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- Xbox and Nintendo announced price hikes recently, but PlayStation has yet to join the two.
- The PS5 has received a discount, and an analyst states that the threat of price hikes has been avoided for now.
- He states it could still return if China and the US fail to agree on favorable tariff rates by August.
Gaming is constantly becoming more expensive. With new tariffs introduced by the US, Xbox has already raised console prices across the board, and Nintendo has revised accessory pricing.
PlayStation remains the only gaming giant of the three to have avoided a price hike, but fans are already prepared for the worst. In a surprising turn of events, however, an analyst predicts that a price hike could still be avoided.
Why it matters: The PS5 is expected to see a huge surge in sales over the next 12 months due to releases like Death Stranding 2 and GTA 6.
Daniel Ahmad, A researcher and analyst at Niko Partners, recently commented on PlayStation’s decision to discount the PS5 as part of the “Days of Play” promotion.
The analyst states that this discount has been made possible by the existing stock of PS5 hardware in the US and the temporary pause in US tariffs. However, he warns that the price hike has not been completely avoided yet.
As per Daniel Ahmad, the failure of China and the US to reach an agreement by August would make price hikes more likely than ever. Fortunately, this also means that there is a chance the PS5 will retain its current MSRP if an agreement is reached within the timeframe.
For context, the US recently lowered its tariff rates from 145% to 35%, and China responded by lowering its own rates to 10%. This agreement has been implemented for three months, leaving major companies uncertain about the final outcome.
Because discussions are underway, there is a chance the US and China will reach a favorable agreement. Therefore, the PS5 price hike could still be avoided in the best-case scenario.
What are your thoughts on console pricing and the current position of gaming as a hobby? Do you find it too expensive? Let’s discuss in the comments and on the Tech4Gamers Forums.
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[News Reporter]
Avinash is currently pursuing a Business degree in Australia. For more than three years, he has been working as a gaming journalist, utilizing his writing skills and love for gaming to report on the latest updates in the industry. Avinash loves to play action games like Devil May Cry and has also been mentioned on highly regarded websites, such as IGN, GamesRadar, GameRant, Dualshockers, CBR, and Gamespot.
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