Australian Open organizers have increased prize money to a record Australian dollars 30 million ($31.1 million) for the first tennis major of 2013 in response to player concerns about compensation at Grand Slam tournaments, according to The Associated Press.

Tournament director Craig Tiley said the A$4 million ($4.15 million) increase, announced Tuesday, October 2 was the largest from one year to the next in the tournament's history.

The move followed reports that some players were considering bypassing the tournament if prize money was not increased, particularly for losers in the early rounds.

"We're proud of the fact we've gone to record prize money," he said. "We are supporting the lower-ranked players in their quest for compensation."

Tennis Australia chief executive Steve Wood said the prize money boost would make the January tournament the richest in tennis history.

"We are proud to announce this major increase in prize money," Wood said. "We have led the world in prize money for these incredible athletes and we want to ensure that the Australian Open continues to make a major contribution to the financial wellbeing of professional tennis players."

Wood said tournament officials would confer with player representatives to determine how prize money should be distributed. He said Tennis Australia would have to make savings in other areas of its operations to fund the increase.