Sony CEO calls memory shortage timing "lucky" following PS5 console price increases

Sony CEO Hiroki Totoki isn’t overly concerned about the rising cost of PlayStation consoles. In a new Wall Street Journal interview, he said that the memory shortage arrived at a convenient time. After several PS5 price increases, the company plans to focus on its PS Plus subscribers instead of marketing hardware.

The latest PS5 price hike in April raised the disc version's MSRP from $600 to $650. At the same time, the digital alternative went from $500 to $600, while the PS5 Pro now demands $900, up from $750. The manufacturer linked expanding AI data centers to inflated storage and memory costs.

Brushing off the component crisis

The WSJ interviewer noted that PlayStation consoles could be found in 93 million households. He asked Totoki whether Sony was more fortunate than Nintendo, which more recently launched the Switch 2. The CEO replied:

It is lucky, you know, we are in the latter half of the lifetime cycle of a PS console. That means that we do not need to aggressively sell the console today. And rather than that, we're focusing on recurring revenue from the current, you know, the user base.

Totoki reminded viewers that as of June 30th, the PlayStation ecosystem boasted 125 million monthly active users. The company intends to monetize these customers, with PS Plus a critical part of that strategy.

His comments may explain why the last PS5 price increase was more severe than many insiders anticipated. To avoid massive losses on hardware sales, the gaming giant is willing to accept fewer new adopters. Buyers have also seen temporary discounts on the systems at retailers evaporate.

Disgruntled gamers

Some followers may take offense to the CEO’s statements. PlayStation’s shift away from physical games to boost profits has already alienated PS5 disc advocates. In addition, the interview amplifies fears that the company will exploit supporters by raising PS Plus rates again.

The memory shortage next threatens to delay the PS6 release date. Without subsidizing hardware costs, Sony could struggle to entice buyers. Totoki told the WSJ that it hadn’t decided on its launch timing or price.