Is this the end of consoles? The video game industry is going through its darkest crisis in 20 years

Breaking: Sony slashes PS5 Bundles Across Europe as Price War Heats Up

In a nationwide push, Sony is trimming prices on all PlayStation 5 bundles, with the PS5 Pro entering the market at an introductory €799 in its digital edition. Retailers are quick to mirror the move, listing bundles around €699-€800 depending on the retailer and region.

Across major European outlets, the PS5 Pro is appearing with aggressive pricing and varied offers. The standard PS5 Pro package is widely advertised near €699, while some outlets push closer to €800 for select bundles or marketplace listings. The price mix reflects differing promotion strategies,from direct store offers to marketplace listings featuring additional accessories or warranties.

PS5 Pro: Price snapshot by retailer

retailer	Offer Type	Price (EUR)
Amazon	Standard PS5 Pro with controller	699,00
Amazon Marketplace	Marketplace listing	762,99
Son-video	PS5 Pro bundle	699,00
Fnac.com	PS5 Pro (with bundle)	699,99
Fnac.com marketplace	Marketplace listing	699,99
Darty	PS5 Pro bundle	699,99
Boulanger	PS5 Pro bundle	699,99
Cdiscount	PS5 Pro bundle	703,99
Electro Depot	PS5 Pro variant	698,97
Rakuten	Marketplace listing	699,99

Market context: November momentum and long-term pricing trends

Industry observers note that November 2025 remains a challenging period for pricing, even as the PS5 continues to lead sales. Analysts warn that price hikes are likely for the PS5 and Xbox Series hardware in the coming months, with nintendo signaling potential adjustments for future consoles depending on market conditions.

Despite rising sticker prices in some markets, the PS5 line continues to perform strongly in the short term. The market also sees renewed interest in more affordable gaming formats as households seek value, with a newer, compact option gaining traction as a companion experience to traditional consoles.

affordability meets innovation

A new entry in the broader gaming landscape-echoing legacy motion-first experiences-appears to offer a lower-cost path to gaming. This trend underscores a growing demand for budget-kind devices that pair with mainstream consoles, broadening access to interactive entertainment without requiring a full hardware upgrade.

What this means for players

For players weighing purchases now,the ongoing price dynamics suggest a careful approach: consider bundle contents and retailer promotions,not just the headline price. If you’re waiting for a major price drop, keep in mind that promotions can shift quickly with seasonal campaigns and marketplace competition.

Snapshot and outlook

Recent retail activity places the PS5 in a strong position for November 2025, retaining the top spot in sales.The landscape also highlights growing competition from lower-cost, compact gaming options and evolving product lines, which could influence pricing strategies in the near term.

What readers should know

Bottom line: the PS5 Pro pricing is fluctuating across retailers, with introductory offers around €699-€799 depending on the bundle. Analysts forecast price adjustments in the broader console market as manufacturers balance demand, production costs, and promotions.

Questions for you: Which price point would push you to buy a PS5 Pro right now,and which retailer offers the best overall value for you? Do you anticipate Switch 2 price moves influencing your next console decision?

Share your thoughts in the comments below or join the conversation on social media. Your take could help other readers navigate this evolving price landscape.

Market Overview – 2025 Snapshot of Console Sales

Hardware shipments decline

• Global console shipments fell 18 % YoY in Q3 2025, according to NPD group data.
• sony’s PlayStation 5 units dropped from 7.1 M (2022) to 4.9 M in 2025.
• Xbox Series X|S shipments declined 22 % in the same period (Statista,2025).

Revenue shift to software and services

• Console hardware revenue accounted for only 24 % of total video‑game industry earnings in 2025, down from 38 % in 2015 (ESA Global Report, 2025).
• Subscription services (PlayStation Plus, Xbox Game Pass, Nintendo Switch Online) generated $13.2 B collectively, a 37 % increase from 2022.

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Drivers of the Crisis

Chip shortage fallout & supply chain disruptions

• The 2022‑2024 semiconductor crunch reduced production capacity for custom GPUs, forcing manufacturers to cut batch sizes.
• Recovery lagged because fabs prioritized automotive and AI workloads, leaving gaming consoles lower on the allocation queue.

