Bloomberg: PlayStation 5's Bill of Materials have been pushed up to $450 due to scarce NAND and DRAM components

asmith906

Member
Oct 27, 2017
8,351
Times have changed. Lots of consumers have no issues buying smartphones and macbooks at a premium today. Those prices have really skyrocketed. The Xbox one X was sold for 499 and not to much backlash either.

I don't see an issue with a 499 PS5. If its marketed well, it will sell. Even 599 would work if the thing is really delivering unlike the PS3 that didn't offer much compared to the competition that was already available and far cheaper to boot. Most powerful Xbox won't be sold for under 499 I reckon.
People usually buy phones on a contract they pay monthly
 

Deusmico

Member
Oct 27, 2017
431
with a console, you need to get games as well, not to mention an online sub. not comparable to a phone
 

DrowsyJungle

Member
Oct 25, 2017
39
PS5 will be $399...this article is a nice tactic to persuade buyers to thinking the box should be $499 though. It's typical of any marketing strategy, put a higher price in the consumers head and undercut it to make it seem like an unbeatable deal at release.
 

c bweezie

Member
Jan 8, 2020
39
I think it will be pretty standard, in terms of non-cross-gen games. That is, a minority of the games of course, but more than one or two. I think it's maybe not coincidence that the first two PS5 games we know about are not also coming to PS4. Assuming they're at launch, that's two already, and they haven't even discussed first party offerings yet. Add in a couple more first party, a couple of partnered indie/second-party titles, and I expect it'll be a fairly standard launch in terms of exclusives vs cross-gen titles.
We'll see how it shakes out. I think there's going to be a quick pivot away from games not being cross-gen.
 

UltraMagnus

Member
Oct 27, 2017
9,260
$499.99 is fine. You're not going to die if you don't have a new console on day 1 anyway, this is the first gen in a long time where I'm passing on getting a new console straight away, they can drop the price later and there's unlikely to be many exclusives.
 

DarkFlame92

Member
Nov 10, 2017
3,761
I prefer a $500 price instead of $400,because it most likely means more power and the gen leaps need as much power as they can in their base consoles
 

Arcade55

Member
Oct 27, 2017
2,641
History has taught us that whoever starts with that lower price point will have a nice advantage, at least at the start of the generation. I would accept 500 for both consoles, but I would not be shocked in the slightest if one of them decides to eat a loss and go for 400 instead.

It would hardly be the first time they've eaten a loss on a console. The OG Xbox and the PS3 were hugely expensive compared to launch price. (I think both the PS3 and the 360 sold at almost 200 dollar a console loss)

Also, the majority of your consoles won't sell until the 2nd or even 3rd year. That first year sales aren't going to be as insane as later, at which point the cost of manufacturing will have decreased.
 

DavidDesu

Member
Oct 29, 2017
3,672
Glasgow, Scotland
I’m still hoping for Sony to offer a similar deal that Microsoft does for a two year contract with Gamepass and online play included. I’d buy my PS5 straight from Sony if they did this for say £25 to £30 a month. I know people say if you want to buy your PS5 on credit there’s tons of options but a neat offer direct from Sony themselves just feels better to me. If they do PS+ and PS Now combined together and I’m not paying a large sum up front I’m very happy. It can help mask the shock of an expensive console.
 

joedick

Member
Mar 19, 2018
624
If it's $499 it will also sell out at launch
Not necessarily. PS4 did so well out of the gate partly because the Wii U was tanking and MS bungled the XBone launch with a higher price and the bad buzz around not allowing used games. This time around Switch will be peaking and MS may offer a viable alternative. A sellout, especially at a high price, is not guaranteed.
 

m29a

Member
Oct 25, 2017
253
I think it'll be $499, and well worth it too considering the supposed specs. I think it is better to have to spend a little more to get a more powerful machine out of the gate rather than be a bit underpowered. And I fully get that not everyone can spend that much more, fair enough, but as some have said, waiting is an option, you don't have to have it on day one.
 

LordBlodgett

Member
Jan 10, 2020
192
Yes or more.

