Just a few weeks ago, Microsoft decided to implement a price hike for the Xbox Game Pass subscription. Needless to say, that move resulted in a backlash from players, with some stating that they’re going to cancel their subscription right away.
Surprisingly (or not surprisingly), Microsoft decided to follow it up with yet another price hike. This time, it targets developers themselves.
In a recent interview with The Verge, a Microsoft spokesperson has stated that they’re going to increase the price of the current Xbox development kit by 33%.

This means the kit which used to be $1,500 will now cost $2,000. According to them, the “adjustment reflects macroeconomic developments.”
Unfortunately, this doesn’t only affect developers from the US, as it also affects Europe and other countries around the world.
The Price Hike Will Be a Major Hurdle for Smaller Developers
It’s worth noting that the XDK was already expensive even before the price hike due to the presence of additional hardware.
It’s fitted with 40Gb of GDRR6 memory, for example, which contributed to its overall price.
While this price hike won’t affect major studios that much, the impact will be more noticeable in smaller ones. With the major price increase, it will only make it more expensive for developers to develop games for the console.

Besides, considering that Xbox is less popular compared to PlayStation, it will push away smaller developers from making games for the platform.
Microsoft blames “macroeconomic” conditions as the driving force behind this massive price hike. However, it’s likely that it’s actually due to President Trump’s tariffs on Chinese imports.
This likely affected not just the price of the XDK but also the Game Pass Ultimate and the price of Xbox consoles at the same time.
Due to this, people are under the impression that Microsoft is doing its hardest to increase profit wherever possible.
Microsoft will be releasing its next earnings report this October 29, allowing us to see how much money the company has made within the past 3 months.

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