It's a difficult time for gaming manufacturers and PlayStation is not immune. A widespread attempt to make generative AI profitable has resulted in a component crisis, making RAM, SSDs, and other computing parts exorbitantly expensive. It has affected the Steam Machine, raised the price of the Steam Deck, caused Xbox to increase its price tags twice, and made the PlayStation 5 more expensive than it was at launch. The industry is facing dire circumstances and PlayStation is now seeing the results immediately.
Last month was PlayStation's worst May for console sales since 2000. You read that right – PlayStation consoles just hit a 26-year low. Data from gaming analytic firm Circana (via IGN) revealed that, in May 2026 in the United States, "PS5 spending fell 43% year-on-year, and unit sales plummeted 58%." Increased hardware costs appear to be the driving force behind the downturn. The average price of a PS5 last month was $672, a 33% increase from May 2025.
This is uncharted territory for gaming consoles. Hardware typically grows more affordable further into its life span. A console's components gradually grow outdated, thus cheaper, so a console's price eventually lowers. That pattern has not held...
