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[tmlDan]

Regardless of what's happening to the yen, these are ridiculous price hikes.

You don't take a dump on your home market like this.

I don't think you can ignore this

It's not like they haven't tried, but the debt and inflation crisis set them back so far that it's been near impossible for them to recover from.

But this is what happens when you have an increase in money supply without it being paired with an increase in economic output for long periods of time, a situation which is currently taking hold in many advanced economies around the world at the moment.

Yea, that coupled with population decline since 2010 is not helping

 

[Fabieter]

I don't think you can ignore this

Yea, that coupled with population decline since 2010 is not helping

The yen made a strong recovery when Japan raised interest rates because investors sold their assets and brought the money back to Japan. However, this would have hurt Western markets and companies, so Japan chose to prioritize them, even at the expense of its own people.

 

[GHG]

I don't think you can ignore this

You don't need to ignore it, but when you sell your products globally you can offset it in other ways.

The biggest issue is the fact that their domestic market is one of the weaker ones for their current product lines. So do you risk pissing off customers overseas who make up the majority by raising prices there to offset the weaker yen, or do you do it domestically and risk pissing off a smaller proportion of your customers in your home market? Damned if you do, damned if you don't.

Yea, that coupled with population decline since 2010 is not helping

Something which is also at risk of happening in the US and Europe by the way.

 

[Tiago Rodrigues]

You don't need to ignore it, but when you sell your products globally you can offset it in other ways.

The biggest issue is the fact that their domestic market is one of the weaker ones for their current product lines. So do you risk pissing off customers overseas who make up the majority by raising prices there to offset the weaker yen, or do you do it domestically and risk pissing off a smaller proportion of your customers in your home market? Damned if you do, damned if you don't.

This is literally false. Japan is the 2nd biggest country for the PS5 behind the USA. It reached 4M consoles sold faster than even the UK.

 

[Unknown?]

Maybe Japan should focus on improving their economy instead, how a country is okay with 25 years of stagnant GDP is beyond me.

The US is. If priced in gold the US GDP is smaller than in 1971 when it cut ties to gold. That makes Japan even worse because inflation distorts GDP to make it look like it's growing and even with inflation, it was stagnant.

 

[GHG]

This is literally false. Japan is the 2nd biggest country for the PS5 behind the USA. It reached 4M consoles sold faster than even the UK.

Comparatively.

It's their home market and one which has always been a string one for videogames. They have previously done much better there and to make matters worse, Nintendo are currently wiping the floor with them. They currently have a lot of room for improvement domestically but their products (and games) cater more towards western audiences than they ever have.

 

[Fabieter]

Something which is also at risk of happening in the US and Europe by the way.

The total fertility rate in the United States saw no significant changes in 2022 in comparison to the previous year 2021 and remained at around 1.67 children per woman.

You need 2.1 to stay where you are without migration. So yes we are definitely getting there.

 

[Stitch]

Japan’s game market grew steadily in 2023, with the PC game market expanding by 25% - AUTOMATON WEST

Japan's game market experienced steady growth in 2023, with PC game sales and console sales rising (particularly the PS5 and Nintendo Switch)

automaton-media.com

Maybe that's one of the reasons why Sonys games are coming to PC

 

[Tiago Rodrigues]

Comparatively.

It's their home market and one which has always been a string one for videogames. They have previously done much better there and to make matters worse, Nintendo are currently wiping the floor with them. They currently have a lot of room for improvement domestically but their products (and games) cater more towards western audiences than they ever have.

Yes...during the PS2 and PsOne gens...20 years ago. It's time to move on.

 

[firegamer273]

increasing ps5 price when ps5 pro reveal is imminent . not a good move .

 

[Dr. Samuel Hayden]

Sony/MS are doing a great job of setting the stage for total PC/Nintendo domination next gen. Good job I guess.

 

[Fabieter]

increasing ps5 price when ps5 pro reveal is imminent . not a good move .

Maybe it's price gouging that the PS5 Slim will see a price cut in a few months. "Look, we listened."

The PS5 is in desperate need of a permanent price drop.

 

[Vyse]

Read this really fast and thought it said DEI increases price of the PS5….

Seriously, they need to offset the Concord losses.

 

[Famipan]

I feel bad for my fellow Japanese friends who still plays Elden Ring on PS4 but this move is important to prevent foreign scalpers taking advantage of the weak yen.

