PS5 Sales Top 28M, XS Tops 20M - Worldwide Hardware Estimates for Nov 27-Dec 3

[DonFerrari]

mjk45 said:

DonFerrari said:

I think it have more to do with limited inventory and selling where they believe will profit more than just beating MS on NPD.

With the increased price for the PS5 they now retail for 549.00 euro / 479 pound the exchange rate equivalent of 582.00 US dollars and even before the increase they were retailing at 499 euro/ 525 US dollars so even before the price hike Sony were making $26.00 more than the $499.00 US retail.

Nope, not really. You are forgetting in USA the taxes comes at the purchase moment and isn't part of the 499 price, for Europe the price have the tax inside them.

Let's say UK/Euro tax is about 10%. So that means for the 525USD (499 euro) at the time of launch the equivalency would be 472.5 so Sony was making 27.5 less on the console sold in europe versus USA. The 582 USD (549 euro) would mean equivalency of 524 so 24 more profit. If the tax is higher than that, let's say 16% then it would be the same, any higher they would still be losing compared to USA. Then also if we consider different regions would have higher or lower SW attach ratio that could also impact the analysis.