Games technology is increasing rapidly and development costs for AAA titles are hitting enormous levels, the skill and time needed to make games have never been more stressful for developers. Will the increase in tech and it's influence on game production costs be the end of AAA games in the future? This article by Joypad Online goes in to detail of the future of games production.
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The_Infected what you said is true but you are also missing the point, you see as tech grows production values increase tremendously and AAA titles are already taking years to be developed. Before it was much easier to fund a game as production was cheap and the security of making a profit was much more plausible but this has already started to change and can you imagine how it will become in the future when it not only takes longer but requires more individuals to get 1 game to the shelves.
If they had to raise the price of games in order to cover development costs I would be okay with it - but under one condition: Give us quality games with considerable content. None of this half ass gameplay with tons of content DLC.
It's been 8 years since the Xbox 360 came out, and 7 years since the PS3. I think a lot of console devs by now have learned how to properly make HD games. Mark Cerny said PS4 games take as much time to triangle as PS1 games, which is about 1-2 months. I'm confident that the next gen (we are on the 8th now, right?) will be a bit easier to develop for, and probably even just a big cheaper now that the consoles are able to do some background stuff on their own.
It's no different from the movie industry. Do you know how hard and expensive it is to make a movie or even TV show with non-fake looking special effects?