Sony Is Struggling With PlayStation 5 Price Due to Costly Parts

vegeta535

Supreme [H]ardness
Joined
Jul 19, 2013
Messages
4,565
various retailers have put their PS5 pre-order placeholder pages live, if you wanted to register your interest. These include Amazon UK, Currys PC World, Game, Smyths Toys, Amazon US, GameStop, Walmart and more.

the folks at Digital Foundry theorise that it won't be until 2020 (sic) when Sony will be able to keep the costs down.

https://www.eurogamer.net/articles/2020-07-31-ps5-pre-orders-what-we-know-so-far
As long as I can get it delivered on or near launch, I don't care who I order from. Amazon is ideal, but I still think people are going to abuse their "no charge until it ships" policy.
Don't preorder from GS tho. Any money you put down is gone if said store goes out of business. I wouldn't even trust their online store.
 

Domingo

Fully [H]
Joined
Jul 30, 2004
Messages
18,358
Don't preorder from GS tho. Any money you put down is gone if said store goes out of business. I wouldn't even trust their online store.
I generally know better than to get anything from them. No clue how things will work this time, but when the PS4 and X1 launched, my local GS pre-orders had to commit to buying 2 game disks and (I forget) either an extra controller or a remote. They weren't even offering any system-only options. Either way, even if they were, I have minimal faith they'll be around much longer.
 

vegeta535

Supreme [H]ardness
Joined
Jul 19, 2013
Messages
4,565
I generally know better than to get anything from them. No clue how things will work this time, but when the PS4 and X1 launched, my local GS pre-orders had to commit to buying 2 game disks and (I forget) either an extra controller or a remote. They weren't even offering any system-only options. Either way, even if they were, I have minimal faith they'll be around much longer.
I would expect the same this time around also. I can see them pushing even more bs.
 

Marees

Gawd
Joined
Sep 28, 2018
Messages
712
DualShockers discovered an 18-month financing offer on the Best Buy landing page of both the PS5 and Xbox Series X. The offer, which ends on December 25, is for products that cost "499 and up," suggesting the PS5 and Xbox Series X will cost at least $499

It's worth mentioning, though, that each product page on Best Buy has a specific financing deal based on the actual price of the item. The PS4, Nintendo Switch and Xbox One X apply for a 12-month financing plan for purchases of $299 and up.

https://www.laptopmag.com/news/ps5-and-xbox-series-x-price-possibly-leaked-by-best-buy
 

Aurelius

2[H]4U
Joined
Mar 22, 2003
Messages
2,883
Microsoft just dropped a price bomb for the upcoming X.

Sony will likely have to price their next console accordingly.

https://www.theverge.com/2020/9/9/21428714/xbox-series-x-price-release-date-preorder-all-access
We don't know how much of a bomb it is, though. It could be that Sony was hoping to sell the PS5 for $599 and will have to take a bath; it could be that Sony was already planning to sell for $499 and either doesn't have to change a thing or will undercut Microsoft by $50. The two companies were clearly playing chicken on pricing, so I suspect both were worried they might be more expensive.
 

polonyc2

Fully [H]
Joined
Oct 25, 2004
Messages
18,548
normally Sony is the one undercutting MS on console pricing...just like Nvidia surprised most people with their Ampere pricing, MS just did the same with the new console...let's see what Sony's response is
 

vegeta535

Supreme [H]ardness
Joined
Jul 19, 2013
Messages
4,565
MS taking a big loss on each console sold. Sony is probably going to do $400/$500 for digital/Disc. It will be all about the games and that is something MS is lacking in a big way.
 

Mylex

Limp Gawd
Joined
Aug 30, 2018
Messages
504
Financing a console.....smart
People already do it through Fingerhut and other rent to own places. People that are used to buying from those places are going to eat that up. What's live per month $10 add in $25 for a console they would have paid more at a rent to own and they can justify it being less than the iphone they have per month.
 

Bowman15

[H]ard|Gawd
Joined
Apr 7, 2015
Messages
1,428
People already do it through Fingerhut and other rent to own places. People that are used to buying from those places are going to eat that up. What's live per month $10 add in $25 for a console they would have paid more at a rent to own and they can justify it being less than the iphone they have per month.
You should have seen Fingerhut in their hey day before the interwebs. Their default/bad credit write offs were above 33%.
 

Mylex

Limp Gawd
Joined
Aug 30, 2018
Messages
504
You should have seen Fingerhut in their hey day before the interwebs. Their default/bad credit write offs were above 33%.
Lol, sadly I've seen family members buy from them. I was given the chance to pick something out for my bday when I was young and actually said no after seeing the messed up prices. Raised by my mom she taught the value of money and saving versus owing someone for a toy.
 

