Sandisk’s 8TB PS5 SSD Priced at $2,959 Highlights Memory Shortage Impact
MSFT•Sandisk’s new 8TB PS5 SSD retails for $2,959 (down from $3,700), exemplifying ongoing memory shortages driving prices higher across consumer electronics. Microsoft previously raised Surface lineup prices by $500, suggesting potential margin expansion but also risk to device sales if shortages persist.
1. Memory Shortage Drives Storage Costs
Global memory supply constraints have pushed prices sharply higher, as seen in Sandisk’s release of an 8TB PS5 SSD at $2,959 after discount, up from $3,700 pre-discount. Such elevated component costs are rippling across the wider electronics market, increasing input expenses for hardware makers.
2. Microsoft Surface Price Hike
Microsoft has increased the price of its Surface devices by roughly $500 compared with original launch prices, a move driven by rising component costs driven by memory shortages. While this supports per-unit margins, it may dampen demand among price-sensitive customers.
3. Revenue, Margin and Demand Outlook
Persistent shortages could boost Microsoft’s average selling prices and margins on hardware like Surface, but sustained high prices risk slowing unit growth. Microsoft’s ability to secure alternative supply agreements or diversify component sourcing will be critical to balancing cost management with market competitiveness.
