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Bloomberg: PlayStation 5's Bill of Materials have been pushed up to $450 due to scarce NAND and DRAM components
- Thread starter modiz
- Start date
A phone is far, far more valuable to the average consumer than a plastic gaming box that collects dust under a TV. Shocker, I know. And not everyone upgrades their phone every year... it's just so many people own a smartphone they will always sell even when released yearly.
Oof.. taking $100 knock on 4 million sales in launch month would be hectic .. BUT, I must say financially they were doom and gloom in 2013, now their pretty healthy and definitely capable of doing it.
Here's the problem... the value you get out of a console is, to a certain extent, a function of its popularity.
If a high price deters adoption, it'll affect those who can afford the price also - in lower transition of development, lower specific support etc.
As much as I or many on this board 'could' pay more for a console, when I think what a 600 or 700+ price would do for the ecosystem - i.e. result in upressed last-gen games for a long time to come - I feel a lower sweetspot is a better choice. The hardware may not be as good, but the development focus can switch with faster adoption, and on balance lead to more, more sophisticated games, faster. How technically advanced the games we get, or how many of them we get, is not merely a function of how much can be packed into one of these boxes, and to hell with price. It's also a function of how many of these boxes are out there. So there's a balance to be struck.
Its not exactly the same thing. Phones have payment plan options that just don't exist for consoles, which are lump sum up-front payments of several hundred dollars. Also phones are far more valuable than consoles, lets be honest.
Well obviously there's R&D, advertising, etc. I'm just saying in the position Sony is in now they can afford to make a small loss of each console if it means they gain the most market share again, they could make up for the temporary loss in console profits with game sales and subscriptions and then once manufacturing costs come down again within a year or so they'd also be making profit of the consoles again.
But I know that's unrealistic & the PS5 will most likely cost $499, I'm just saying I don't think it's impossible for Sony to do is all.
why?
if you don´t game on your phone you can have a smartphone for 5 or more years...i am still rocking an iPhone 6s
That console will quite possibly last you a few years as well, and nice way to be reductive regarding a games consoles worth when we're on a place to discuss video games. Its not gonna collect dust if you bother playing shit on it. I just don't see how people can get fussy over the price when they also piss and moan over a lack of games at the start of a new gen. Either buy it or haud yer weesht on price and wait for it to mature.
Independent of price, you'll see studios heeing and hawing on the line of going all-in next gen or not for a long time. Development costs are high, so not spanning that gap is almost guaranteed suicide, even IF the consoles were selling like mad.
i think they have targeted 599 but are waiting for MS to make a move to maybe undercut them by 50 bucks. 499 would be the absolute minimum these days anyways for sure.
In price - no one knows where that bom is gone - for example could be using their budget on their highly custom ssd where Microsoft push the GPU a bit , that's the fun of this back and forward mainly and will find out soon enough :D
There's a balance, of course most games will be cross-gen for a while. But with a good adoption rate, we could have a curve much like we've seen in the past. Don't see much reason there can't be, indeed next-gen-only development could be cheaper for some (indies) vs cross-gen support. But anyway, no matter how fast or slow you see that transition happening, if you have a lousy adoption rate, it will be slower still - with the attendant impact on your return-on-investment as a customer. So I think, even if you can personally afford a high price, there's more to consider about whether it's desirable or not.
They are preparing us about the 500 obvious price so when they officially announce it, it won't have a big impact. A good way to attenuate the shock with this leak.
You make it sound like Xbox can't compete. MS can clearly compete. What do they want out of Next-gen is the question?
At least here in Europe the PS4 was heavily supply constraint. On eBay the prices were 500+€. Why should sony take a loss at lauch when they can easily sell trough every console they produce. Wouldnt it be much smarter to Lauch at 450-500€ and then reduce the price the Holiday season a year later, when demand slightly declines.
To make in-roads in becoming the Netflix of gaming and the leader in cloud gaming, they already said that's where the future is .
Many were assuming that was the price if the PS5 was less powerful than Xbox, it just made sense to folk.
I still do, and I believe I have a bet on it. Nothing will change that.
