There’s a phrase that seems to be appearing more and more often these days – at least in the increasingly left-wing social media circles in which I find myself after hours of doomscrolling. The “cost of living crisis” that we’re all feeling biting us in the backside is being reframed as a “cost of greed crisis,” as massive corporations continue to profiteer off the misery of ordinary people. It’s incredibly galling to see a company pleading poverty in public statements, then turning around to its shareholders and boasting of record-setting profits, but it’s something that we see more and more often these days. Corporations will claim they’re “suffering” through this crisis just like the rest of us – but they still seem to find the money to pay massive shareholder dividends and furnish their executives with eye-watering bonuses.
It’s through this lens that I view Sony’s PlayStation price hike. If you’ve missed the news, Sony is jacking up the price of PlayStation 5 consoles around the world from a recommended retail price of £449 to £470 here in the UK, and from €499 to €549 in the European Union. Similar price hikes are taking place in Australia, Canada, China, Japan, and Latin America – although the USA seems to have escaped, at least for now.
This is unprecedented for a games console. As time goes by, consoles have always seen price reductions, not price increases, and as each generation of home consoles wears on there’s an expectation that manufacturers will lower the price, enabling more and more people to pick up the latest machines. Sony is bucking this trend in the worst way possible and at the worst time possible, throwing into chaos plans many folks will have had to pick up a PlayStation 5 in the run-up to the holidays.
At a time when many of us are suffering as a result of inflation, excessive bills, and other financial pressures, it’s incumbent upon corporations like Sony to try to minimise the damage. Sony doesn’t need to jack up the price of PlayStation 5 consoles now; doing so is pure greed and a desire to make already-excessive profits look positively gluttonous. It’s a reminder, if one were needed, that no corporation is ever a friend. Corporations’ loyalties lie with those who are already wealthy: the 1% who own massive stock portfolios and for whom there will never be a choice between going cold or going hungry. Sony has nailed its colours to the mast with this decision – but it’s hardly the only corporation to be using the current cost of living and inflation crises as a paper-thin excuse for profiteering.
Sony has already demonstrated how anti-consumer it can be with the piss-poor launch of the PlayStation 5, one of the worst console launches ever. By failing to produce enough machines, Sony played right into the hands of touts and scalpers, ensuring that many players – and many children – were left disappointed and unable to acquire a console. Those who did either had to be exceptionally lucky to find a shop that had a console in stock or pay ridiculously-inflated rates to a scalper. Sony took no action whatsoever to prevent this, and for months after the console launched it wasn’t uncommon to see units on auction sites and private social media sales where prices were more than double the RRP.
In addition, most new PlayStation 5 games have seen a huge increase in price since the beginning of this new console generation. Games that used to cost $60/£55 now regularly go for $70/£65 – and that’s often just for the “base” or “core” version. Complete games, including pre-order bonuses, special editions, and the like can easily be in excess of £100. So players are being hit and hit again by Sony – and by other greedy companies in the gaming realm.
At the end of July, shortly before this PlayStation price hike was announced, Sony made another announcement. The corporation told investors and shareholders that it was predicting profits for the 2022-23 financial year of $8.4 billion. Let’s repeat that: Sony expects to make $8.4 billion of pure profit over the next few months – and they have the sheer fucking audacity to turn around a couple of weeks later and tell players that it’s getting too expensive to make PlayStation 5 consoles so the price has to go up. Two words for you, Sony: fuck off.
Earlier in the year, Sony also announced record-setting profits in both its film and music divisions, with Sony Pictures making a profit of $394 million in just the first quarter of the year and the corporation’s music division surpassing that, posting a quarterly profit of $471 million. This reminds us of something important, too: Sony is a massive corporation whose reach extends far beyond gaming.
Even if we accept Sony’s claim at face-value – that manufacturing PlayStation 5 consoles and buying the required components has become more expensive – then Sony, as a massive corporation, can easily offset any increased costs with the record-breaking profits it’s been making in other fields. Music and cinema are just two examples shown above, but Sony also has many other profitable business divisions and subsidiaries, and by taking a tiny fraction of those record profits, Sony could have avoided passing the price increase on to the rest of us at a time when inflation and the cost of living catastrophe is really hurting a lot of people.
This is pure greed, there’s no two ways about it. Sony has demonstrated, in truly callous and uncaring fashion, just how little respect or care it has for practically everyone. And if you’re an American thinking that this isn’t coming your way: I wouldn’t bet on it. Sooner or later Sony – and perhaps other corporations in the gaming space, too – will increase your prices just like they have in the rest of the world.
We could talk at length about where inflation has come from, what’s causing all of these problems (and spoiler alert, it isn’t all Putin’s fault), and maybe one day we should. But for now, I think it’s enough to say that this price hike from Sony is about greed. Sony is a greedy, money-grubbing corporation that has chosen to screw over its own fans and players at a time when it’s already making more money than it’s ever made before. Sony will soon be paying out some of that money – your money – to shareholders in the form of dividends and to executives in the form of massive bonuses, all while the rest of us are barely keeping our heads above water with a huge storm heading our way this winter.
For some folks, a PlayStation 5 was something that, despite shortages, they were still hoping to pick up in the months ahead. For some parents, a PlayStation 5 seemed like a great Christmas gift. Sony is doing everything it can to hurt those people, forcing them to pay more unnecessarily at a time when people simply can’t afford it.
Profiteering is absolutely disgusting and Sony should be ashamed of itself.
PlayStation and PlayStation 5 are the copyright of Sony/Sony Interactive Entertainment. This article contains the thoughts and opinions of one person only and is not intended to cause any offence (except to corporate profiteers).