 

[nial]

Playstation's home market is Europe now.

 

[Sanepar]

No games and increasing the price.

 

[Tiago Rodrigues]

Exactly. This idea that it's some plot from USA and Europe against Japan, lmao.

 

[Physiognomonics]

The yen made a strong recovery when Japan raised interest rates because investors sold their assets and brought the money back to Japan. However, this would have hurt Western markets and companies, so Japan chose to prioritize them, even at the expense of its own people.

How stupid is that?

 

[Skifi28]

I got a PS5 1st. Nothing to pretend about, but of course you have to run cover even in this thread I guess. Carry on.

I got you fam, the little rascals have been reported for bullying.

 

[Rudius]

Imagine if everyone was this smart

Congratulations

 

[BattleScar]

The rhetoric around Japan and Japanese stuff in this forum is very strange.

 

[adamsapple]

Exactly. This idea that it's some plot from USA and Europe against Japan, lmao.

No one said anything remotely like that, lol.

 

[Physiognomonics]

Sony/MS are doing a great job of setting the stage for total PC/Nintendo domination next gen. Good job I guess.

Yep. They are digging their own grave. Sony will be not much without their own store / platform.

 

[Rudius]

I don't think you can ignore this

That's the whole world, Japan and South Korea are just ahead of the curve towards the abyss. Even the African continent will be below replacement level before we all die. It's the slow decline of humanity in the XXI century, sometimes accelerated by bad decisions. A recovery will not happen during our lives.

 

[thicc_girls_are_teh_best]

Geez, this is a big price increase! This could potentially kill all the momentum the PS5 has in Japan...

• PS5: 66,980 Yen 79,980 Yen;
• PS5 Digital: 59,980 Yen 72,980 Yen

It will. The return of 10K-12K weeklies is upon us.

To say nothing about the software sales :/.

Meanwhile, SIE are itching to bring more and more of what little makes PS5 unique to PC. PS5 Pro is going to be a tough sell this gen (if it even releases).

 

[Melfice7]

wise move if the plan is to kill any sales

 

[Killer8]

Maybe Japan should focus on improving their economy instead, how a country is okay with 25 years of stagnant GDP is beyond me.

The solution is simple:

 

[thicc_girls_are_teh_best]

The US is. If priced in gold the US GDP is smaller than in 1971 when it cut ties to gold. That makes Japan even worse because inflation distorts GDP to make it look like it's growing and even with inflation, it was stagnant.

Isn't the dollar the "world's reserve currency"? I figure that has something to do with the US staving off currency collapse compared to countries like Japan.

The yen made a strong recovery when Japan raised interest rates because investors sold their assets and brought the money back to Japan. However, this would have hurt Western markets and companies, so Japan chose to prioritize them, even at the expense of its own people.

That is depressing to hear. Every country deserves the right to be self-sufficient and sovereign. It's sad that Japan couldn't do that at a time where it would've really mattered.

We're really starting to see the negative (and some would say, "intended") side effects of globalism here. I mean when you really think about it, it's mainly benefited Western mega-conglomerates in the tech and entertainment spaces. Doesn't sound like the promise that sold to everyone decades ago :/

Well anyway, I don't want to get into that particular conversation, it's off-topic.

 

[StreetsofBeige]

So price of PS5 Pro will be…….?

 

[Unknown?]

Isn't the dollar the "world's reserve currency"? I figure that has something to do with the US staving off currency collapse compared to countries like Japan.

That is dwindling compared to just 24 years ago, but yes, it is. Used to be dollars were 70%+ of transactions worldwide, now it's 53% +/- a few percentile. It's only prolonging the inevitable though and I expect a collapse of the US dollar if nothing changes. Priced in gold, it has lost 98% of its value already in 110 years.

The world needs a return to sound and honest money, not bills of credit.

 

[BlackTron]

Regardless of what's happening to the yen, these are ridiculous price hikes.

You don't take a dump on your home market like this.

I'm unsure if they really have the wiggle room. How much does it cost to make a PS5? Are they protecting fat margins, or did someone just say "price it just above breaking even point"? The yen's slide and value vs other currencies where PS5 parts are made makes this a real question but I haven't gone forensic on it.

It totally sucks but I'm kinda glad a few heavy hitter PS5 games came out before the increase. Imagine if this happened at the beginning of the year and THEN stuff like Stellar Blade started coming out OUCH.