Ragenrok

Supreme [H]ardness
Joined
May 15, 2007
Messages
4,209
Financing a console.....smart
I mean, from what i can see you save just about $20 total using their finance offers IF you planned on getting gamepass+gold anyways. And since they arn't charging you interest its no different than if you were to just throw $35/month into an account to buy one anyways. Thats how I saved up for my next gen console, i have just been putting $25/cheque into a separate account since $25 isnt noticeable to me and makes it easier to afford large purchases.
 
Last edited:
  • Like
Reactions: T4rd
like this

polonyc2

Fully [H]
Joined
Oct 25, 2004
Messages
18,548
how are they able to keep costs the same as the last generation of consoles??...they are using more expensive components....take a loss on the hardware but make it up with the software (games) and PS Plus etc...no wonder they are going to start charging $70 for games
 

Brackle

Old Timer
Joined
Jun 19, 2003
Messages
7,515
how are they able to keep costs the same as the last generation of consoles??...they are using more expensive components....take a loss on the hardware but make it up with the software (games) and PS Plus etc...no wonder they are going to start charging $70 for games
Well I assume it's because #1. MSFT has way more money than Sony does as a company. #2. MSFT has a different direction they are going for gaming than Sony does. Which is why probably don't care about taking a loss on each console.
 

polonyc2

Fully [H]
Joined
Oct 25, 2004
Messages
18,548
Well I assume it's because #1. MSFT has way more money than Sony does as a company. #2. MSFT has a different direction they are going for gaming than Sony does. Which is why probably don't care about taking a loss on each console.
Sony is most likely still going to win this upcoming generation...exclusives are way more important then the hardware
 

Lakados

2[H]4U
Joined
Feb 3, 2014
Messages
2,612
My PS3 disc drive is starting to go, so PS5 here I come, need a new bluray player.
 

Brackle

Old Timer
Joined
Jun 19, 2003
Messages
7,515
Sony is most likely still going to win this upcoming generation...exclusives are way more important then the hardware
It depends. Xbox is about selling you a game pass with access to 100's if not 1000's of games. Sony is into selling 1st party/exclusive games.

This is why they are selling a $299 version. They are trying to get you into the ecosystem of game pass.

Don't get me wrong I plan to get a PS5 over an Xbox. But that is because I can get the Xbox game pass on my PC.
 

cybereality

Supreme [H]ardness
Joined
Mar 22, 2008
Messages
6,162
I think it's a smart play. Having a steady stream of subscriptions is probably more profitable than selling the hardware at cost and getting a small royalty on each game.

And once people start using the subscription, they will likely get used to it and keep it, even after the 2 year contract ends.
 

Brackle

Old Timer
Joined
Jun 19, 2003
Messages
7,515
I think it's a smart play. Having a steady stream of subscriptions is probably more profitable than selling the hardware at cost and getting a small royalty on each game.

And once people start using the subscription, they will likely get used to it and keep it, even after the 2 year contract ends.
Not only that, but I would rather waste $9.99 a month to try out a new game to find out I dont like it. Then pre-ordering a game to find out its trash (Anthem).
 

Templar_X

Weaksauce
Joined
May 29, 2006
Messages
79
Not only that, but I would rather waste $9.99 a month to try out a new game to find out I dont like it. Then pre-ordering a game to find out its trash (Anthem).
This!
I've had Xbox Game Pass in my PC for some months (bought in a promo for $5/month) and there's something really nice about playing and enjoying games that I otherwise would not buy.
The freedom of trying new games and genres without a purchase commitment has been a bit of fresh air for my gaming experience.
 

polonyc2

Fully [H]
Joined
Oct 25, 2004
Messages
18,548
I've had Xbox Game Pass in my PC for some months (bought in a promo for $5/month) and there's something really nice about playing and enjoying games that I otherwise would not buy.
The freedom of trying new games and genres without a purchase commitment has been a bit of fresh air for my gaming experience.
Game Pass PC is getting a price hike next week- now $10 a month

https://www.pcgamer.com/xbox-game-pass-for-pc-exits-beta-next-week-and-the-price-is-going-up/
 

Templar_X

Weaksauce
Joined
May 29, 2006
Messages
79

VIC-20

[H]ard|Gawd
Joined
Mar 24, 2006
Messages
1,050
It depends. Xbox is about selling you a game pass with access to 100's if not 1000's of games. Sony is into selling 1st party/exclusive games.

This is why they are selling a $299 version. They are trying to get you into the ecosystem of game pass.

Don't get me wrong I plan to get a PS5 over an Xbox. But that is because I can get the Xbox game pass on my PC.
This is what a lot of people just don't understand in the "console wars". Microsoft is selling subs like mad. Azure subs, Office subs, Visual Studio subs, Xbox Games Pass, Game Pass PC, and so on. They have SO MANY SUBS.

