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Xbox boss says current-gen console prices ‘won’t come down’ like they used to | VGC
(www.videogameschronicle.com)
this post was submitted on 24 Aug 2023
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Well, the USD is worth 15% less today than it was when the consoles launched. As such, keeping the price the same is the same as discounting it with a stable currency. The price today is the same as $425 at launch, so prices have come down we just don't see it reflected in the dollar price.
In addition to that we've passed that era of Moores law. New hardware is coming out with diminishing returns unless it's big and expensive. We're long past the era of every 2 years hardware is released with exponential returns in power and efficiency rendering everything that came before obsolete.
Hell even from an aesthetic point of view Red Dead Redemption 2 came out almost 5 years ago and with higher settings on PC still holds up as a pretty game. The biggest factor holding graphics back these days is development time and money.
Also fab production is a fundamental limitation to a greater degree than it was in the past, prices typically fell quickly as a process node gained better yields and could be made on less busy production lines but you have a much higher fixed cost just to convince TSMC or whoever to put you high enough up in priority to get your wafers made at all.