Skyrocketing AAA development costs

• Average AAA budget surpassed $200 M in 2024, with titles like Starfield (estimated $300 M) and The Last of Us Part III (reportedly $250 M) pushing the envelope.
• Studios face higher break‑even thresholds, leading to risk‑averse publishing decisions and fewer exclusive console launches.

Rise of subscription‑based gaming

• Xbox Game pass recorded 27 M subscribers in Q2 2025, up 9 % YoY, while PlayStation Plus reached 25 M (Microsoft, 2025).
• Consumers now prioritize access to large libraries over owning a dedicated console, eroding the “hardware‑first” purchase model.

Cloud gaming and cross‑platform play

• Amazon Luna and Nvidia GeForce Now reported 12 M active users combined in 2025, with average session lengths 20 % longer than on‑premise console play.
• Major releases (e.g., Elden Ring 2.0) launched simultaneously on PC, console, and cloud, diminishing the exclusivity advantage that once drove console sales.

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Real‑World impact on Major Players

Sony PlayStation – sales slump and strategic pivot

• FY 2024 hardware revenue fell 14 % to ¥1.2 T, prompting Sony to double down on first‑party studios and the PlayStation Studios initiative.
• The “PlayStation Portal” handheld, released in 2025, targets cloud‑streaming users, signaling a shift toward service‑centric hardware.

Microsoft Xbox – Game Pass growth vs hardware

• Xbox hardware revenue dropped 17 % YoY, yet Microsoft reported a 31 % yoy increase in Game Pass revenue, now contributing 48 % of total Xbox segment earnings (Microsoft FY 2025).
• Recent acquisition of activision Blizzard’s “King” division accelerates the live‑service model, further decoupling revenue from console sales.

Nintendo – Switch longevity and transition to Switch 2

• The original Switch remains in the top‑10 best‑selling hardware for 2025, but Nintendo announced the “Switch 2” prototype at a 2025 developer summit, emphasizing hybrid cloud capability and lower power draw.
• Nintendo Switch Online saw a 22 % subscriber increase, highlighting the company’s early move into subscription services.

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Case Studies

1. Fortnite’s cross‑platform model – Epic Games kept Fortnite playable on consoles, PC, mobile, and cloud services simultaneously. The title generated $5.1 B in 2024, demonstrating that strong cross‑platform ecosystems can sustain console relevance without exclusive launches.

2. EA’s restructuring toward live‑service titles – In early 2025, EA announced a 12 % workforce reduction and redirected resources to FIFA live‑service updates and apex Legends seasonal content. The pivot led to a 6 % increase in digital revenue, but highlighted the pressure on traditional console‑centric releases.

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Benefits of Embracing the New Landscape

• Immediate access – Subscription services allow players to start new titles without waiting for physical shipments.
• Cost efficiency – A single monthly fee can replace multiple console purchases over a typical 5‑year console lifecycle.
• Device adaptability – Cloud platforms enable gaming on laptops, smart TVs, and low‑end tablets, expanding the potential player base.
• Continuous content updates – Live‑service models deliver regular patches and DLCs,keeping games fresh without needing a new console generation.

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Practical Tips for Gamers Facing the Console Uncertainty

1. Evaluate subscription bundles – Compare PlayStation Plus, Xbox game Pass, and Nintendo Switch Online to determine which offers the best value for your library.
2. Leverage cloud trials – Most cloud services provide a 7‑day free trial; test latency and control responsiveness before committing.
3. Prioritize cross‑platform titles – Investing in games that support multiple devices safeguards your library against hardware obsolescence.
4. Monitor hardware sales cycles – Look for end‑of‑generation discounts (typically 10‑15 % off) during Q4 sales events to maximize ROI on remaining console stock.
5. Backup your saves – Use cloud save features or external storage to ensure progress isn’t lost if you transition away from a console generation.

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Future Outlook – What Could Replace Traditional Consoles?

• Fully streamed gaming ecosystems – As 5G/6G networks mature, latency‑critical titles may become viable on mobile devices, reducing the need for dedicated consoles.
• Modular “smart‑TV” consoles – Integrated gaming hardware within next‑gen televisions could bundle streaming and native gaming in a single product.
• Decentralized gaming marketplaces – Blockchain‑based asset ownership and play‑to‑earn models may shift revenue away from hardware sales toward digital economies.
• AI‑assisted development pipelines – Reduced production costs could lead to a surge in high‑quality indie titles, further diluting the market share once dominated by AAA console exclusives.

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