Yesterday Sony Interactive Entertainment CEO Jim Ryan revealed the hike in PlayStation 5 prices. While it was a massive shock for everyone, Ryan said it was a difficult decision that had to be made to meet the financial structure. But the central point highlighted was the demand and supply chain issue. Phil Spencer has also chimed in on the console demand situation as well.
Since the pandemic, the availability of all next-gen consoles and PC components had been rather low, with their prices skyrocketing.
Phil Spencer on the Console Demand
In a recent interview with Bloomberg, Xbox CEO Phil Spencer stated that he believes that the availability of the consoles will still be a problem going into the holiday season. The holiday season is when companies sell the most consoles, and with it being just a couple of months away, there is no way supply can be met right now.
“I still think demand will outstrip supply for us this holiday. We’ll see when we get into 2023, you’ll start to see more, that supply is catching up with demand, and maybe actually see one in the store when you walk in.”
Xbox officials already stated earlier this year that in 2022 supply chain will be an issue. Although the issue is being tackled, 2023 will improve the availability. Amid the lesser availability, Microsoft stated that it had sold record Xbox this generation compared to any of the previous ones. And if the number is correct, better supply could see an even marginal boost in the numbers.
Addressing the Increase in MSRP
As for the pricing, while everyone was anticipating Microsoft to walk in Sony’s shoes and increase the MSRP on the consoles, it doesn’t seem to be happening any time soon. Talking to Windows Central, A Microsoft representative confirmed they have no plans to increase the prices. It’s a breath of fresh air considering that now the price is lower than PlayStation and how good of a deal is the Xbox Game Pass.
With the battle of exclusives going downhill (as stated by Phil Spencer), it’s really up to the person to decide whether they want to be a part of team green or blue. Whatever it may be, we hope for healthy competition and better supply, as all gamers want.
Do you prefer an Xbox or a PlayStation? What do you think of Phil Spencer’s comments on the console demand? Let us know in the comments down below.