PS5 Sales Collapse in Japan as Sony Readies Overdue Rescue Plan

These low numbers for PlayStation in Japan are particularly low because of the announcement of the cheaper model.

But in general they are very dangerous for the PlayStation ecosystem as a whole, because Japanese games are an important part of the PS experience. If studios like SE and Capcom decide to make the Switch their main target platform, PS will loose a lot of its appeal.
MH Rise and the Switch 2 release of RE9 on the same day as on PS5 are warning signs the Sony management couldn’t ignore any more.

It sold 14k the past two weeks (7k each week) so 2k less sold this week isn’t that bad. I’m curious to see sales figures over the next few weeks, as the holidays are coming up.

@Max_the_German "the Switch 2 release of RE9 on the same day as on PS5 are warning signs the Sony management couldn’t ignore any more"

Sony doesn't need to worry cause PS has a big RE fanbase in Japan.

For example; in the 1st week in Japan, RE4 Remake PS5 version sold 89K copies and PS4 version sold 85K copies with a total 175K copies combine. I'm sure Requiem will sell well on PS5.

Beside, Requiem for Switch 2 is on game keycard and so far i heard a lot of Japanese gamers doesn't like game keycard.

@get2sammyb

20k per week would mean 1m per year, so 6-8m lifetime. PS4 sold less than 10m, while PS2 shifted more than 24m units. Today’s dominance of PlayStation in the console market as the target platform for most games stems largely from that 24m units. Europe with its huge PS5 numbers can’t save this position. PC and Switch are huge threats for the global role of the PlayStation ecosystem.

I guess 20k wouldn’t shift the needle enough.

That was to be expected, who's going to buy it at its current price when it's getting discounted very soon.

Wow I have just seen the UK Black Friday deals in the shops this morning.
No wonder PS rules Europe.
Very good deals.

Switch and switch 2 in Japan is what PlayStation have done to Xbox in Europe

It’s amazing how the demographics of each of the 3 consoles and 3 main areas.
Japan, USA and Europe run so different.

@Max_the_German Japan is literally one of the least important markets in the world. Even for most Japanese companies it’s not a major factor. Resident Evil will do poorly on the Switch as there is no fanbase for it and anyone with a switch as a second console will not buy it there.

Monster Hunter Rise is a strong core Japanese game with a history on handheld systems and it stll sold like 11.3m less than MH:World because western sales were like 3:1 for World.On PC it did like a 1/4 of worlds sales and the ports to consoles did awful because lots of people didn’t want to buy a game developed primarily for the Switch. It’s not just about graphics, it’s about image. Why do you think something like GTAV is not even on the switch? It’s free money and it’s a ps3 game, except it would sell poorly and they probably think the hit to their image would be greater. Yeah, that’s weird, but that’s how brand marketing works.

For companies like Capcom and Square Enix that have started relying more on the western market it is not even close for the majority of their big releases, outside of something like Dragon Quest which aligns perfectly with the Switch Japanese user base.

Traditional story driven single player games are also in decline in Japan, and they mostly gravitate towards light family games and f2p gacha games. That’s why PS software is so bad. Everyone plays Genshin Impact.

I still find it very strange the region locked model is the digital version, when Japan still uses a lot of physical media. It will be interesting to see if it does end up selling despite no disc drive because of the price.

@SeaDaVie

GTA5 is not on Switch because of its poor online experience when playing in handheld, according to an anonymous source from R* a few years ago. R* would have ported GTA5 only for bringing GTA Online to a wider audience, that’s what counts for R*.

@SeaDaVie Why would they release Red Dead on Switch then? You're talking nonsense.

@Max_the_German "If studios like SE and Capcom decide to make the Switch their main target platform" you are in delulu land with that take, sorry

@dodgykebaab That's literally how to use that word. Japan is actually one of the least important markets in the world. I meant it in the literal sense, that wasn't a metaphor or something.

