Price Increase

Microsoft is increasing the price of Xbox Game Pass Ultimate by 50% to $29.99/month, while streamlining its subscription tiers by integrating Core into Essential and upgrading Standard to Premium. This move aims to enhance value through expanded game libraries (including Ubisoft+ Classics), improved streaming quality, and a new rewards program. The company cites the need to deliver more value amid competition from Sony’s PlayStation Plus and declining Xbox hardware revenue, despite strong Game Pass subscriber growth following the Activision Blizzard acquisition. Select Xbox consoles will also see price increases.

Microsoft will increase the suggested retail price of select Xbox consoles in the U.S. starting in October, citing “changes in the macroeconomic environment.” Prices for Xbox Series S will start at $399, and Xbox Series X models will increase by $50-$70. This follows similar price adjustments by Sony and Nintendo. The company states the price changes reflect evolving economic realities, but insists pricing in other global markets will remain unchanged. The Wedbush Securities analysis suggests this reflects a strategic understanding of competitors combined with the Game Pass value proposition.

Amid trade tensions, Apple CEO Tim Cook has strategically managed relations with the White House, seemingly safeguarding Apple’s interests. While Cook’s efforts, including U.S. investment pledges, have been perceived as successful in mitigating tariffs, analysts predict potential price increases for the upcoming iPhone 17 lineup. This is driven by factors like rising component costs and shifts towards higher-end models, despite Cook’s focus on supply chain optimization. Price adjustments may be subtle, such as discontinuing entry-level storage options.

Guangdong’s express delivery sector is experiencing a price correction with rates increasing by approximately ¥0.4 per parcel, exceeding an average of ¥1.4. Implemented on August 4th, this floor price aims to eliminate below-cost deliveries and has been adopted by major companies. Primarily affecting e-commerce parcels, this shift follows a period of intense, unsustainable price competition. Experts see this as a turning point towards a more stable market, urging companies to prioritize innovation and service quality over price wars.

China dominates global watermelon production, accounting for 60% of global output. This contrasts sharply with South Korea, where watermelons are considered a luxury. Recent heatwaves in South Korea have caused watermelon prices to surge, reaching approximately $22 USD each, a 36.5% increase year-over-year. Analysts predict further price increases, highlighting the disparity in watermelon affordability and availability between the two countries and raising questions about trade and climate change impacts on agricultural markets.

A heatwave in South Korea is causing agricultural devastation, leading to soaring prices for essential produce like watermelons, napa cabbage, and radishes. Watermelon prices have jumped 36.5% year-on-year and 22.5% in one week. Napa cabbage prices are up 27.4% weekly, and radishes 15.9%. Insufficient sunlight in June compounded the problem. The government plans to implement measures to stabilize supply and demand to address potential crop losses and control rising prices. Online, consumers are reacting to the increased prices.