this post was submitted on 29 Oct 2025
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Nah it's the GPU market. Cryptocurrency briefly exploded and now AI is sucking up all of the GPU manufacturing capacity. Back in 2019 I got my RX580 for $175. The AMD 9070 that released this year is a tier down from that and had an MSRP of $550, but an actual price more like $650. The sweet spot of value PC building has shifted from $750 to $1,500 in just a few years. Some of that is just general inflation that affects all parts, but roughly half of that increase is just from the GPU.
It's impacting consoles too. Consoles uses to get cheaper over time, with both price drops to existing models and new, cheaper models being released (Sony's Slim models, things like the Wii Family Edition and Wii Mini, the DSLite, etc). Looking at this generation... The original PS5 with a disc drive debuted at $500 in 2020. The "Slim" version also debuted at $500, and just got a price increase to $550. They released a PS5 Pro at $700, and just increased it to $750.
Nintendo is doing it too. The Switch was $300 for its entire life, and now that the Switch 2 is out consumers would typically expect a price cut to move the existing stock. Instead, Nintendo raised the price to $330. The OLED model went from $350 to $400, and the Lite went from $200 to $230.
And of course Microsoft is in on it too. It's more complicated to write up since they have different storage variants of the Series S|X, but for example a Series S 512GB was $300 at launch (For some reason I remember seeing them for $250, but maybe that was a Black Friday sale or something). Now it's $400!
Aren’t a lot of those price increases US centric due to asinine tariffs.
They've increased in other countries too. The PS5 digital edition costs £70 more today than it did at launch. In 2024 Sony increased the Japan price of all PS5 versions by ¥13,000.
The tariffs aren't helping, but this has been a trend for years. The gaming console market is not very volatile- prices changes in the US usually happen once every few years, not every few months. The tariffs keep fluctuating all over the place and I would not be shocked if there are more pricing adjustments for consoles specifically next year.
You can blame crypto, you can blame AI, but when it comes down to it everything is worth what people are willing to pay. Clearly companies are pushing that further and further and people keep paying.