$1000 Consoles: Can Sony and Microsoft Avoid a Price-Fueled Gaming Disaster

The next-generation consoles from Sony and Microsoft are expected to cost over $1,000, but an analysis firm suggests that both companies have alternatives to make their devices more affordable.

Ampere Analysis has released a report examining the potential consequences of the PS6 and Xbox Project Helix launching at the four-figure price point. The ongoing memory chip crisis is causing disruptions in the industry, with Valve's plans for its Steam Machine already affected.

The analysis firm estimates that if next-gen hardware debuts at $1,000-plus prices, sales would trail those of the PS5 and Xbox Series X|S by as much as 38% over the first five years. This could turn consoles into a luxury product, sidelining a large portion of the gaming audience.

Ampere Analysis proposes three distinct approaches for Sony and Microsoft to make their consoles more accessible: delaying the release beyond late 2028, offsetting high costs through hardware subsidies and new monetization models, or innovating on hardware form factor and use cases like Nintendo's Wii.