Those people want a $1000+ PC stuffed into a small box. It's never going to happen. Consoles are aimed at a market that is fairly price sensitive. Half a grand entry point for a game console is a pretty big no-go for a lot of parents.
As a Canadian it is kind of crazy that if it launches at $500 USD it's probably going to be $750 CAD after taxes, when the PS4 launched it was also $399 here so only ~$450 with taxes.
Well this logics is neevr sane. Everyone knows now that newe'st games base versions cost 70 bcuks and to get full versions or Deluxe versions or all DLCs, the same game will cost over 100 bucks. How can they pay the 100 bucks for just one game and not pay it for the console once and for all?? It doesn't make any sense. Those same people pay twice the console prices for a phone they change every 2 years or a year.
Sony will do everything they can to stay away from $599. Even if it means $549. $499 is the target.
50 million isn't competing? Every generation all 3 compete with varying success.
I don't know why people keep bringing up phones. The average consumer values a phone purchase, and values keeping their phone up to date, far more than a gaming console.
Well now consoles are no longer considered toys like before and they are premium entertainment products so if they want the best, people need to invest too.
What about PC's, lots keep them up to date as well?
I don't see why consoles cannot break the $399 thresh hold. We did get past the $50 game price.
My guess is they are serious about having two models. This way one beats the PS5 on performance while the other will beat it on price.
I've expected PS5 to launch at $499 for some time now, due to everything really, from SSD to N7 APU to G6 memory.
What I'm wondering though is how much will XSX cost at launch, if it will actually end up with a 1/3rd bigger APU as the leaks suggest so far? Will MS go with $599 or will they launch with a loss on h/w like it was back in PS360 days?
What I'm wondering though is how much will XSX cost at launch, if it will actually end up with a 1/3rd bigger APU as the leaks suggest so far? Will MS go with $599 or will they launch with a loss on h/w like it was back in PS360 days?
The people looking to spend a ton of money in gaming will most likely be PC gamers. They want the best and they work to buy the best. Consoles have always been more mainstream products aimed at a more casual gamer.
A $499 PS5 also leaves Sony vulnerable as the door is open for a competitor to come in well under that price with a similar product.
I'm sure a forbes contributor will corroborate the story any moment now.
All that would make it a no-brainer for me. I'm not ready to let myself believe that's how BC will work, though.
You're talking about a demographic that still gets mad about the price of games, even though they've generally gotten cheaper over time...I still remember my mom buying me a sega genesis game for $80 back in like 1994, nowadays people "wait till it's *free* on playstation plus, etc." on games that start out at like $20, lol.
Like who? Microsoft is not going to take a bath on losses. I think they too are looking at $499 or even higher. Nintendo is never going to come out with the same level of hardware again directly.
Lol right?
I feel like this forum often just blindly accepts things from Bloomberg or Forbes Contributors as fact despite their terrible history.
Bloomberg in particular has been posting complete fabrications as "Reports" when it comes to tech for years now. The most notorious of which of course being when they claimed there were invisible spy chips in a bunch of server components coming from China.
What's more reliable than Bloomberg? WSJ might be it? Or is this a joke post...
With Series X at $499, it already is a much better value proposition thanks to Game Pass. They could easily release a cheaper Xbox Series to undercut PS5. Also, half a grand entry point could cause consumers to look to cheaper methods of gaming, say streaming or whatever else new comes out around the corner.
I guess we are completely skipping past the part where Bloomberg completely made up a news story before and tried to act like it was real.
I think these new consoles will be valued already at $499 for what they will offer. There's no way they can have all this stuff for $399. It's been a long time coming but consoles need to get over that $399 brarrier.
I expected $499 from the beginning based on the specs revealed thus far, so I am still fine with paying that much.
My mind is kind of set on 499. I already have that money set aside. I'm fortunate enough that an extra 100 bucks won't break the bank but that 599 price does feel like a lot, especially when you have to add on tax and a launch game. So I kind of expect 499 which is probably what a lot of early adopters would top out at too. 399 is my dream price which I highly doubt would ever happen. 449 is the just maybe but probably not price but sony really wants to get systems in people's hands.