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[phil_t98]

That's the thing, all of them make sense other than Canada.

The Euro has seen a 20-30% drop in value, the Yen has dropped in value tremendously as well, but the Canadian Dollar remained the same - I guess it now matches the exchange rate exactly + a lil more? but it's still a BS move.

I do not understand why Canada gets shafted here.

we haven't seen other consumer products rise in price like tbs and things. this is Sony taking advantage at the moment, if inflation drops they won't suddenly drop the price of the playstation it will remain the same.

the fact the US hasn't seen a hike just shows they targeted areas where they are strong and think they can carry on selling regardless

 

[Gudji]

gamepass ultimate is to get both games on pc and xbox. if your comparing PS+ premium with ultimate your wrong normal gamepass is comparable that's it

They're the highest tiers on each service, they're comparable.

 

[Captain Toad]

gamepass ultimate is to get both games on pc and xbox. if your comparing PS+ premium with ultimate your wrong normal gamepass is comparable that's it

Does GP included Gold? Cloud gaming?

And he listed GPU in his fanboy slide, so that's what I used.

 

[Jaybe]

That's the thing, all of them make sense other than Canada.

The Euro has seen a 20-30% drop in value, the Yen has dropped in value tremendously as well, but the Canadian Dollar remained the same - I guess it now matches the exchange rate exactly + a lil more? but it's still a BS move.

I do not understand why Canada gets shafted here.

$500 USD = $647 CAD now, so basically the straight up exchange rate.
I remember when prices were released, comments saying that the $629 CAD could have been worse.
Either Sony

• was aware MS was going to be aggressive in the market and wanted to get closer the them
• Expected a lower CAD for forecasting and priced accordingly and this lower CAD didn’t materialize.

Now they seem to be Looking to take advantage of demand back supply and adjust

 

[Wohc]

So, Sony is now scalping the console?

In Germany they are actually making it 10 bucks cheaper, they just don't give you Horizon Forbidden West any more

 

[Ass of Can Whooping]

Looking forward to next FY report

 

[James Sawyer Ford]

At least the supply issues will effectively vanish now.

 

[phil_t98]

Does GP included Gold?

I have no idea, even if you compare the price of both highest tiers gamepass is better value. if you wanna add cost of gold then add the cost of all Sony first party games on top of PS+ premium

 

[Ceadeus]

Not in the UK I don't, seems to be other examples elsewhere in the world though.

Oh ok! Here in Canada the price went up for about 49$ after 6 months of launch I believe.

 

[Trogdor1123]

That's the thing, all of them make sense other than Canada.

The Euro has seen a 20-30% drop in value, the Yen has dropped in value tremendously as well, but the Canadian Dollar remained the same - I guess it now matches the exchange rate exactly + a lil more? but it's still a BS move.

I do not understand why Canada gets shafted here.

Well, that isn’t entirely true. The dollar has been trending down for a year. its not massive but the trend is clear (if also a little volatile). Also, be careful what you wish for. The 399 usd price on the digital is almost exactly 515 cdn so this is actually bring Canada in line with the usd price.

 

[Fafalada]

Great post in total. Curious on this point. Is the Bill of Materials and overestimate of what it costs to create a unit. Would it include the manufacture and distribution? I have no clue what the sale price of PS5 unit to a retailer is, but would think $450 seems sensible with the retailer selling at $500.

The focus on the exact delta between sale/production price is meaningless to begin with.
Even if console is sold at 100$ profit at 500$. It will be sold at 150$ profit at 550$ - the balance sheets don't magically flip upside down just because pure hardware is a direct profit/loss. So if they anticipate selling roughly the same at higher price point - it's a win even if the hw costs them 0$ to manufacture today.

The other part is that lifetime $ value of early consumer dwarfs hardware even if it was sold at 100% profit. They shared numbers around this in PS4 life-cycle, early adopters were valued in the 4000-5000$ range to Sony.
The 50$ hike looks pretty meaningless in that context - so I suspect it must be driven from primarily short-term concerns, which I suppose is the whole macroeconomics debate etc.

 

[SlimySnake]

You still think the BOM is still $450?
Have you not noticed the price increases on everything since the war?

Also, it's obvious Sony want profit on hardware without software help. Two different divisions, both have to be bring in money.

No, I think it's much lower than that. The whole prices on everything has increased is nonsense. Dont fall for their lies.

GPUs are cheaper than ever. The 10 tflops 6600xt is selling below MSRP nowadays. SSDs are cheaper than ever. This has not effected any other electronics. TVs, PCs, SSDs, Cameras, and Phones are all going on sale like they always do. RAM prices went up two years ago but have gone back down starting last year. They made their heatsink smaller to reduce costs.

