Sony is no longer prioritizing aggressive PlayStation 5 sales, according to company president and CEO Hiroki Totoki, as the company enters the later stages of the console's lifecycle. Instead, the company is concentrating on generating recurring revenue from its existing user base, which currently boasts over 125 million monthly active users on PlayStation Plus.
This strategic shift comes as the gaming market undergoes significant changes. Unlike previous console generations, hardware prices have not decreased over time, with the PS5 costing more now than it did in 2020. This trend suggests that hardware sales may slow down, prompting Sony to re-evaluate its revenue streams. Totoki indicated that there is no longer a need to "aggressively" sell the console, implying less reliance on discounts or selling hardware at a loss to attract new customers.
PlayStation Plus, a subscription service essential for online multiplayer and offering a library of games, is a key component of Sony's monetization strategy. The company is also preparing for a transition to an all-digital future, with over 80% of PS5 game purchases already being digital. The planned discontinuation of PS5 disc production starting January 2028 is expected to further boost profits by filling the gap left by physical media sales.
Despite the strategic shift, Sony faces market pressures. PS5 lifetime sales reached 95.3 million units as of July 31, 2026, but console sales saw a 36% decline in the last quarter compared to the same period in 2025. The company continues to leverage its active PS4 user base for monetization as well. Digital game sales have seen an increase, rising from 78% to 82% during the recent financial quarter. While recent profits saw a 37% increase, this was largely attributed to US tariff refunds and favorable exchange rates, benefits not expected to be passed on to consumers.