AI Memory Boom in South Korea Begins to Lift Global Console Prices

(Photo=Sony Interactive Entertainment)

A surge in memory prices driven by the artificial-intelligence boom—centered on South Korea’s chip industry—is starting to push up the cost of gaming hardware, with Sony raising PlayStation 5 prices in one of its key Asian markets.

Sony Interactive Entertainment’s Korean unit said April 27 it will increase retail prices for its PlayStation 5 lineup starting May 1, marking the second such move since late 2024.

The digital-only PS5 will rise to $582 from $406, while the standard model with a disc drive will increase to $643 from $507. The higher-end PS5 Pro will climb to $880 from $758. Sony is also lifting the price of its PlayStation Portal accessory to $256 from $195.

Sony pointed to “continued pressure across the global economic environment,” but the shift reflects a deeper change in the semiconductor market. Demand for AI systems has sharply increased orders for advanced memory, tightening supply and pushing up component costs across hardware categories.

Much of that pressure traces back to South Korea, where companies such as SK hynix and Samsung Electronics dominate the high-bandwidth memory market, a key input for AI processors used by U.S. technology firms.

As memory makers prioritize higher-margin AI chips, industries that rely on similar components—from gaming consoles to consumer devices—are beginning to feel the effects.

The price increases in Korea could serve as an early indicator of broader adjustments across the gaming industry. Microsoft and Nintendo have both signaled that rising component costs may lead to pricing changes for their own platforms.

The move underscores a widening spillover from the AI boom, where demand originating in U.S. data centers is increasingly shaping the price of consumer electronics worldwide.AI Memory Boom in South Korea Begins to Lift Global Console Prices

A surge in memory prices driven by the artificial-intelligence boom—centered on South Korea’s chip industry—is starting to push up the cost of gaming hardware, with Sony raising PlayStation 5 prices in one of its key Asian markets.

Sony Interactive Entertainment’s Korean unit said April 27 it will increase retail prices for its PlayStation 5 lineup starting May 1, marking the second such move since late 2024.

The digital-only PS5 will rise to $582 from $406, while the standard model with a disc drive will increase to $643 from $507. The higher-end PS5 Pro will climb to $880 from $758. Sony is also lifting the price of its PlayStation Portal accessory to $256 from $195.

Sony pointed to “continued pressure across the global economic environment,” but the shift reflects a deeper change in the semiconductor market. Demand for AI systems has sharply increased orders for advanced memory, tightening supply and pushing up component costs across hardware categories.

Much of that pressure traces back to South Korea, where companies such as SK hynix and Samsung Electronics dominate the high-bandwidth memory market, a key input for AI processors used by U.S. technology firms.

As memory makers prioritize higher-margin AI chips, industries that rely on similar components—from gaming consoles to consumer devices—are beginning to feel the effects.

The price increases in Korea could serve as an early indicator of broader adjustments across the gaming industry. Microsoft and Nintendo have both signaled that rising component costs may lead to pricing changes for their own platforms.

The move underscores a widening spillover from the AI boom, where demand originating in U.S. data centers is increasingly shaping the price of consumer electronics worldwide.

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Jin Lee

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