PlayStation DualSense controller and PlayStation 5 console.
Jakub Porzycki | Nurfoto | getty images
Sony It said on Friday it would raise the prices of its flagship PlayStation 5 console for the second time in less than a year, citing “pressures in the global economic landscape.”
In the US, the PS5 Disc Edition will increase from $549.99 to $649.99, which is a $100 increase from Sony’s price hike for the console last year. The digital edition of the device will also increase by $100 to $599.99. The PS5 Pro, Sony’s most powerful version of the console, is up $150 to $899.99.
The price increase will be effective from April 2.
“We know the impact this pricing change has on our community and after careful evaluation, we found this was a necessary step to ensure we can continue to provide innovative, high-quality gaming experiences to players around the world,” Sony said in a blog post.
When Sony raised prices globally last year, it was against the backdrop of persistent high inflation and uncertainty due to US tariffs.
The company is now grappling with the unprecedented rise in memory prices. Memory is a key component of the PS5 and prices have jumped significantly as memory manufacturers direct their stock to the huge demand for AI data centers and supply remains tight.
Sony also raised console prices in Japan, the UK and Europe. In the UK, each PS5 model will increase by £90 (about $120).
‘Inevitable’ price hike?
Pierce Harding-Rolls, director of games research at Ampere Analysis, told CNBC that the price increase was inevitable due to rising memory prices.
“Sony likely had price protection for its components for a set period of time and that has now ended,” Harding-Rolls said.
“With no signs of prices softening…Sony may have made this move to protect its low hardware margins. It would not be a surprise if Microsoft And nintendo This will be followed in the near future also.”
So far, Nintendo has kept prices steady for its flagship Switch 2 console that launched just last year.
“It’s strange for Nintendo that it wouldn’t want to raise the price of the Switch 2 when it’s trying to establish a new platform,” Harding-Rolls said.
During an earnings call in February, a Sony executive said the company aimed to mitigate the impact of higher memory costs by focusing on monetizing its current install base of PS5 users and further expanding its software and network service revenues.
Harding-Rolls said the war in the Middle East could put further pressure on component prices.
“The war in the Middle East is expected to trigger a new wave of inflation, and this will increase the impact of component price increases,” Harding-Rolls said.