Also, using Literally as an intensifier is a completely legitimate way to use the word, since the primary purpose of words is to communicate ideas and thoughts, and if you understand how the word is being used - and everyone understands the use as an intensifier - then that is successful communication. That is how language works, that's how it has worked since the beginning of time. Language changes through use, and is not determined by a person's conservative beliefs that it is fixed now and can not be changed by the natural order of things.

So, in short, don't try to look smart as you'll invariably achieve the opposite. Correcting people on the use of a word like that is generally level 0 intelligence signalling.

@FredBiletnikoff less important franchise, a tester for the market?

Why is GTAV not on the Switch, please enlighten us.

@SeaDaVie you're absolutely right.

@SeaDaVie

There are 195 counties in the world, and there are not 97 more important markets to PlayStation than Japan. So saying:

"Japan is literally one of the least important markets in the world."

That's literally incorrect.

@dodgykebaab So you disagree with the opinion and not the use of the word?

Also, it's a subjective opinion so it can't be literally wrong. You can literally disagree with it though, but then you're just kinda using that word for no discernable reason, unlike when I used it to differentiate from a figure of speech.

I'd say that most countries are either growing markets, potential future markets or dying markets. Japan is one of the few examples of the later, at least in regards to 90% of game types.

@SeaDaVie It's not an opinion you have, you are using the word wrong; end of story.

There are 195 countries in the world, for Japan to be one of the least important in terms of sales then at least half of those countries (95) would have to spend more money on PlayStation products than Japan does.

But they don't. Japan is something like the 11th country in terms of spending for Sony.

So 11 out of 195 doesn't in anyway qualify the statment:

"Japan is literally one of the least important markets in the world."

@dodgykebaab here's the internet cookie you earned through all that hard work.

@dodgykebaab

There are 195 countries in the world, for Japan to be one of the least important in terms of sales then at least half of those countries (95) would have to spend more money on PlayStation products than Japan does.

Thats not how you determine importance. That's a criteria you just made up, and since there is no universal defined defition of market importance then it is up to the individual criteria set by companies, institutions and individuals.

I would determine market importance as growth being of primary importance, as is common in modern business culture. In this key area Japan is declining for almost every market participant. For PlayStation , whose core business is home consoles and tradition story driven video games, the decline is massive. Not only is the market declining but Japan also faces massive longterm population issues that will only accentuate current issues, and might represent an existential threat, at least to its current national culture.

Based on that criteria I would define Japan as one of the least important countries in the world to focus on. I would prefer to focus on initiatives in developing countries with almost no market for console games, in a hope to grow and nurture new gaming countries, rather than a declining country.

@dodgykebaab (BTW half of 195 is not 95, mate)

@naruball That wasn't hard work.

That's basic. If you think that's hard, I worry for you.

@White_oyster
I don't think its unusual that the region locked model is the digital version, as this way they get the price as low as possible, while everyone has the option of buying an additional drive.

I suspect going forwards, as per Pro, there will only be 1 SKU of PS console - that being digital. With an optional drive for those that want one.
Thats the fairest way to do things as not everyone wants to pay for a drive these days.

@dodgykebaab how incredibly nice of you

Sony’s next-gen console

Launch was five years and two days ago...

@Oram77

Really? I find it very likely that SE regrets its decision to launch FF16 as a PS5 exclusive. As a game like MH Rise, targeting Switch with superior PS4 and PS5 versions, FF16 would’ve had more success.

Developing for Switch 2 should also be cheaper than for PS5 due to the lower graphical fidelity (textures, polygon models). Switch 2 targeting games could run well on SteamDeck and PS4, a platform with a vital user base all over the world. And customers are happy with UE5 titles without its key technologies Lumen, Nanite and VSMs (publishers less so, but the market dictates).

Switch 2 is the technological sweet spot for new games with mass appeal.

@Max_the_German Yes, really. Just because the SW2 has sold incredibly well, doesn't mean SE or Capcom are going to prioritize it over any other platform. "technological sweet spot" says who? you? I think you let your fanboyism come out a bit too much on this article.

