Sony has raised the price of the PlayStation 5 in most major markets, citing “tough economic conditions” such as high global inflation rates and unfavorable currency trends, the latest in a series of challenges engulfing the console from current generation game.
The new prices, which range widely between $30 and $80 more, are effective immediately in Europe, the UK, China, Australia, Mexico and Canada, the company said in a blog post. The revised price will hit Japan on September 15, the Japanese conglomerate said.
The United States is not affected by the price increase, the company confirmed.
“While this price increase is a necessity given the current global economic environment and its impact on SIE’s business, our top priority continues to be to improve the PS5 supply situation so that ‘as many gamers as possible can experience all that the PS5 has to offer and what’s yet to come,” Sony said in the post.
The new pricing is as follows:
- Europe
PS5 with Ultra HD Blu-ray Disc Player – €549.99 (was €499)
PS5 Digital Edition – €449.99 (was €399) - UK
PS5 with Ultra HD Blu-ray Disc Player – £479.99 (was £449)
PS5 Digital Edition – £389.99 (was £359) - Japan (effective September 15, 2022)
PS5 with Ultra HD Blu-ray Disc Player – ¥60,478 (previously ¥49,980)
PS5 Digital Edition – ¥49,478 yen (previously ¥39,980) - China
PS5 with Ultra HD Blu-ray disc drive – ¥4,299 yuan
PS5 Digital Edition – ¥3,499 yuan - Australia
PS5 with Ultra HD Blu-ray Disc Player – AU$799.95 (previously AU$749)
PS5 Digital Edition – AU$649.95 (previously AU$599) - Mexico
PS5 with Ultra HD Blu-ray Disc Player – MXN 14,999
PS5 Digital Edition – MXN $12,499 - Canada
PS5 with Ultra HD Blu-ray Disc Player – CAD$649.99 (was CAD$629)
PS5 Digital Edition – CAD$519.99 (was CAD$499)
The price hike comes at a time when several gaming giants, including rivals Nintendo and Microsoft, have seen sales slow.
“Given the fact that the PS5 has been heavily limited since launch, with many consumers unable to purchase Sony’s latest console, and the fact that Microsoft has yet to show any indication of an Xbox price increase. Series, there is no doubt that this price increase will have been a difficult decision to make,” Ampere Analysis analyst Piers Harding-Rolls wrote of the price increase.
“However, with inflation and price increases being felt through the component supply chain, much of which is denominated in US dollars, as well as continued high distribution costs, Sony has now had to pass some of these cost increases to try and maintain profitability at its hardware targets. This follows price increases in the consumer electronics sector, including Meta’s Oculus Quest 2, which recorded an increase of $100 in early August.
Microsoft and Nintendo haven’t raised the prices of their respective game consoles – and if they can maintain their position, their consoles should benefit from Sony’s move.
Nintendo President Shuntaro Furukawa told Nikkei earlier this month that the company has no immediate plans to increase the price of Switch.
“We are not considering [a price increase] at this point, for two reasons,” Furukawa said. “In order to provide unique entertainment to a wide range of customers, we want to avoid overpricing people. Our competition is the variety of entertainment in the world, and we always think about pricing based on the value of the fun we provide. Our products also include software. Nintendo has sold over 100 million Switch units so far, and it’s important to maintain momentum in our overall business. Generally speaking, a weak yen makes domestic Switch sales less profitable.