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Agente42 said:

Don´t make any sense of your argument. The rise of the cost is because of the rise of graphic investment and value production. Making a AAA  for PS5 is more expensive than making for Switch. One 720p AAA game for the switch is more affordable than AAA 4k ps5 game. It´s production value basic. 

Your argument contradicts yourself: some producers are more time with Switch devkit than ps5. So have more experience with Swith than Ps5. 

Being 4k is not a requirement to make games for PS5. Most of JP games released in Japan during PS4 era wasn't targeting graphical fidelity either. Even if Playstation completely dies in Japan JP devs can still sell their games outside Japan on both PS5 and PCs as porting for them is a breeze and a small investment for something that can expand a game userbase