Edit: Found it funny you said SE weren't happy with having their console exclusive, you then proceed to loosely say/suggest they will be SW2 exclusives (prioritise them in some way) instead....

There is a trend of certain JP devs going Switch 2 exclusive/first - Story of Seasons Grand Bazaar, Guardians of Azuma, Disgaea 7 Complete and the upcoming YS Proud Noridics, to name a few. This would not have happened pre-Switch era, but now that Switch is so dominant in Japan, Sony needs to get a grip on that market.

@SeaDaVie It's already been explained. Poor online experience in handheld. A fully functioning GTA 5 would sell crazy numbers on Switch, just like it sells crazy numbers everywhere else.

@Oram77 By priotise in some way, I believe they mean building for the hardware first, and then scaling features up to the more capable wall mounted machines.

Instead of starting off expensive, and then trying to scale a bloated high end game down.

It should benefit everyone, cheaper overall, quicker to make, better optimisation on higher end devices.

@Oram77 outside of those chronically on the internet most gamers are not as interested in the excessive high end graphics of games. Even valve themselves have just come out and said most pc gamers are playing on setups worse than the average console and yet the internet would have you believe pc is mostly for those who want a graphical experience above that of the standard console. Graphical fidelity is generally used as a marketing ploy, for the largest, tentpole franchise's and both SE and capcom make a wide cut of games and their games were historically high sellers in Japan, especially in the case of the aforementioned final fantasy and monster hunter. A declining market of those franchises in Japan is not what investors would want to see and the fact that the primary way to play in Japan is on smaller, weaker systems is not something these investors will want their companies to simply ignore

If you don’t like the sort of exclusive sand box narrative games Sony has- God of War, Horizon, Death Stranding, Spider-Man, Ghost Of Yotei, etc…

…How many reasons do you have to buy an expensive console? Playstation needs variety this generation has been lacking, and it’s deeply evident in the Japanese market.

@Oram77 Not exclusives or prioritising, but designing a game around the specs of a certain platform. Hades 2 and Silksong are designed around the specs of NS1, GTA6 around the specs of PS5, etc. And as a publisher, I would target NS2, PS4 and SteamDeck to address a very big market (which also includes lower-spec PCs).

@White_oyster Maybe it's to do with the PS6 handheld? You're not going to be able to fit a PS4/PS5 disc into the PS6 handheld so having a large disc library may make the handheld less appealing if the big selling point is the ability to play PS4/PS5 games anywhere.

@Max_the_German

Hades 2 and Silksong are designed around the specs of NS1

No, they aren't. They are PC indie games that look exactly like the games they wanted to make, regardless of technology. They look like Hollow knight(which launched on the switch 15 months after PC) and all the previous Supergiant games that launched before the Switch existed. Those games exist in their truest purest state, driven by artistic intent; facilitated by small development teams and low product costs.

That works well for $20-30 indie games. That doesn't work as well for something like Final Fantasy. A Final Fantasy created like that is just Bravely Default or Octopath traveller, and those games aren't selling 3m in their opening week.

Monster Hunter: World sold around 16m on Steam. Monster Hunter: Rise sold around 5m. This is why the market for each game determines the appropriate model.

It won't make much difference because 1) a lot of people in china can read Japanese so it won't stop it getting exported to china and 2) Japanese gamers like physical discs not downloads only. What western people failed to realise, Sony put Japan last with ps5, Japan being the place that first made playstation successful so Japanese people turned their back on them the way Sony turned their back on us for putting western countries first

I still find it unreal how just in 3-4 years a Japanese company almost ended up exiting the Japanese market all because of Jim Ryan’s disastrous management and decisions, the damage caused by the previous management hindered the entire PS5 generation imo.

@Noone2025 Japan turned their back on home consoles over a decade ago, it has nothing to do with the PS5. It’s just a continuation of the home consoles market shrinking, and it will continue into next generation.

