Sony Says PS5 in Second Half of Lifecycle, Shifts Focus to Recurring Revenue
Sony Group President and CEO Hiroki Totoki said the PlayStation 5 has entered the latter half of its console lifecycle, prompting a strategic shift from hardware sales to recurring revenue from existing users. PS5 cumulative shipments reached 95.3 million units as of June 30, 2026, according to Sony's fiscal first-quarter results. PlayStation Network now has over 125 million monthly active users.
Sony Group President and Chief Executive Officer Hiroki Totoki recently stated that the PlayStation 5 has entered the latter half of its console lifecycle, and the company's strategic focus is shifting from hardware sales to sustained revenue from its existing user base.
Commenting on price surges driven by global storage and memory shortages, Totoki noted that this wave of price increases is occurring in the latter half of the PS5's lifecycle rather than in its early stages. He said the company does not need to aggressively promote the console at this point, and that the priority is instead on generating recurring revenue from existing users. He also revealed that the PlayStation Network currently has more than 125 million monthly active users.
Sony's fiscal first-quarter results for the 2026 financial year showed that cumulative global shipments of the PS5 reached 95.3 million units as of June 30, 2026. Although PS5 hardware sales declined year on year, software revenue from the PlayStation Store hit a record high during the quarter. PlayStation Plus services also made a significant contribution to quarterly performance, supported by a rising share of higher-tier subscription memberships.