Hardware Costs
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Sony announces price hikes for PS5, PS5 Pro, and PlayStation Portal
Sony has announced price increases for the PlayStation 5, PlayStation 5 Pro, and PlayStation Portal, effective April 2026 globally. The company cited rising global costs, inflation, and supply chain challenges as reasons for the adjustments. These price hikes are unusual for this stage in the console lifecycle and highlight broader economic pressures affecting the gaming industry.
Analyst: Nintendo Switch 2 Japan-only model may be generating loss of $160 per unit
Toyo Securities analyst Hideki Yasuda estimates that a Japan-only model of the Nintendo Switch 2 could be losing Nintendo approximately $160 per unit sold due to high manufacturing costs exceeding its retail price. Yasuda suggests Nintendo may need to revise pricing or release custom models to improve the console's profitability.
The "video game preservation service" Myrient is shutting down in March
The video game preservation service Myrient is set to shut down on March 31, 2026, due to insufficient funding and rising hardware costs. The owner cited a lack of donation support, the rise of paywalled download managers bypassing site protections, and increased prices for RAM, SSD, and HDD due to AI demand as reasons for the closure. This marks a significant loss for accessing classic games not readily available elsewhere.
How a surge in memory prices will affect the game industry
A surge in demand for DRAM and NAND memory, driven by AI infrastructure expansion, is significantly increasing prices for components used in gaming hardware and development. This trend is expected to squeeze hardware margins for consoles like the PlayStation 5 and Nintendo Switch, potentially leading to price adjustments for subscriptions and peripherals. PC gamers may delay upgrades, while developers face rising server costs, necessitating smarter infrastructure strategies.
Nintendo says Switch 2 price will be "affordable" - so that's nice
Nintendo President Shuntaro Furukawa stated that the upcoming Nintendo Switch 2 will be priced affordably, acknowledging consumer expectations despite rising inflation and exchange rate changes. While no specific price was revealed, speculation suggests it could be around $400, undercutting competitors like the PlayStation 5 and Xbox Series X. The current Nintendo Switch lineup will not see price reductions and will remain on sale alongside the new console.