Home consoles released after the PS2:

GameCube - 4.04m
Wii - 12.77m
PS3 - 10.47m
Wii U - 3.27m
PS4 - 9.68m

In that same time the PSP managed 20.02m and the 3DS 24.67m. Neither of which were massively heralded outside of Japan, certainly not in comparison to the Wii or PS4 etc. Even the PS Vita managed 5.73m.

@IOI See above. Home console decline started over 20 years ago. It is a fundamental change to the Japanese shopping habits, and very little to do with Jim Ryan.

Reportedly, Japan’s gaming audience is mobile dominant. I don’t know exactly why since I’ve never visited, but culturally it’s always going to be an uphill battle to engage with the PS5 which has it’s primary focus on visual fidelity and performance that benefit from sitting in front of a large 4K screen.

For good or bad, here in the U.S. nearly every home has a large TV. I’ve been to very humble dwellings and there’s consistently at least a 40 inch television, and often much larger, even when there’s limited furniture or other amenities. Not sure how that compares to Japan.

Maybe a bigger factor though is reliance on public transportation and the general mobility of society that I suspect is present in Japan, as opposed to over here where we jump into our cars to get from point A to point B and don’t really have downtime between destinations. (Although larger Western cities do have a lot who commute through public transit).

Population density also means better cellular coverage, as opposed to the gaps seen in a less populated area. Maybe that more consistent access encourages more mobile gaming as well.

Regardless of the reasons, I find it interesting how a Japanese company doesn’t fare well on its own turf.

@SeaDaVie "and they probably think the hit to their image would be greater. Yeah, that’s weird, but that’s how brand marketing works"

Right, I remember this kind of logic surrounding Yakuza/LaD. And how it ended.😏 Besides, of we go discussing images, there's always one of a Japanese company's products losing grip on its home turf.👀😅

@nhSnork Yakuza is a game where it would traditionally sell 70%+ of its sales in Japan, and only in recent years has it started to get a better audience in the west.

GTAV sold under 1% of its sales in Japan. Maybe 0.1%.

So what is the point of this comparison? The upside for one is a lot bigger(relatively speaking) than the other.

Sure - it sucks the fact PlayStation is nowhere as popular as it used to be in its home country, but the company is posting records on hardware and software. They are trying to claim the territory back, but it is not such a huge deal either.

@MrGawain "Playstation needs variety this generation has been lacking, and it’s deeply evident in the Japanese market"

Variety isn't the problem considering the majority of Japanese gamers doesn't care nor buy Astro Bot, GT 7, Returnal, Sackboy, Stellar Blade, Lego Horizon, Demon's Souls remake, or Lost Soul Aside and all of them aren't open world-narrative games.

Astro Bot for example only sold 47K copies in 4 months despite the game is family friendly, received very positive review from Japanese media, and won GotY.

Heck, plenty of Sony PS3, PS4, PSP, and Vita games like Puppeteer, Tearaway, Soul Sacrifice, Jeanne D'Arc, The Last Guardian, Shadow of the Colossus, Forbidden Siren, etc doesn't sold well in Japan either.

Today Japanese market isn't the same as PS1 and PS2 era. Many Japanese prefer playing games on their mobile or handheld over home console.

@SeaDaVie In the other article it also says that it was the previous management who just didn’t care about Sony’ eroding market share in Japan, and given that it was Jim Ryan administration’s decision to close Japan studios it’s pretty obvious that even tho the decline of home console had been an ongoing trend, PlayStation outright didn’t care about their home region once Jim Ryan was made CEO.

And that’s just one aspect of Ryan’s disastrous administration, may we count how many failed live service games have been cancelled, or how much Concord lose, or how buying Bungie ended up being the worst business decision Sony has taken?

PS5 is now officially over 5 years old. Price drop is nice, should pick up a few more sales for Sony, but if you've waited this long to purchase a PS5 you might as well wait for a PS6. At least to find out if there is going to be a proper handheld variant. If it's just going to be another home console then maybe pick up a PS5 during a sale.

Seems they really focus on Europe.
Even in the USA the switch 2 is keeping the PS5 at bay, being the top selling Console in October 2026.

