PlayStation 5 sales reach 61 million consoles, but hardware sales decline

The financial results from video game companies continue to come in with results that tell us something about the state of the industry. This week it was Sony’s turn to give its latest quarterly financial report, (vía VGC) announcing that while the PlayStation 5 has surpassed 61 million consoles sold, the pace of sales has slowed.

In the most recent quarter, Sony sold a total of 2.4 million PlayStation 5 consoles, which represents a decline to 3.3 million units in the same quarter in 2023, and 4.5 million consoles sold in the same quarter in 2022. However, what is currently increasing is video game sales, which are up 12% year-over-year, resulting in a 33% increase in profit.

PlayStation 5 heading to The Latter Stage of Its Life Cycle

As the PlayStation 5 enters its fifth year in November, it is expected that sales of the console will begin to slow. Earlier this year, Hiroki Totoki, Sony’s president, COO and CFO, stated that the console was expected to reach this point in its life “a gradual decline in unit sales.” “Regarding PS5 hardware, which will enter its fifth year since launch, partially due to entering the latter stage of the console cycle, we’re aiming to optimize sales with a greater emphasis on balance with profits. So we expect a gradual decline in unit sales from next fiscal year onwards.” He continues: “Regarding first-party software, we aim to continue to focus on producing high-quality productions and producing live service games. But while major projects are currently under development, we do not plan to release any new major existing franchise titles next fiscal year like God of War: Ragnarok and Marvel Spider-Man 2.”

With a lack of exclusives this year, it is normal that the console vein lacks the incentive for those who have not yet purchased a console to consider doing so. This quarter alone, the PlayStation 5 received Stellar Blade as an exclusive, while other releases such as Ghost of Tsushima: Director’s Cut and Destiny 2: The Final Shape were not exclusive to that console.