PlayStation 6 could cost more than $1,000: As the rising component costs push next-Gen pricing higher
Sony is actively developing next-generation PlayStation hardware, with its work on AI-driven graphics technology already providing a glimpse of the direction ahead. Project Amethyst, Sony’s collaboration with AMD, has produced upgraded PSSR technology focused on sharper image reconstruction, improved motion stability and better performance.
The latest update is especially significant: Sony has now introduced QSSR (Quick Spectral Super Resolution) for PS5, bringing AI-based upscaling technology derived from Project Amethyst to the current console.
Sony has not yet officially announced the PS6 or PS6 Pro, and no confirmed release date, specifications or design have been revealed.
These prices are far higher than Valve wanted them to be. Back in February, the company pushed back the launch of the Steam Machine as a result of memory shortages, and Valve has said that the initial batch of Steam Machines will only be available in limited quantities. Across the industry, the generative AI boom is having a seismic impact on component prices and supplies, and the Steam Machine price reveal is the latest evidence of the cost to consumers.
Although the Steam Machine is a PC at heart, it’s a console in form, and going beyond the $1,000 mark is, for many, breaking a psychological barrier in terms of what consoles should cost. But what effect will the pricing have on sales? What are the implications for the upcoming consoles from Sony and Microsoft? And what does this tell us about the market more generally?
Van Dreunen says that he wasn’t shocked at all to see Valve breaking the $1,000 barrier. “In fact, I predicted in March that we’d see the price of gaming consoles breach $1,000,” he says. “If anything, I underestimated the speed: even in my most pessimistic February revision, I had the top SKU near $899, and the entry price alone cleared that. It’s disappointing, certainly, because Valve prides itself on accessibility and fair pricing for consumers. But unless Valve is willing to heavily subsidize its upcoming device, it has to price in the runaway cost of memory and storage like everyone else.”
The next console generation could face a major problem before it even begins. Sony’s PlayStation 6 and Microsoft’s Xbox Project Helix are expected to arrive around 2028, but rising hardware costs could push their prices far higher than previous generations. It’s worth noting that Sony’s CEO recently admitted to not knowing when the PS6 will launch, so that’s just an estimate.
The impact would not stop at hardware sales. Ampere estimates that the PlayStation and Xbox games and services market could generate around $3.4 billion less by 2031 under the $1,000 scenario compared to a situation where both consoles launch at $700. That represents a 12% reduction in spending, as a smaller user base would also mean fewer people buying games, subscriptions, downloadable content, and other digital products.
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