For those of you that missed it...
Call of Duty 4 underwent awhopping 75% price increase last night in the Australian localization when it went from US$49.95 to a massive US$88.50 which puts it ABOVE the cost of retail.
This is a massive blow for digital distribution which has always maintained lower than retail prices due to the absence of physical manufacturing costs. Activision is reported claiming that the originally listed price which was adverised on steam for 11 days was an oversight on the part of the Steam distribution system and should never have been sold at the price listed.
This is a massive blow for digital distribution in Australia and may see other distributers increase their prices accordingly.
One also has to think that the massive price is to somehow recoup losses incurred through Steam as the US$88.50 does not even fit with Steams pricing model.
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