I upgrade my PC parts practically every year. Yes, they were more expensive around 2020, but starting from around mid 2021, I saw a drastic price drop for everything from fans to AIOs to RAM, SSDs and especially CPUs. Bought everything under MSRP since around August of 2021. Got my iwatch for $100 below MSRP 4 weeks before black friday. The LG OLED models are cheaper today than they were in 2020. Not for the older models, but the newer yearly upgrades. The 65 inch C1 is just $1,600. The C2 is $2,000. Anyone who bought the CX in 2020 knows how expensive that 65 inch model was even on black friday let alone in the middle of august.

 

[Gudji]

I have no idea, even if you compare the price of both highest tiers gamepass is better value. if you wanna add cost of gold then add the cost of all Sony first party games on top of PS+ premium

Sony exclusives also come to PS Plus.

 

[phil_t98]

They're the highest tiers on each service, they're comparable.

ok then add all Sonys first party game prices released in a calendar year to that list as Microsoft adds first party day one

 

[Captain Toad]

I have no idea, even if you compare the price of both highest tiers gamepass is better value. if you wanna add cost of gold then add the cost of all Sony first party games on top of PS+ premium

 

[tmlDan]

we haven't seen other consumer products rise in price like tbs and things. this is Sony taking advantage at the moment, if inflation drops they won't suddenly drop the price of the playstation it will remain the same.

the fact the US hasn't seen a hike just shows they targeted areas where they are strong and think they can carry on selling regardless

TBF it's not just inflation when currency drops in value, most of those markets made stupid decisions historically where they are impacted greatly by the war and, in Japans case, their refusal to allow people(tourists) in which is destroying their economy.

I know this is wishful thinking, but i hope consumers push back and refuse to buy, resulting in a decision to reverse the change. I just don't see it happening for a while and despite this not impacting me cause i have it already, it's still a stupid choice - they should have bit the bullet.

 

[SoloKingRobert]

18%?

Fukinhell.

That's not that bad compared to Spains Inflation, currently at 10.8%.

The UK inflation is about 10.1%

 

[Jaybe]

The other shoe will drop when the only PS5 SKU made available this holiday will be a PS5 + GOWR + GT7 bundle, $640 USD

 

[Three]

The official price of PS Plus Premium $3 a month more than the official price of GP Ultimate.

Only because GP Ultimate doesn't provide a yearly sub so you are using the monthly. If you get the yearly sub of PS Plus premium vs 12 months of GP Ultimate, PS Plus Premium is much cheaper.

 

[Captain Toad]

ok then add all Sonys first party game prices released in a calendar year to that list as Microsoft adds first party day one

Cool. What were the Microsoft games in 2022? I forget.

 

[tommib]

Got my iwatch

 

[phil_t98]

so you have to buy god of war to get it day one even if you have PS+ but if you want halo day one it cost you no extra on gamepass. if we are comparing ultimate to premium then you have to compare both properly

 

[Gudji]

ok then add all Sonys first party game prices released in a calendar year to that list as Microsoft adds first party day one

I don't need to buy sony games day one in fact this year I only bought HFW. If you're subbed to the service you'll eventually get to play all sony first party games.

 

[adamsapple]

And yet, here we are. Increasing the price. Passing the costs down to the consumer who already paid $500 for your premium console that has had a dearth of next gen only games to justify its cost. Absolutely shameful stuff from a company I spent decades defending.

Looking forward to next FY report

 

[Sakura]

That's the thing, all of them make sense other than Canada.

The Euro has seen a 20-30% drop in value, the Yen has dropped in value tremendously as well, but the Canadian Dollar remained the same - I guess it now matches the exchange rate exactly + a lil more? but it's still a BS move.

I do not understand why Canada gets shafted here.

They always adjust the Canadian price to the exchange rate. They raised the price of the PS4 here as well back in the day. Canada is too small a market for them to care.

 

[phil_t98]

Cool. What were the Microsoft games in 2022? I forget.

what was Sonys games in 2021 compared to Microsoft?

 

[SlimySnake]

the fact the US hasn't seen a hike just shows they targeted areas where they are strong and think they can carry on selling regardless

Excellent point. MS did say that they have sold more Xbox than PS5s three quarters in a row in the U.S.

Europe on the other hand is Sony land.

 

[01011001]

with the Series S apparently getting a price cut soon, this could get interesting

 

[phil_t98]

I don't need to buy sony games day one in fact this year I only bought HFW. If you're subbed to the service you'll eventually get to play all sony first party games.

not the same though really is it? one service is more consumer friendly than the other and we don't know the gap between release to hitting PS+

 

[Trogdor1123]

You have earned 5 internets. Well done

 

[TheGodfather07]

usually 2 years into a gen we get a price cut. this time we get a price increase instead. getting a console earlier is cheaper for once. also, lol at people who thought sony would walk back their $70 games. we're at a time where prices are going up, not down.

