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| PlayStation's latest financial forecast explicitly points to an increase in investments for their next-generation platform, setting the stage for the PlayStation 6. |
By Jon Scarr
If you've looked at the recent PlayStation Q4 earnings report, the record software profits and the massive Bungie impairment loss took up most of the oxygen. The numbers were staggering. But tucked away in the financial forecast for next year is a single detail that matters a lot more to anyone wondering what comes next.
PlayStation is officially pointing to investments in their next-generation platform, what is anticipated to be known as the PlayStation 6 or PS6. The focus is shifting, and they are putting it in writing.
Funding Whatever Comes After the PlayStation 5
We already know PlayStation expects to sell fewer PlayStation 5 consoles next year. They forecast a 6% decline in sales, blaming an ongoing component and memory shortage for the drop. They expect fewer boxes to leave store shelves.
While their overall operating income will look higher on paper next year as they bounce back from that massive Bungie loss, their core business forecast is actually flat. They tell investors exactly why. It is due to "an increase in investments for the next-generation platform".
They are explicitly pouring their money into funding the next generation. I remember when the PlayStation 4 started winding down and the focus clearly shifted toward the PlayStation 5. The release schedules slowed down, and the big swings started targeting the next console. We're hitting that exact pivot point right now. They're setting the stage for the PlayStation 6, even if they aren't using that exact name in the financial charts yet.
The Current Audience is Paying for the Future
The days of scrambling to find a PlayStation 5 in stock are completely over. The console market is saturated, and the 93.7 million units sold worldwide prove it. Because of that, PlayStation is banking on the people who already own a console to keep buying games and paying for subscriptions. The cash you drop on digital storefronts today is directly fueling the research and development for whatever comes next.
It makes perfect sense when you look at the financial reality. They've got a massive, captive audience of 125 million monthly active users logging in regularly. They're taking the record profits generated by those exact gamers and pushing the money straight into the future of the brand. If you're waiting for a second wind of massive innovations for the current console, you might be out of luck. The money is already moving on.
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