According to Bloomberg, Sony has adjusted its sales forecast for the PS5 in its 2023 fiscal year ending March 31st, projecting 4 million fewer units sold compared to previous estimates. Originally anticipating sales of 25 million consoles, Sony has revised the figure down to 21 million.
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Despite an increase in PS5 sales during Sony’s third quarter, rising to 8.2 million units from 6.3 million the previous year, the figure fell short of previous projections by about a million units. This occurred despite the release of the highly anticipated first-party title Spider-Man 2, robust sales of third-party titles, and the introduction of a slimmer PS5 model in November.
While Sony’s gaming revenue experienced a 16 percent uptick in the third quarter compared to the previous year, reaching 1.4 trillion yen (approximately $9.3 billion), operating income dipped by 26 percent to 86.1 billion yen (about $572 million) due to promotional activities during the quarter ending on December 31st.
In light of the PS5 nearing its fourth year on the market, Sony intends to prioritize profitability over unit sales. Sony senior vice president Naomi Matsuoka stated that as the console enters its later stage, the company will strive to strike a balance between profitability and sales. Consequently, Sony anticipates a decline in the annual sales pace of PS5 hardware starting from the next fiscal year, with no plans to release major existing franchise titles in the upcoming fiscal period.
The console market is poised for heightened competition in 2024. Microsoft is anticipated to unveil a refreshed Xbox Series S and a disc-less Xbox Series X codenamed Brooklin, featuring double the storage capacity of its current model. Additionally, Nintendo is expected to introduce a successor to its seven-year-old Switch console. Sony may also be gearing up to launch new hardware, with rumours circulating about a late 2024 release of the PS5 Pro.
