Why is Call of Duty so Expensive Now?
As a hardcore COD fan and gamer since the early days of Call of Duty 2, I‘ve watched this iconic franchise transition from a moderately-priced hit into one of the most expensive AAA titles on the market today. But why has the series become so costly for players in recent years? As someone who covers the latest news and updates in the gaming industry, let‘s analyze the key factors driving COD‘s price hike.
The Ever-Increasing Costs of AAA Game Development
Let‘s start by looking at how much it costs to develop a blockbuster COD title nowadays.
Back in 2006, the original Call of Duty games had budgets around $15 million. But flashforward to 2022, and reports estimate Modern Warfare II cost over $200 million to make. As you can see in the chart below, budgets have absolutely exploded over the last 15 years:
| Game | Release Year | Estimated Budget |
|---|---|---|
| Call of Duty 2 | 2005 | $15 million |
| Modern Warfare 2 | 2009 | $40-50 million |
| Black Ops Cold War | 2020 | $200 million |
| Modern Warfare II | 2022 | $250 million |
So why have costs ballooned so drastically? Quite simply – games have gotten a lot bigger and better. Modern COD titles are jam-packed with cutting-edge graphics, animations, physics, voicework, music, cinematic scenes and tons of post-launch content that players demand nowadays.
Let‘s compare 2005‘s Call of Duty 2 to 2022‘s Modern Warfare II side-by-side:
| Game | Call of Duty 2 (2005) | Modern Warfare II (2022) |
|---|---|---|
| Campaign Length | ~5 hours | ~8-12 hours |
| MP Modes at Launch | 6 | 20+ |
| MP Maps at Launch | 14 | 16 |
| Weapons at Launch | 35 | 51 |
| Post-Launch DLC | None | Tons of new maps, modes, etc. |
It‘s night and day. Modern Warfare II has way more content packed in that requires way more resources to develop. All of this comes at a huge cost – which consumers ultimately pay for.
Base Game Price Creep
With costs skyrocketing to develop COD games, Activision has steadily pushed the pricing envelope on premium titles:
- Older COD games launched at $50 on PC/consoles
- By 2012‘s Black Ops 2, Activision raised the standard to $60
- In 2018, Black Ops 4 was offered in a $100 "enhanced" edition
- By 2022, $70 is the new normal launch price for premium packages
Additionally, Activision has sustained high pricing on old COD games by rarely discounting base titles. While most AAA games see prices handily drop to $20-30 after a couple years, even decade-old COD games still hover around $40-60.
Here‘s a quick sample of current pricing on Steam for select COD games by release year:
| Game | Release Year | Current Price |
|---|---|---|
| Call of Duty 2 | 2005 | $19.99 |
| Black Ops | 2010 | $39.99 |
| Black Ops 3 | 2015 | $59.99 |
| Modern Warfare | 2019 | $59.99 |
As you can see, outside of the really old titles, COD games maintain premium pricing for years after launch.
Aggressive Bundling Tactics
Alongside inflating the base game price, Activision earns huge dollars from "special" and "ultimate" editions that bundle in bonus digital content and exclusive items.
Take 2022‘s Modern Warfare II as an example. Here were the different launch editions available:
- Standard Edition – $70
- Vault Edition – $100
- Ultimate Edition – $150
The more expensive packages came with cosmetic character/weapon skins, COD Point currency bundles, battle pass bonuses, and other digital goods that appeal to hardcore fans.
By leveraging FOMO (fear of missing out) and dangling shiny new cosmetics, Activision can coerce whales and completionists into dropping $100+ rather than $70 for the base experience.
These bundles drive up the average selling price. And again, Activision counts on fans being willing to pay a premium.
Maximizing Revenue in a Free-to-Play Era
Another key shift came in 2022 when Activision transitioned Call of Duty: Warzone into a standalone free-to-play (F2P) title.
Previously, Warzone was tied to premium COD releases like Black Ops Cold War and Vanguard. This F2P shift likely prompted Activision to inflate prices on premium COD packages to maximize revenue.
Players can now access Warzone for free, but must pay inflated prices for "full" COD releases like Modern Warfare II with campaign modes, brand-new multiplayer maps and content, and so on.
Based on a report from September 2022, Warzone alone pulls in $5 million a day from microtransactions even with no new content updates. That works out to $1.8 billion annually if trends continue.
So the F2P shift allows Activision to double-dip – making truckloads of cash from Warzone microtransactions while also charging premium rates for new packaged COD releases.
Intense Player Demand Sustains High Pricing
The final piece of this puzzle is that amidst all these price hikes, player demand for COD remains higher than ever.
Modern Warfare II broke all previous franchise records by generating $1 billion in sales in just 10 days. And according to Activision, the total number of players is up by over 40% from recent years.
As long as fans continue pouring money into each new COD release despite rising costs, it gives Activision no incentive to lower prices. Players complain but continue to buy.
COD has remained a cultural phenomenon for nearly two decades now. And the fanbase‘s seeming willingness to pay higher premiums with each new release is precisely why costs continue to inflate with every release.
If sales took a hit then maybe prices would drop to reflect demand. But as of now, players tell Activision prices aren‘t too high with their wallets.
So until gamers begin resisting en masse, expect the costs of Call of Duty to continue climbing into the stratosphere in the years ahead.