The issue is the PS5 does not sell as much in the USA as the PS4 same timeline.
PS5 sales compared to the same month for the PS4 in 2018 are down by over 122,000 units.

If it was not for the amazing PS5 sales in Europe Sony would not be doing that great.
They need to focus as Europe is now Sonys only lead country over Nintendo.

And why, well I can only answer for me, why am I not play my PS5 Pro, serious lack of the PS4 days of big AAA campaign games of very well established franchises, that the PS5 lacks and has been a slow trickle since the first two years of the PS5.

Look at my switch 2 since launch from Nintendo. MKW, DKB and next month Metriod Prime 4. All big AAA from Nintendo.
Also with switch 2 starting to get better third party support with third party games like SW outlaws it’s making for a very good purchase over a PS5.

And before anyone starts having ago at my post.
It’s a business and facts are facts.
And I’m only pointing out the obvious, why Sony are not the juggernaut world wide they used to be.

@dodgykebaab agreed. i would argue that there isn't another gaming hub in the entire world as important as japan in terms of sheer cultural significance. that culture still exists in japan and has no equal. sales may be in decline for home gaming consoles compared to what it used to be, but that doesn't mean sales are down across the board. the general population has shifted towards portable devices... like switch. since sony is prepping a portable device of its own, it would be completely foolish to give up on japan... the japanese market will soon transition to sony's new ps handheld which will steal potential sales from nintendo. sony is going to war with nintendo again and significant market share is at stake.

so, i agree, japan is still very important to sony, otherwise they wouldn't have bothered to a) make a new handheld which will be catering to the japanese market more so than the western market and b)release a japanese exclusive SKU of the ps5. i won't be surprised if sony develops a new internal studio or two based in japan as well. under jim ryan, sony disgraced itself. we are nearing the end of sony's worst console generation bar none, but hopefully they will get back on track with the ps6 and their new handheld.

Everytime I come into a comment section all I see is know it all fanboys arguing.
One thing you should know is these companies make billions of dollars and don’t care about any of you the way you care about them.
If a console or game doesn't sell well stop thinking it’s the end of the world because it isn’t. They will just fire a few people save money and make it back another way.

@SeaDaVie I was referring to how the Yakuza producer used to explain the franchise's absence on Switch by the console's more family-friendly image and his reluctance to see a tonally and thematically "underground" series like that share the store shelf space with something like Animal Crossing. That bias didn't seem to age well since we have four or five Yakuza games across the two hybrid generations by now. So much for those "image" concerns.

@nhSnork You can probably afford to have more image concerns when you make $10b though

@SeaDaVie But you said games wouldn't sell on Switch because there's no fanbase for it. Wrong again. I'm sure you'll have fun moving the goalposts again though.

@FredBiletnikoff The Yakuza games did tiny numbers on the Switch.

Yakuza Zero Directors Cut sold 2,935 copies in Japan in its first week, before immediately falling out of the charts.The PS version sold 236k in its first week in Japan. This is Yakuzas biggest territory and the Switch’s strongest territory by far.

Kiwami sold 4,112 and Kiwami 2 sold 5,267 in Japan,

None of them got even remotely close to charting in other territories.

Yakuza games are not even mature games, they’re goofy as all hell and incredibly Japanese and idiosyncratic. They seem like a decent title to port to the Switch.

@SeaDaVie PS5 version isn't even out yet, stop lying.

@FredBiletnikoff I meant, the original Yakuza 0 release. Sales provided by famitsu.

Clearly the point is that the titles sold tiny numbers that would barely be significant for Sega and would be beyond insignificance for most franchises.

Ok for those arguing about the literal use of a word, and just hear me out, WHO CARES? This is similar to the “ it’s 68 degrees out” “no it ain’t! Liar it’s 67 degrees”. All yall spent that much time missing the point of the article? Really? How bout just agree to disagree and move the eff on? I usually enjoy the comment section here but dang this was a doozy.