Sony Doesn’t Plan To Sell Next-Gen Hardware At A Significant Loss

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The Company Thinks Its Not Realistic For It To Absorb All Damage For Component Price Hikes.

Story Highlight
  • Sony has stated that it won’t heavily subsidise next-gen hardware.
  • During a recent Q&A, the company insisted it can’t absorb the damage from rising component costs.
  • However, it is constantly evaluating the market and rethinking its approach towards the PS6.

Thanks to the memory crisis, consoles are in an unprecedented situation. Gaming giants like Xbox have raised prices multiple times over the last 12 months, leading to a severe decline in hardware sales globally.

The uncertainty surrounding memory availability has also cast doubt on next-generation consoles, with some insiders claiming that Sony could delay the PS6. However, if the hardware does end up launching in 2027, don’t expect the price to be subsidised. 

Why it matters: With Sony also refusing to take losses on next-generation hardware, it seems players should buckle in for $1,000 consoles, as analysts have predicted.

PS6 Sony Xbox Helix
Both Project Helix and PS6 are expected to cost above $1,000

During a Q&A session for its Game and Network Services, Sony revealed that it doesn’t plan to sell next-gen hardware at significant losses. When asked by a participant whether the company’s upcoming console will prioritise profitability, Sony said it’s not realistic for them to absorb all component price increases.

As a principle, we do not intend to sell hardware at significant losses. At the same time, we are carefully monitoring the market.

The Japanese giant insisted that it’s closely monitoring the gaming market and continually evaluating its approach to the PS6, with the exorbitant memory prices in mind. In addition, Sony also stated that PS5 sales are proceeding as planned following the cost hike, and there hasn’t been a decline in customer demand.

Moreover, in relation to next-gen pricing, the company thinks it will be important to remind the consumer what value its products provide in contrast to the price tag. Sony’s take on this debate isn’t much different from Valve’s, which refused to budge on the $1,050 price tag of the Steam Machine by saying it isn’t a subsidised console.

Steam Machine
Because of component price hikes, Valve also refused to subsidise the Steam Machine.

Due to rising component costs, Valve can’t even reduce the launch price despite overwhelming fan demand. In addition, with Xbox Helix and PS6 now expected to cost over $1,000, Sony’s stance certainly isn’t good news for gamers.

Do you think Sony will keep the cost of the PS6 under $1,000? Will you buy the next-gen PlayStation for such a price? Tell us in the comments below or head to the Tech4Gamers forum for discussion.

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