 

[Fbh]

Wow so nice guy Sony has actually been giving us people in select South American countries a preview of the European experience by charging between $550 and $600 for no fucking reason (Xbox doesn't) from the very beginning.

Guess I'm glad I got one "on sale" for $499 earlier this year. With this news they'll probably just raise it to $650.

 

[Crm114]

The question is how much did the cost of the hardware drop since launch vs inflation? Highly doubt sony is selling at a loss, but curious what the profit margin was before the increase.

 

[Jigga117]

Source: https://blog.playstation.com/2022/0...c-environment-including-high-inflation-rates/




Guess they don't want to take that loss in profit margins; the fx rate was going to cause issues for Sony (MS clearly don't care so much about HW profit margins)

They have stated that for years long before the launch. It was never about making money from Hardware it always came down to services like we see with Gamepass.

 

[nominedomine]

The other shoe will drop when the only PS5 SKU made available this holiday will be a PS5 + GOWR + GT7 bundle, $640 USD

No Horizon Forbidden Legs? Come on now, that's leaving money on the table.

 

[Deerock71]

This PS5 launches with an OLED screen and inreased memory, apparently.

 

[Neo_game]

What a terrible news. This means Pro consoles are not coming anytime soon. This gen is going to be one of the worst ever IMO Only loading time has got a generation leap rest of it is pretty underwhelming TBH.

 

[Ghost of Caelid]

Lmaoooooooo, this is a first.

 

[Flakster99]

Puts things into perspective doesn't it. And this is before Microsoft's mega-software output is unleashed. The next few years will be incredible to watch, competition is a beautiful thing.

 

[ManaByte]

I have no idea, even if you compare the price of both highest tiers gamepass is better value. if you wanna add cost of gold then add the cost of all Sony first party games on top of PS+ premium

GP Ultimate (the $14.99 option) includes Gold.

 

[rofif]

Lol this is bs.
Putting XSX on the same level as PS5 digital is a win for xbox because it's cheaper?
It's much more weaker than the reduction in price.
Also, I would much more prefer to pay 70 for good games than get used to getting free indie games all the time.
Some upgrades were free on ps5.

Anyway. I will say it
Xbox is bad for the industry. It is devaluing games, Phil is a filthy liar and microsoft buying everything is making the whole industry worse.
And they have no games

 

[Interfectum]

Puts things into perspective doesn't it. And this is before Microsoft's mega-software output is unleashed. The next few years will be incredible to watch, competition is a beautiful thing.

Yeah if MS can actually deliver on exclusive AAA heavy hitters in the next few years it's going to be a bloodbath. I don't think Sony is ready and I think they know they aren't ready... hence price hike, PC initiative, PlayStation Productions, etc. Casting a pretty wide net to prepare for the tail end of this generation.

 

[phil_t98]

GP Ultimate (the $14.99 option) includes Gold.

but it also includes day one Microsoft releases so its hard to compare prices if were honest

 

[reinking]

we haven't seen other consumer products rise in price like tbs and things. this is Sony taking advantage at the moment, if inflation drops they won't suddenly drop the price of the playstation it will remain the same.

the fact the US hasn't seen a hike just shows they targeted areas where they are strong and think they can carry on selling regardless

We have. Oculus Quest 2 just did this last month. I hope we don't see any more of it.

 

[jaysius]

Gas hit $5 per gallon, and the cost of literally every single thing has soared.

Lower cost of living lmfao! Then eliminate your FREE HEALTHCARE.

You should run for politics... never

 

[avin]

I'm wondering what this means for PSVR2 prices. Do we know? But this can't be good.

avin

 

[GhostOfTsu]

Good! The console was way too cheap. People had no issues paying scalpers almost double that

 

[John Wick]

not gona defend that price increase, but i think its cause of demand of PS5, here in Finland u cant find PS5 in anywhere except from scalpers and some nut stores for like 900€

whereas Series X/S can be found everywhere

Or it could be that everything is going up these last few months? I still can't believe they are charging $70 for the TLOU Remake. Jimbo needs to go sooner rather than later.

 

[Sneakysnake]

MS was the bad guy last gen and this gen, Sony has done everything possible to wrestle that title from them. They are Apple now. Closed garden and price gouge. Like a sports stadium. If you have the money, build a PC instead

 

[Orpheum]

Yeah sorry that's kinda shitty