Put me on the side of $600 price tag here. That price the article is referencing is just the BOM. Hardware/Software, not build labor cost or packaging or shipping or retail adjustments. I really don’t think they settle at $400-$500
BOM usually includes manufacture, but not packaging, shipping, retail, etc.....

PS4 BOM was $381 and they sold at $399 out of the gate. Xbox One BOM was $471 and the sold at $499, after taking out Kinect ($75 part) their BOM was $396 and they dropped the price to $399. I think price will come in near BOM. I'm expecting $449-499 all dependent on what MS does
 

xaosslug

Member
Oct 27, 2017
200
imo, this is Sony continuing to bait peeps w/ the *SUPER-DEE-DUPER EXPENSIVE NEXT-GEN CONSOLE PS5* narrative so when they announce $399 everyone will be all "omg! Bargain! MUST BUY!!" etc. lol
 

Sonicfan059

Member
Mar 4, 2018
2,692
I can see them losing money on it just to push it harder. But they've already said people would be surprised with the price in a good way.
 
Nov 4, 2017
1,931
he's talking about tariffs regarding the Trump administration. I haven't followed that situation in a while, but there were talks last year about the Trump administration increasing tariffs on China, and those tariffs would likely effect console prices.

The big 3 sent a letter to the Trump administration too, in opposition to them. I don't know if those tariffs are in effect, or haven't been put into effect yet. I honestly haven't followed that whole situation since November of last year, but it's a thing that's come up frequently whenever discussion of next gen console prices in the states have come up.
 

Lt-47

Member
Dec 1, 2017
66
Yah I don’t understand this. PS4 was a anomaly at $399 but it was also way underpowered. Both these new consoles actually have current desktop cpu/GPU/ssd components. People expecting $399 are going to be very disappointed.
It's a very different situation hardware wise though. The PS4 wouldn't have been significantly more powerful even at 499 because AMD didn't have a better CPU to give to Sony, regardless of the budget. That's no longer the case with Ryzen obviously
 

gofreak

Member
Oct 26, 2017
3,403
I can see them losing money on it just to push it harder. But they've already said people would be surprised with the price in a good way.
They haven't, I don't think? The closest they've said is that it will be "appealing", I think, given the hardware, which may not be quite the same as surprising.

(Of course, that's also the kind of non-comment that would work at whatever price, as long as it isn't 599 or something. Which makes sense if, at best, they only are sure of its price range at this point, rather than the actual singular price.)
 

Manmademan

Member
Aug 6, 2018
6,830
he's talking about tariffs regarding the Trump administration. I haven't followed that situation in a while, but there were talks last year about the Trump administration increasing tariffs on China, and those tariffs would likely effect console prices.

The big 3 sent a letter to the Trump administration too, in opposition to them. I don't know if those tariffs are in effect, or haven't been put into effect yet. I honestly haven't followed that whole situation since November of last year, but it's a thing that's come up frequently whenever discussion of next gen console prices in the states have come up.
Delayed/eliminated until December, will likely not take effect.
 

Afrikan

Member
Oct 28, 2017
5,539
I just want them to hurry up and announce it so I can pre-order.

With how much the PS4 sold this gen... I have to remember to not be complacent when pre-orders go up. 😔
 

Cerberus

Member
Oct 29, 2017
183
People want 10-12teraflops with lightening fast SSDs and big amounts of ram but want to pay $399????? Good luck, it’s as if common sense really is rare these days.
 

Dr Pears

Member
Sep 9, 2018
1,427
Didn’t they take huge losses on Ps3 back when PS Plus wasnt a thing to make them a butt ton of money and their exclusives weren’t selling 10m+ copies yet?
 

Cranster

Member
Oct 25, 2017
5,341
Didn’t they take huge losses on Ps3 back when PS Plus wasnt a thing to make them a butt ton of money and their exclusives weren’t selling 10m+ copies yet?

Yes, but Sony as a whole was having issues around that time aswell. By the end of last generation the Playstation was probably the biggest reason they got through it.