News Lack of Competition from Xbox Partly Why PS5 Pro Is $700, Says Analyst

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All anyone's really talking about when it comes to PS5 Pro is the mid-gen console's price point, and it's easy to understand why. Even for gaming enthusiasts, an MSRP of $699.99/£699.99 is a hard pill to swallow, regardless of how much more powerful the machine purportedly is than the regular PS5. While there will be various reasons why the price is what it is, one analyst has suggested a lack of competition is very likely one of them.

Piers Harding-Rolls, a games industry analyst for Ampere, says the pricing strategy for PS5 Pro aligns with Sony's desire to "protect its margin", simply meaning it doesn't want to sell the console at a loss. He also cites "supply chain inflation" and "a lack of direct competitor to its mid-cycle upgrade compared to last generation" as further reasons for the $700 cost.

Harding-Rolls is of course referring to the PS4 Pro and Xbox One X — competing mid-gen consoles boasting enhanced capabilities over the standard versions. At the time, the PS4 Slim retailed for $299 while the PS4 Pro was $399, "a 33% differential". Compare that to PS5 and PS5 Pro, where there's a larger "40-50% differential" — and no direct competition from Xbox.

"The lack of competition means it is an easier decision for Sony to run with a higher price point to protect its existing margins," Harding-Rolls says. "For most prospective PS5 consumers, the standard edition will represent the value sweet spot."

Ampere forecasts PS5 Pro will sell 1.3 million units "in the 2024 launch window", compared to the 1.7 million managed by PS4 Pro. "We expect the price point to soften demand with some consumers, but for PlayStation enthusiasts the pricing is less of a consideration," Harding-Rolls predicts. He goes on to forecast 13 million unit sales for PS5 Pro by 2029, representing roughly 12% of all PS5 sales (assuming it'll achieve a similar dynamic as PS4 and PS4 Pro).