In the U.S, the anticipated PlayStation 4 will be $400 whereas in the UK it’s looking at a price tag of £350—a couple of dollars over $560. Then we get Brazil’s pricing: R$3,999. Stateside that would be around $1,845.
Sony isn’t happy about it and of course Brazilian gamers are even more dissatisfied with it. Then again, who wants to pay for a console that is just shy of $2,000? For that price, U.S gamers could purchase four PS4 standard units, cover the tax, and have games for each console—among other combinations to show how outrageous the pricing is.
The company has gone on record with saying that the pricing wasn’t decided on their end—after all, why pick on Brazil of all places? Instead, the pricing seems to be a result of Brazil’s heavy import taxes and fees on electronics.
While the console hits shelves in the US on November 15, it’ll be in Brazil and elsewhere worldwide later in the month. Brick and mortar retailers are selling it at $400 for the standard unit with a variety of special units being offered for additional prices.
With the press attention and negative response to the Brazilian price, Sony’s GM for Latin America, Mark Stanley sprang commented on the $1,800+ price via Sony’s blog saying, “We want to emphasize that it isn’t in the interest of Sony Computer Entertainment America to sell PS4 units at this high retail price. It’s not good for our gamers and it’s not good for the PlayStation brand.”
Roughly 63% of price goes to taxes for importing the console into Brazil. In a pricing breakdown on Stanley’s post it was pointed out that 22% is the margin for Sony and retailer while 21.5% is the transfer cost of importing it.
That pointed out, Sony said that the PS4’s price would dip quite a bit if they were able to produce the consoles in Brazil. At the moment, PlayStation 4 consoles are built in China. Moving production to Brazil was a step Sony took with the PlayStation 3.
When the price for the PS4 hit Sony Brazil’s blog, over 1,000 potential buyers commented on it with most of the comments being negative.
Some comments mentioned that it would be cheaper to go to the U.S and bring a PS4 back. Having done the numbers, unless someone owned the plane it would cost close to $3,000 for the round trip ticket and a console alone.
Feel free to bump the price up by including extras such as room, games for the PS4, food, and so on. The price would get unwieldy quickly.
There were comments about Microsoft getting the Xbox One down to R$2,200 or roughly $1,000. Stateside, the Xbox One is $500 and will hit shelves November 22, a week after PS4’s American release.
Electronics and games being pricy in Brazil—as well as Australia, South Africa, and other countries in the case of games—is nothing new and companies regularly try to work to get their prices to where they can actually compete.
Sony definitely wants to move units of the PlayStation 4 and not simply surrender that market until price drops occur years down the line. A strong start out the gate is always preferred and there’s no guarantee to bounce back from a slow start.
Here’s hoping that Brazil gets friendlier prices for the PlayStation 4.
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