Starting with Sony’s PS5 price hike, the move shocked some, but it wasn’t totally unexpected.
Console prices historically come down over time as component prices fall and logistical factors are streamlined.
Sony could eat these costs or pass them along to the consumer.
It chose the latter.
Raising the price of PlayStation console, instead of lowering it, is not uncharted territory for Sony.
To help mitigate costs, Nintendo is, however,reducing the size of Switch packaging.
“We will determine our future pricing strategies through careful and continued deliberations.
As for Microsoft, the company hasconfirmed itwill notraise Xbox pricesin the wake of Sony’s announcement.
We’ve reached out to Microsoft to ask about any potential price increases for Xbox.
The PS5 price hike may only have a"minimal"impact on sales, according to Harding-Rolls.
Part of the reason why is because the PS5 remains very supply-constrained, NPD analyst Mat Piscatellamentioned.
“Still supply-constrained, so won’t see any potential demand impact for a while,” he said.
“But theoretically at some point the markets won’t be constrained.
Then things will get interesting.”
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