Next-Gen Console Prices Will Skyrocket in 2026

Worldwide RAM problem is still getting worse, and it's now hurting not only short-term consumer components but also the larger enterprise and consumer electronics sectors. RAM is very important for the goods of big corporations, and the huge demand from AI has made the supply even more constrained.

With next-generation consoles such as PlayStation 6 and the next-gen Xbox expected within the next few years, concerns about production costs and potential delays are becoming more pronounced.

We recently saw a report from Insider Gaming in which Tom Henderson noted that RAM price increases driven by the surge in AI demand could delay the next wave of consoles.

According to the report, manufacturers are debating whether to postpone the intended 2027–2028 release window. The hope is that RAM manufacturers can expand their infrastructure, increase output, and eventually lower prices.

There is also the ongoing issue of current-gen consoles possibly facing price hikes. A previous rumor suggested that Sony secured more RAM to help protect the PlayStation 5's price tag, which has already increased due to factors beyond the company's control. The generation itself has been unusual:

PlayStation 5 launched during the pandemic, resulting in shorter supply, baked-in delays to the game pipeline, and a roughly two-year wait before the console became widely available.

We've been keeping an eye on early PlayStation 6 talks for a while now, and it still looks like the internal goal is to release it in time for the holidays in 2027. There are arguments over whether the present cycle feels short or not fully matured, but the seven-year duration is still the norm. As speculations grow and hardware planning gets begun, 2026 is building up to be a big year as devkits start to arrive at studios.

First-party teams may already have early kits, and by late 2026, third-party studios should get theirs. This will likely lead to many leaks and reports. An official announcement might occur in early 2027, and the product could be out at the end of that year, unless the RAM problem means revisions need to be made.

The rumors have largely gotten good replies from the community, which is interesting. Many players feel that PlayStation 5 has yet to fully establish its own identity, partly because the early years were overshadowed by supply issues and cross-gen releases.

We often say the console is going through an identity crisis. Yet, some of us really appreciate this generation because it delivered many improvements, including 60fps modes available to everyone, big quality-of-life improvements, and much shorter load times.

Even as first-party development has slowed a bit as newer games have grown larger, the library is still substantial. Many big games now take six or seven years to make, which is a problem for the whole business. Because of these factors, many players would like an extra year or two before the next big hardware release.

The price is the true problem. For consumers, RAM module prices have risen significantly, and in some cases, economies of scale don't help much. Consoles have always competed by having a lot of units and a low price. PC hardware can't do this because its market is so fragmented. That principle is now in danger.

Even with expectations of a PlayStation 6 priced higher than PlayStation 5, predicting the exact number is increasingly difficult. We originally could have assumed something around $ 600 USD, but continued inflation and rising component costs—particularly RAM—could push the price well beyond that. In the meantime, GPUs are still pricey, and mid-range PC parts that used to cost between $200 and $300 are now going for more than $500.

Even though prices have risen, the console market remains fairly stable. The total number of people who watch usually stays between 200 and 250 million, and it has for decades.

Even though the PlayStation 5 costs more and is getting more expensive in many places, its sales are still about the same as the PlayStation 4's, with only a few million fewer units sold.

This shows that wealthy purchasers are still supporting the market, even as the economy worsens.

Xbox is different from the rest of the group because its sales have declined significantly. This suggests that some players might be quitting the console environment for good. Still, when we look at PlayStation alone, the trend seems largely the same, showing how stable the console market can be even when things go wrong around the world.

The next few years will be quite important. Inflation is still rising, and the cost of parts probably won't go down anytime soon. Because of this, the prices of next-gen consoles may reach heights once thought impossible. If the RAM problem isn't fixed by the end of 2028 or possibly 2029, a price above $600 USD, or even $700 USD, may become the norm.

Meanwhile, we expect more reports from reliable sources like Tom Henderson and additional insights from hardware analysts. If devkits begin rolling out soon, the pace of leaks and speculation will accelerate. The major question is whether the timeline will shift by a full year due to RAM supply constraints.

We are experiencing extreme volatility in the hardware manufacturing industry. From the pandemic to tariffs to AI-driven component shortages, the last five years have fundamentally reshaped production costs. Over the past five years, production costs have changed significantly due to factors such as the pandemic, tariffs, and AI-driven part shortages.

Wages haven't risen as quickly, which means people have to be more careful about how they spend their money. For many families, consoles might be one of those options.

Even with these problems, PlayStation 5 is still selling well. It will be interesting to see how things change as we enter a period full of PlayStation 6 rumors, devkit rollouts, and possible schedule changes. No matter what happens, the next several years will be some of the most unexpected in the history of consoles.