By using this site, you agree to our Privacy Policy and our Terms of Use. Close
Kyuu 1 day ago
Edit Thread
ConciousMan said:
Kyuu said:

Can't really blame them on this one.

First of all, they probably thought that RAM and NAND prices are coming down by 2027, meaning it wouldn't have been wise to buy too many overpriced components (in hindsight they fucked up, because component prices continue to rise. But this assumes "buying more" was an option).

Secondly, they surmised that not even GTA6 could sell that many PS5's so late in the generation and at such high prices. I heard that they were willing to ship comparable numbers to last year's, which is reasonably high.

I don't blame them, as the memory prices aren't logical right now. I guess it's going to be tough for PS5 to outsell Switch 2 this year, based on Sony's CEO statement. They will not increase the production, as this will mean they gonna sell at loss. Maybe it's better that way than having to pay $749 for PS5 standard edition.

True. I don't think they're currently selling consoles at a significant loss, or possibly any "loss" at all. It was already established that they secured enough RAM to cover the entire fiscal year before their latest price hike (they actually implied that they weren't going to increase harsware prices). Their record profits are on the rise despite all these poor acquisitions and GaaS failures.

The problem was that they just didn't order enough components to beat last year's numbers. They probably calculated that the demand caused by GTA6 won't be much higher than their shipment target, and they may be right, it remains to be seen (short term shortage for one expensive SKU doesn't mean much). Next year's hardware sales may fall of a cliff, because component prices will be a lot worse than whatever they paid last time.

Selling at a $50 or so extra loss on hardware can be cancelled out by increased spending on software and services. But they're not buying enough components, so selling at a notable loss does nothing. They can always choose to significantly shrink their SSD capacity as well, but they're just not bothered so far. It seems like the next logical step is to offer 512GB PS5's and 1TB or lower PS5 Pros for the next batch.

Last edited by Kyuu - 1 day ago