
Sony Leadership Contemplating Price Hikes & Potential US Production Line for PS5
A month ago, Sony increased its PlayStation 5 home console prices for EMEA and ANZ regions—affecting customers in Europe, Middle East, Africa, Australia and New Zealand. At the time, industry experts surmised that company leadership was considering a similar strategy for a primary market: North America. Instead of freshly implemented 25% upward hikes for certain products/packages, reports suggested a 30% climb—for the North American market. Weeks later, company leadership has discussed this hot topic. During yesterday's (projected) earnings call with investors, top brass confirmed their consideration of "passing along" additional costs to consumers—in response to a reported/anticipated 100 billion yen (~$680 million) impact from US tariffs. They outlined a stockpile of PS5 consoles; enough units have been accumulated for roughly three months of supply—unaffected by adjusted conditions, in the States.
Despite this provision, Hiroki Totoki—Sony's president/CEO—is open to exploring alternative production avenues, in the face of looming extra charges. When asked about this matter, he replied with: "hardware can of course be produced locally, I think that would be an efficient strategy. PS5 is being manufactured in many areas, whether it is going to be manufactured in the US or not—it needs to be considered going forward." In efforts to navigate a trying situation, Nintendo has juggled its geographic manufacturing footprint—recent-ish developments have shifted away from a complete reliance on Chinese facilities. Industry insiders reckon that the bulk of US-bound Switch 2 units will be Vietnamese-made. Like Sony, Nintendo's executive team has publicly disclosed thoughts about future price hikes—maybe following the launch of its much-anticipated "next-gen" hybrid console. Earlier this month, Microsoft upped modern Xbox portfolio price tags—affecting customers across the world.
Despite this provision, Hiroki Totoki—Sony's president/CEO—is open to exploring alternative production avenues, in the face of looming extra charges. When asked about this matter, he replied with: "hardware can of course be produced locally, I think that would be an efficient strategy. PS5 is being manufactured in many areas, whether it is going to be manufactured in the US or not—it needs to be considered going forward." In efforts to navigate a trying situation, Nintendo has juggled its geographic manufacturing footprint—recent-ish developments have shifted away from a complete reliance on Chinese facilities. Industry insiders reckon that the bulk of US-bound Switch 2 units will be Vietnamese-made. Like Sony, Nintendo's executive team has publicly disclosed thoughts about future price hikes—maybe following the launch of its much-anticipated "next-gen" hybrid console. Earlier this month, Microsoft upped modern Xbox portfolio price tags—affecting customers across the world.