Sony’s PS5 sales are falling amid rising prices and the memory crisis

Sony sold just 1.5 million PS5 consoles in its most recent fiscal fourth quarter, down 46 percent year over year. The decline in PS5 sales comes after Sony Raise the price Of its PS5 controllers twice Over the past year, the price of the regular PS5 has risen from $499.99 to $649.99.

Sony blamed “ongoing pressures in the global economic landscape” for the price hike in March, amid an ongoing memory crisis and pressures caused by the war in Iran. Sony now expects annual gaming revenue to decline by six percent, but that forecast may be affected by ongoing memory costs. “We plan to base our PS5 hardware sales in FY26 on the amount of memory we can afford at reasonable prices and expect hardware profitability to be essentially the same as it was in FY25,” Sony says.

Sony previously revealed In February it had secured the “minimum amount needed” of memory to manage the end-of-year shopping season, and was working “with various suppliers to secure sufficient supplies to meet our customers’ demand”. During the entire 2025 fiscal year, Sony sold 16 million PS5 consoles, down from 18.5 million in the previous fiscal year.

It’s a tough market for hardware in general right now. Microsoft Recently revealed Its Xbox revenue fell 33 percent year over year. Along with the decline in Xbox hardware revenue, Microsoft also announced a 5 percent decline in Xbox content and services. Nintendo too Switch 2 prices raised by $50 On September 1, he expected sales to decline over the next year.