What are tariffs and how do they affect gaming console prices?

Tariffs are taxes imposed on imported goods. When countries impose tariffs on gaming consoles manufactured abroad, companies like Sony often pass these costs onto consumers through higher retail prices, as we've seen with the PlayStation 5's recent £50 price increase.

Why might console price increases benefit PC gaming companies?

As console prices rise, some gamers may switch to PC gaming for better value or customisation options. This could increase demand for PC gaming hardware, components, and related services, potentially benefiting companies in that sector.

What does 'secondary market retailers' mean in gaming?

Secondary market retailers are companies that sell pre-owned or refurbished gaming products. As new console prices increase, more consumers might turn to these retailers for more affordable gaming options, potentially boosting their business.

How do trade policies impact consumer electronics investments?

Trade policies like tariffs can significantly affect the cost structure of consumer electronics companies. These changes can shift consumer behaviour and create investment opportunities in companies that benefit from the resulting market dynamics.

15 handpicked stocks

PlayStation 5 Price Hike: Gaming Market Impact 2025

Sony's decision to raise PlayStation 5 prices in the U.S. due to tariff pressures reflects a wider trend of inflation in the gaming industry. This shift could drive investment toward alternative gaming platforms and secondary market retailers.

Han Tan | Market Analyst

Updated 2 days ago | Published at août 21