PS5 |OT| now with PlayStation Portal

[kitler53]

I don't think anyone is expecting $400 for the regular PS5. PS5 could be $500 and what Sony said would make sense. It would also make a lot of sense if they weren't planning a digital console when they released the first estimate. It did take everyone by surprise in June, which suggests it wasn't in the planning for long. It wouldn't need to be planned for long either since its just PS4 with no disc drive. You wouldn't need much notice to start the production of it.

Perhaps Sony saw the opportunity of the pandemic and the competition of series S and later decided to make the digital edition which would be much cheaper and allow them to double the order of consoles. Just a theory, we don't really know enough about this. What we do know is Sony is making 10 million consoles this year and will want to quickly sell them all. If PS5 is really expensive I don't think they will.

correct me if i'm wrong but i think the 10 million was for the fiscal year,.. so ending in march.  

mayhaps you are right about the digital version thing.  i'd suspect not.  i agree it's not a large turn around time on that but it just seems unlikely to me that it came into existence since the beginning of this year.   psp had a cartridge-less version.  xbox one had a disc-less version.  digital is clearly making huge strides this generation.   if they weren't talking about a disc-less version years ago something is really wrong with sony.   i think the surprise is just more that sony is much, much better at keeping secrets then ms.

[Xevross]

correct me if i'm wrong but i think the 10 million was for the fiscal year,.. so ending in march. 

mayhaps you are right about the digital version thing.  i'd suspect not.  i agree it's not a large turn around time on that but it just seems unlikely to me that it came into existence since the beginning of this year.   psp had a cartridge-less version.  xbox one had a disc-less version.  digital is clearly making huge strides this generation.   if they weren't talking about a disc-less version years ago something is really wrong with sony.   i think the surprise is just more that sony is much, much better at keeping secrets then ms.

You are wrong! Articles reporting on the issue kept mixing it up but the original source (Bloomberg) specified 5 million produced by end of september and 10 million by end of december.

You're right they'd definitely have been considering it for a long time but it could be that they were thinking not to do a discless version or at least not at launch, then the covid situation tipped them over the edge and made them decide to do it for launch. They need to capitalise on the uptick in the industry with a more accessible price point.

Anyway, back on price that $450 BOM leak we got from Bloomberg seemed very reliable with Zhuge backing it up as well and prices seem to have gone down since then. Given that, $550+ would be selling at a profit and we know Sony will take a loss, so that's not happening. If the BOM leak is right, $550/$500 is the upper bound for both editions and even that would be a profit on HW for Sony.

[kitler53]

You are wrong! Articles reporting on the issue kept mixing it up but the original source (Bloomberg) specified 5 million produced by end of september and 10 million by end of december.

You're right they'd definitely have been considering it for a long time but it could be that they were thinking not to do a discless version or at least not at launch, then the covid situation tipped them over the edge and made them decide to do it for launch. They need to capitalise on the uptick in the industry with a more accessible price point.

Anyway, back on price that $450 BOM leak we got from Bloomberg seemed very reliable with Zhuge backing it up as well and prices seem to have gone down since then. Given that, $550+ would be selling at a profit and we know Sony will take a loss, so that's not happening. If the BOM leak is right, $550/$500 is the upper bound for both editions and even that would be a profit on HW for Sony.

Well, not to be a grammar nazi here but if the article stated 10 million produced by the end of december that would align with 10 million shipped by march.  a unit fresh off the conveyor belt in china won't count as part of the quarter's shipment.  i may be off but I don't think sony can take credit for shipped until the customer receives their product.  ...as in it's still not technically shipped during the 4 weeks its on a boat in the middle of the pacific en route to america or whatever its going.  but it is "shipped" while the unit is in transit from walmart's central distribution centers to individual walmarts for resale.

i am fully in agreement with you here.  those declaring $600 clearly don't grasp the every playstation and xbox product to-date has sold at a loss at launch.  some bigger than others obviously but a $50 loss is nothing in this business,.. i believe ps3 was a $300 loss.   a BoM of $450 does not translate to an expected MSRP of $600.  that's just silly given generations of evidence to the contrary.   it's part of why i vastly prefer consoles to pc.   ease of use,.. of course.   but a gaming pc is stupidly expensive compared to consoles even if you add in 7 years of ps+.   i mean for ducks sake, that RTX 3080 everyone is gushing about being a console killer is $700...

[Xevross]

Well, not to be a grammar nazi here but if the article stated 10 million produced by the end of december that would align with 10 million shipped by march.  a unit fresh off the conveyor belt in china won't count as part of the quarter's shipment.  i may be off but I don't think sony can take credit for shipped until the customer receives their product.  ...as in it's still not technically shipped during the 4 weeks its on a boat in the middle of the pacific en route to america or whatever its going.  but it is "shipped" while the unit is in transit from walmart's central distribution centers to individual walmarts for resale.

i am fully in agreement with you here.  those declaring $600 clearly don't grasp the every playstation and xbox product to-date has sold at a loss at launch.  some bigger than others obviously but a $50 loss is nothing in this business,.. i believe ps3 was a $300 loss.   a BoM of $450 does not translate to an expected MSRP of $600.  that's just silly given generations of evidence to the contrary.   it's part of why i vastly prefer consoles to pc.   ease of use,.. of course.   but a gaming pc is stupidly expensive compared to consoles even if you add in 7 years of ps+.   i mean for ducks sake, that RTX 3080 everyone is gushing about being a console killer is $700...

