Sony has announced a price hike for the PlayStation 5 as the console enters its fourth year
One of the best and biggest gaming consoles of the world and gathering a large community of gamer's world wide the Sony Play-station is going to be little more expensive for those residing in japan region
In a surprise move, Sony has announced a major price hike for its flagship console, the PlayStation 5 (PS5). . Starting September 2, the retail price of the PS5 will increase to ¥79,980 (about $553), which represents a 19% increase from the previous price.
Reasons for the price increase
Sony attributes the price increase to a challenging external environment, including fluctuations in the global economy. Although the PS5 is the cornerstone of Sony's gaming lineup, the company is facing rising costs due to this overhaul.
Impact on sales and market potential
The PS5 is approaching its fourth anniversary, with an official brand release in November. Despite its continued popularity, the PS5 saw sales decline in the June quarter. However, Sony's gaming division saw an increase in revenue and earnings, thanks to strong sales of console games and services.
Investors are eagerly waiting for PS5 update to generate revenue and increase. Analysts say that the Pro version of the console can be introduced later this year, which can revive the market and attract more customers.
Legal settlement and market reaction
Apart from the price hike reports, Sony also settled a legal dispute with Zee Entertainment over the $10 billion merger of their Indian units. The decision helped the market to gain traction, with Sony shares closing 2.8 percent higher in Tokyo.
The rising price of the PlayStation 5 is indicative of the broader economic pressures facing the tech and gaming industry. As the PS5 continues to be a popular choice for gamers, the upcoming release of the Pro version will play a major role in boosting sales and maintaining consumer interest..
