as an actual owner, not a renter or monthly subscriber. It is evident that this formula is widely employed by most entertainment media. If we consider this formula as the benchmark, it is noteworthy that the current pricing for Take-Two’s games is significantly low, given the hours of enjoyment they provide.
It remains uncertain what the price point for the upcoming official release of the new Grand Theft Auto installment, slated for December, will be. However, rumors have circulated that the game may be priced as high as $150 or approximately 5,300 Thai Baht.
TLDR: Take-Two Interactive’s CEO, Strauss Zelnick, suggests pricing video games based on the hours of gameplay customers receive. Using a formula that factors in the fun value per hour and potential hours of viewing or playing, he believes current game prices are significantly low. The upcoming Grand Theft Auto release may be priced as high as $150 or 5,300 Thai Baht. Source: Exputer.
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