 

[daclynk]

 

[Little Chicken]

Interestingly, I just saw a post on a Japanese subreddit that in part blamed Xbox for a lack of competition in Japan, saying that they would never do this in the US while Xbox exists

 

[BlackTron]

I don't live in Japan so correct me if I'm wrong but I think this is the current options according to Google at least.

Series X 66,978 JPY
Series S 1TB is 49,978 JPY
Steam Deck is 59,800 JPY
Switch is 29,980 JPY

I'd definitely choose any of the above over that, but consumers love PS.

They already bought a Switch but nobody is getting a Switch "instead" of wanting exclusive PS games.

 

[jm89]

So price of PS5 Pro will be…….?

Well Japan are screwed.

In the west any more then $600/€600/£600

And they will need to be happy with sales cratering after a few weeks/months

 

[AmuroChan]

can you order everything or are there things not possible to ship in the EU?

Not everything, but there's a filter you can turn for all items eligible for Global shipping.

 

[StereoVsn]

As of right now, if you were to travel to Japan with USD, basically everything would be 40% off for the person with USD considering right now $1 equals 144 yen.

That’s been getting better though. It was around ¥160 to $1. And it probably will keep rising as IS Fed starts decreasing rates. And JP Fed will be increasing again once stuff calmed down after the dumb panic couple weeks back.

 

[Chu Fye]

As the title says, SIE will increase the price of the PS5 in Japan starting from the 2nd of September 2024.

The price of the PS5 slim will go from 67k yen to 80k yen and the Digital will go from 60k yen to 73k yen.

More info at:
https://blog.ja.playstation.com/2024/08/27/20240827-ps5/

cash grab

 

[Rusty Shackelford]

Next gen definitely gonna be $599.

 

[LordCBH]

Dumb. Beyond dumb.

 

[unlurkified]

I get why Sony is doing it, but it will probably harm PS5 sales.

This will absolutely make PS5 sales fall off a cliff here. I don’t know if people realize, but in terms of purchasing power, ¥10,000 is basically the equivalent to $100, so this is essentially an $800 purchase for Japanese people. Most consumers are gonna look at that price and say, “no way in hell,” and just go Switch/PC.

Of course we know Sony feels the need to do this with the weak yen (which is improving), but they’re essentially willing to kill off the brand in Japan with this.

 

[thicc_girls_are_teh_best]

Interestingly, I just saw a post on a Japanese subreddit that in part blamed Xbox for a lack of competition in Japan, saying that they would never do this in the US while Xbox exists

Well the theory why SIE haven't (really) raised the price in the US yet is because of Xbox, but Xbox sales have been declining even in America the past two years. To the point where they are lesser competition.

The way things are going in Japan, though, I strongly doubt we'll be seeing PlayStation as a priority for most Japanese 3P and SIE will get even fewer 3P exclusives from there than the paltry amount they are already getting.

 

[Dorfdad]

Instead of traditional price drops, we are getting hikes. This generation has been terrible, the question is. Is it greed or are the profit margins on consoles so low now they have zero choice. Remember back in the day when companies took loses on hardware, doesn't feel like that anymore. I know the dollar sucks and the economy sucks. Consoles are a luxury item. This is why I don't believe a Pro model is around the corner, sounds like suicide.

Or is it just for the share holders.

It’s all for shareholders. That’s the root of the problem in gaming now. Most gaming companies used to be privately funded institutions and now they are being bought out by publically traded companies who look for continuous growth. They chase trends, micro transactions, and pay attention to woke / political trends.

The minority of people complain on social media endlessly making it seem like the majority care when the reality is the masses just play the games.

 

[jshackles]

When I came back from Japan a few months ago there was a guy trying to go through customs with like a dozen PS5s all brand new in the box, and was arguing with the customs official that they weren't for resale...

So, yeah. Makes sense.

 

[ZehDon]

Given the Yen's performance, this makes sense. We've seen other players raise their prices in Japan, also citing the Yen's performance.

 

[cripterion]

Fucking damn insane.

It is, Sony can get bent.

 

[DarkArterialGore]

The solution is simple:

 

[iHaunter]

Gotta make up for the concord crash somehow

It's because of the Yen tanking. Think before you speak. This is not a console warring thread.

 

[FoxMcChief]

For the players shareholders.

 

[CuckooBananaNuts]

For the players shareholders.

Jacking up prices causing people to buy less consoles is neither good for players or shareholders.