Console Prices Are Bad, But Sony Says Players Accepted It

The RAMageddon has caused the price of consoles to increase a considerable amount over the course of the last year, but Sony claims their sales are proceeding as planned.

The big three of console gaming (XBOX, PlayStation, and Nintendo) have all implemented price hikes as a direct result of RAM shortages and increased component costs, and while Sony says customer demand hasn't declined, some reports suggest otherwise.

In Sony's case, the price of the PS5, PS5 Pro, and PlayStation Portal remote player were all increased in April, with the PS5 now costing $649.99 and the PS5 Pro set at $899.99. It seems like we may be flirting with the reality of thousand-dollar consoles becoming the norm.

PlayStation Console Sales Hit Record Low

Sony recently held a small meeting and Q&A to discuss the company's long-term financial strategy. As RAM shortages continue, AI becomes more and more sought after for game development, and console price hikes continue to break the bank of the consumer, Sony has been pivoting to keep their profit margins in the green.

Despite the price hikes, Sony says players don't mind coughing up the extra cash: "Sales are proceeding as planned, and we do not believe this has led to a decline in customer demand. As a principle, we do not intend to sell hardware at significant losses. At the same time, we are carefully monitoring the market and continuing to evaluate our approach."

On the contrary, according to a report from IGN, PS5 unit sales in May were down by 58%—the lowest May total the company has had for console sales in 26 years.

Sony recently announced major layoffs, including most of the Destiny 2 team, some of the Marathon team, as well as SIE employees: "While we faced some challenges during FY2025, we have taken decisive actions to improve profitability, including recognizing the impairment of intangible and other assets at Bungie, Inc. and deciding to focus the studio’s development resources on Marathon."

Drastic times call for drastic measures, and Sony says they are more disciplined than ever when it comes to running the company, as they are proactively managing cost structure changes and supply chain dynamics, and implementing data-driven, AI-enabled programs across its platforms.

When asked if they have any plans to evolve beyond being a console-centric business, Sony revealed they could potentially expand to PC and mobile in the near future: "The value of our proprietary device lies in the experience, not the hardware itself. As a dedicated gaming device, it provides seamless, immediate access to content—unlike general-purpose devices, which involve multiple layers before gameplay."

The document goes on to say that Sony aims to "expand reach across diverse play styles and environments while maintaining confidence in our first-party software. At the same time, most of the value of our ecosystem is driven by third-party publishers, who benefit from our large install base, strong community engagement, and monetization tools. This supports a shift toward a true digital platform business. While opportunities exist beyond console (e.g., mobile and PC), we aim to proceed carefully, ensuring we are not constrained by our own hardware ecosystem. Overall, we see expansion potential over the next five years."

RAMaggedon Takes No Prisoners

It's not just Sony feeling the heat of RAMaggedon, as XBOX console prices increased last year by $20–$70, and effective August 1, 2026, they'll be raised again by another $100. The Nintendo Switch 2 has also increased its price as a direct response to changes in market conditions.

Not only are RAM costs driving up the price of PCs and consoles, but massive layoffs across the industry continue to take place as corporations struggle to adjust. With the new and exciting Steam Machine hitting the scene at over $1,000, we're beginning to see an expensive precedent being set when it comes to the cost of hardware.