Microsoft isn't playing the same game as Sony. Simple as that.
 

Derangel

Fully [H]
Joined
Jan 31, 2008
Messages
19,266
Sony is most likely still going to win this upcoming generation...exclusives are way more important then the hardware
Exclusive games are nice and can sell well, but it's less important than exclusive content or exclusive advertising. Sony's exclusives are not the biggest selling titles on their platforms, multiplatform games are. COD, Madden etc. Sony associated their console with those brands and it sold systems (along with other good moves). The 360 had very few great 1st part exclusives of note, really only Halo and Gears, but it was THE platform because it was tied to the big brands. Price helped a lot, for both systems. If MS puts down the money and starts buying up exclusive content or advertising agreements they can put a lot of pressure on Sony. MS needs a good 1st party lineup to help their system, but in order to "win" they MUST get people to mentally link their system with the big games they, and their friends, want to play.
 

polonyc2

Fully [H]
Joined
Oct 25, 2004
Messages
18,548
Exclusive games are nice and can sell well, but it's less important than exclusive content or exclusive advertising. Sony's exclusives are not the biggest selling titles on their platforms, multiplatform games are. COD, Madden etc. Sony associated their console with those brands and it sold systems (along with other good moves). The 360 had very few great 1st part exclusives of note, really only Halo and Gears, but it was THE platform because it was tied to the big brands. Price helped a lot, for both systems. If MS puts down the money and starts buying up exclusive content or advertising agreements they can put a lot of pressure on Sony. MS needs a good 1st party lineup to help their system, but in order to "win" they MUST get people to mentally link their system with the big games they, and their friends, want to play.
I don't think many people associate the PS platform with Maddon or CoD or AC etc...the consoles are associated with the exclusive titles in their library- Bloodborne, God of War, Spier Man, Last of Us etc...multiplatform games are just that- able to be played on a wide variety of platforms...they are not associated with any 1 system...if all consoles play most of the same games then what is the differentiator?- playing with your friends and the exclusives
 
Last edited:

Archaea

[H]F Junkie
Joined
Oct 19, 2004
Messages
10,272
I don't think many people associate the PS platform with Maddon or CoD or AC etc...the consoles are associated with the exclusive titles in their library- Bloodborne, God of War, Spier Man, Last of Us etc...if all consoles play most of the same games then what is the differentiator?- playing with your friends
And Xbox Series X/S customers will in many cases be able to play with their PC based friends.
 

Marees

Gawd
Joined
Sep 28, 2018
Messages
712
My best guesstimate is that sony goes with $450 & $550 or $400 & $500 with PS5 digital & regular respectively

But as Paul Tassi says below, the price may not matter. PS5 will sellout at whatever price it launches. Sony can always discount price later

fully expecting it to be hard to find PS5, Xbox Series S and Series X this fall. The “winner” will be whoever can make the most consoles, and meet demand. Because demand is going to be overwhelming.

PS5 in particular will sell out at $500 or $600, it won’t matter.

It may start to matter down the road once early adopters have their consoles and the long game of the generation begins. Long term, yes, I can see a sustained $600 price being damaging to Sony, but I imagine it would not stay that high that long.
https://www.forbes.com/sites/paultassi/2020/09/10/so-what-if-the-ps5-costs-600-now/amp/
 

DukenukemX

Supreme [H]ardness
Joined
Jan 30, 2005
Messages
4,948
Sony is most likely still going to win this upcoming generation...exclusives are way more important then the hardware
Neither Sony or Microsoft will win this generation. This is the death of the game console. COV19, PC Gaming, and a failed economy will kill off consoles. If they do start charging $70 for a game you can expect piracy to run rampant as well. I can see services like Xbox Game Pass become popular, much like Netflix did when movies costed too much for most people. I can see Sony eventually making their own store on PC with a monthly service like Xbox Game Pass.

The freedom of trying new games and genres without a purchase commitment has been a bit of fresh air for my gaming experience.
It's like piracy but with a monthly fee.
 

SamuelL421

Limp Gawd
Joined
Jun 3, 2016
Messages
241
This is what a lot of people just don't understand in the "console wars". Microsoft is selling subs like mad. Azure subs, Office subs, Visual Studio subs, Xbox Games Pass, Game Pass PC, and so on. They have SO MANY SUBS.

Microsoft isn't playing the same game as Sony. Simple as that.
I'm so tired of subscription-based anything. The worst part is how all the consoles moved to subscription model for multiplayer and are now in the process of doing so for games.

It makes all of this pricing feel like a joke to me. The Series S is $299 says MS? What about when they start pushing the "must-play" AAA exclusives via Xbox Games Pass Ultimate. This is the endgame for MS and once that finally happens it will be $14.99 per month for users. What if you want the privilege of playing these games online via Xbox Live - another $9.99.

