PS5 price might be $399, but Sony would lose money

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The PS5 price has not yet been officially announced, but the odds are looking good that it will cost around $399. However, hitting this price point would also present a tiny problem for Sony: that PlayStation 5 price point would cause them to lose money on every sale.

Bloomberg reports that Sony is having trouble with the costs of some of the critical components for the PlayStation 5. Future generations of smartphones are eating up all of the DRAM and NAND flash memory on the market, causing prices to spike. This has also raised the estimated production cost of the PS5 to $450.

As a point of comparison, the original PS4 was priced at $399 on release but was estimated to cost Sony $381 to manufacture. While the margins were thin, they were still a profit nonetheless; this counts for a lot in an era where most consoles lose money and the hardware manufacturers need to make up the losses with game sales.

A PS5 price would likely fall between $469.99 and $499.99 depending on final costs if Sony wanted to make a profit, but that might be a bad price point in the modern market. Looking at the way things are going, we’re probably going to get a $399.99 PS5.



Posted:
Related Forum: PlayStation Forum

Source: https://www.gamerevolution.com/news/633454-ps5-price-sony-costs-expensive-parts-gen-8

Comments

"PS5 price might be $399, but Sony would lose money" :: Login/Create an Account :: 4 comments

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ScxttPosted:

Probably be the time that i convert to PC

jkisklPosted:

Maze Hard to argue buying a pc at this point, I think it's a much better investment than another, very pricey, console


And at least you only have to upgrade parts when you cant run the games you want

SkylaPosted:

As a first release anything under $500 would be a good deal I think as it's a new gen console also the specs what are inside of it depending how buggy the firmware will be on release

MazePosted:

Hard to argue buying a pc at this point, I think it's a much better investment than another, very pricey, console