Who said shipped? I said Sony was making 10 million consoles this year. We don't know how many they plan to ship by the end of March, that wasn't what any leak/ info has said.

Also yeah, each individual part in a PC is sold at a profit while a console is sold at a loss in total, so its way, way more value.

[the-pi-guy]

Sony began PS5 mass production in June and, under the latest plan, expects to assemble 5 million units by the end of September and another 5 million between October and December. A large portion of the latter tranche would turn into stock for 2021 due to the logistical delay. Sony could try to use air cargo for faster delivery, as it did in 2013 around the launch of the PlayStation 4, though airlines are running vastly reduced schedules due to Covid-19 and Sony's ability to reserve flights would be limited.

I don't think the Covid boost would be big enough to overcome a much higher price tag for PS5 to outsell PS4's launch.  

[kitler53]

Who said shipped? I said Sony was making 10 million consoles this year. We don't know how many they plan to ship by the end of March, that wasn't what any leak/ info has said.

Also yeah, each individual part in a PC is sold at a profit while a console is sold at a loss in total, so its way, way more value.

i did?

yes, but clearly that upward estimate was due to covid-19 clearly have a positive impact on the demand for video game products.   when sony made the lower forcast covid had not yet closed america if i remember correctly and thus sony's estimate was based on the rules for a "normal market".   but sony was crystal clear at the time,.. they expected demand to be lower due to higher price of the hardware.   thus i don't think it is unfair to expect a price higher than $400 for ps5.  costs will not have suddenly become significantly lower recently.  sony's adjustment was due to clear and measurable evidence of an increase in demand for video game products due to the covid lock downs and self isolation.

not so directly maybe but i was talking in context of sony's forecast warning to investors.  that has implications of being sony's shipped numbers as they would appear in quarterly financials.  

I don't think the Covid boost would be big enough to overcome a much higher price tag for PS5 to outsell PS4's launch.  

mayhaps.   obviously neither of us know.  

just an alternative theory,.. if you saw sony's latest financial the you'd have seen just how much growth digital games had vs physical games since the covid lock down.   it may be (in part) that sony thought the expensive disc version of the ps5 would be the leading platform but now believes the discless version and presumably cheaper version will be much more popular now that almost the entire market has suddenly become quite ok with buying games digitally.

[the-pi-guy]

The article was from mid april. Much of the US was already affected.

The global Covid-19 pandemic has affected Sony's promotional plans for the new device but not its production capacity, they added.

The company has told assembly partners it would make 5 to 6 million units of the PS5 in the fiscal year ending March 2021, according to other people involved in the machine's supply chain. When Sony released the PlayStation 4 in November 2013, it sold 7.5 million units in its first two quarters.

[Xevross]

i did?

not so directly maybe but i was talking in context of sony's forecast warning to investors.  that has implications of being sony's shipped numbers as they would appear in quarterly financials.  




mayhaps.   obviously neither of us know.  

just an alternative theory,.. if you saw sony's latest financial the you'd have seen just how much growth digital games had vs physical games since the covid lock down.   it may be (in part) that sony thought the expensive disc version of the ps5 would be the leading platform but now believes the discless version and presumably cheaper version will be much more popular now that almost the entire market has suddenly become quite ok with buying games digitally.

Well I mean when I stated the 10mil thing I said it was their plan to make, that's the only concrete thing we heard.

Yes I think its obvious that plans changed, there's no way COVID demand would lead them to expecting double the sales of their console launching in November, when we saw the effects on HW dropping away already in June in most places. I think its obvious COVID lead them to change their minds on other things, the huge rise of digital being one. I guess we'll never know for sure but it seems the most logical conclusion.

[Legend]

Unsure if old.
Returnal for PlayStation 5 is coming in 2021. pic.twitter.com/1v70BZMu2R

— Timur222 (@bogorad222) September 5, 2020

[BananaKing]

I expected returnal to be a 2021 game. Summer launch would be perfect for it as it won't have much competition and wouldnt get over shadowed.

Ratchet, gt7, returnal and horizon for a first year would be extremely strong.

If its a success I can see sony buying housemarque games

[DerNebel]

I mean all of Sony's first party games shown in June are aiming to be out before the end of next year. Question will be if they'll make it and if Sony might actually still be holding games back games that they are looking to release in the first year.

[the-pi-guy]

I mean all of Sony's first party games shown in June are aiming to be out before the end of next year. Question will be if they'll make it and if Sony might actually still be holding games back games that they are looking to release in the first year.

And here I thought that GT7 wasn't going to be coming until 2023. *smh*

[DerNebel]

If we aren't getting anything substantial by the end of next week I'll.... probably do nothing aside from being pissed, because I can't really do anything.

This shame suuuuuuuucks!!!!!

[the-pi-guy]

If there's no announcement of a show by Friday we will have to write a very sternly written letter to the editor and demand that they give us what we want.

[kitler53]

i'm officially on a poop strike.   i'll not shame again until ms and sony show me their shame.