$299 plus *only* $14.99 month in perpetuity doesn't feel like much of a deal to me.


Edit: Wasn't aware that Game Pass Ultimate also includes Live Gold features - updated the comment above
 
Last edited:

Derangel

Fully [H]
Joined
Jan 31, 2008
Messages
19,266
Neither Sony or Microsoft will win this generation. This is the death of the game console. COV19, PC Gaming, and a failed economy will kill off consoles. If they do start charging $70 for a game you can expect piracy to run rampant as well. I can see services like Xbox Game Pass become popular, much like Netflix did when movies costed too much for most people. I can see Sony eventually making their own store on PC with a monthly service like Xbox Game Pass.


It's like piracy but with a monthly fee.
Have your crazy predictions ever been right?
 
  • Like
Reactions: T4rd
like this

Derangel

Fully [H]
Joined
Jan 31, 2008
Messages
19,266
I don't think many people associate the PS platform with Maddon or CoD or AC etc...the consoles are associated with the exclusive titles in their library- Bloodborne, God of War, Spier Man, Last of Us etc...multiplatform games are just that- able to be played on a wide variety of platforms...they are not associated with any 1 system...if all consoles play most of the same games then what is the differentiator?- playing with your friends and the exclusives
You have to remember that no one reading gaming news, following forums like this, etc are the average consumer. The average consumer sees things like "exclusive content on x system" or ads that heavily focus a big game on a single console and in their minds it links that system to that game. It makes people think "if I want to play this game, I need to get this system". Why else do you think Sony and MS spend so much money on advertising partnerships with major 3rd parties? Why else do you think they spend 10s of millions on buying exclusivity deals that include things like timed exclusive content, exclusive characters, etc for big games? It is all to get people to think that in order to play a game, they need to get it on a specific system. If multi-plat titles didn't matter Sony wouldn't have spent fuck tons of money over the last generation buying timed exclusivity stuff for COD, Destiny, Avengers, etc.
 

Brackle

Old Timer
Joined
Jun 19, 2003
Messages
7,515
I'm so tired of subscription-based anything. The worst part is how all the consoles moved to subscription model for multiplayer and are now in the process of doing so for games.

It makes all of this pricing feel like a joke to me. The Series S is $299 says MS? What about when they start pushing the "must-play" AAA exclusives via Xbox Games Pass Ultimate. This is the endgame for MS and once that finally happens it will be $14.99 per month for users. What if you want the privilege of playing these games online via Xbox Live - another $9.99.

$299 plus *only* $24.99 /month in perpetuity doesn't feel like much of a deal to me.
Then don't buy the $299 Xbox S, and just use your PC ;).
 

Derangel

Fully [H]
Joined
Jan 31, 2008
Messages
19,266
I'm so tired of subscription-based anything. The worst part is how all the consoles moved to subscription model for multiplayer and are now in the process of doing so for games.

It makes all of this pricing feel like a joke to me. The Series S is $299 says MS? What about when they start pushing the "must-play" AAA exclusives via Xbox Games Pass Ultimate. This is the endgame for MS and once that finally happens it will be $14.99 per month for users. What if you want the privilege of playing these games online via Xbox Live - another $9.99.

$299 plus *only* $24.99 /month in perpetuity doesn't feel like much of a deal to me.
Game Pass Ultimate includes Gold. Also, there is zero chance they're going to have AAA games go Game Pass exclusive. At least not this generation.
 

SamuelL421

Limp Gawd
Joined
Jun 3, 2016
Messages
241
Game Pass Ultimate includes Gold. Also, there is zero chance they're going to have AAA games go Game Pass exclusive. At least not this generation.
Ah, wasn't aware of that. Game Pass Ultimate is a little more reasonable in that case.

I think we will see it happen this console generation though, people have paid up for MMOs in the past so why not "normal" AAA games as well? I'm definitely not advocating for it, I despise that idea, but I can see how it would appeal to console makers. You just need a large enough base of subscribers on Game Pass to normalize the monthly fee before you drop the hammer and put exclusive games there. Give it 1-2 years.
 

Derangel

Fully [H]
Joined
Jan 31, 2008
Messages
19,266
Ah, wasn't aware of that. Game Pass Ultimate is a little more reasonable in that case.

I think we will see it happen this console generation though, people have paid up for MMOs in the past so why not "normal" AAA games as well? I'm definitely not advocating for it, I despise that idea, but I can see how it would appeal to console makers. You just need a large enough base of subscribers on Game Pass to normalize the monthly fee before you drop the hammer and put exclusive games there. Give it 1-2 years.
Retail and standard digital sales are still too important. As much as MS wants to push Game Pass, there is no way they're making back all the money spent on AAA development from those subs just yet.
 
Top