Sony may increase PlayStation Plus subscription prices rather than raise PS5 console costs amid rising memory production expenses. CFO Lin Tao indicated during a recent earnings call that the company secured minimum memory supply to support PS5 manufacturing through 2026, but component costs continue climbing.
The PS5 sits later in its lifecycle, with Sony projecting sales exceeding 15 million units in 2026. Executives reportedly believe raising console prices now could disrupt demand during this critical sales period.
Instead, the company appears focused on maintaining hardware accessibility while adjusting subscription pricing.
Regional PS5 pricing has already diverged across markets since August 2025. In Europe and the United States, console prices reportedly sit around 15 percent above original suggested retail levels. Japan remains an exception with pricing closer to baseline recommendations.
This approach follows traditional console strategy: expand the install base first, then monetize users through games, digital content, and services over time. Sony reportedly views subscription adjustments as more flexible than hardware repricing across different markets. Sony has already generated over $2.3 billion from cross-platform game sales, demonstrating the value of this broader monetization approach.
Memory supply constraints driven by AI datacenter demand contribute to the cost pressure. DRAM prices have risen steadily, though Sony's secured supply reduces outright production disruption risk. The company still faces higher component costs that pressure hardware margins.
Microsoft raised Xbox console prices globally in 2025, citing market conditions and tariff uncertainty. The Xbox Series S jumped from $299 to $379 in the United States, a 27 percent increase.
Sony appears to be taking a different path by protecting console pricing while adjusting service costs. Microsoft's strategy has shifted toward releasing major Xbox franchises on PlayStation, reflecting broader industry changes.
PlayStation 5 sales reached 92.2 million units total as of the last quarter, with 8 million consoles sold in that period. The console launched in November 2020 and trails the PS4's 117.2 million lifetime sales.
Sony expects Grand Theft Auto VI's fall 2026 launch to drive significant PS5 demand.
The company may introduce a more affordable entry-level PS5 model to maintain platform accessibility while component prices remain elevated. Sony's approach, focusing on service revenue while maintaining PS5 hardware accessibility, contrasts with Microsoft's 27 percent Xbox Series S price increase in 2025. The company has secured its minimum memory supply to support current PS5 manufacturing through 2026.
