Sam Nussey
TOKYO (Reuters) – Japan Sony (NYSE:) on Thursday highlighted high user engagement on its gaming platform as sales of the PlayStation 5 console dwindle and companies in the sector seek recurring revenue.
PS5 users are spending approximately 25% more than the previous PS4 console’s lifecycle, fueled by additional content and services including the PlayStation Plus subscription option.
“This behavior underpins the strong and predictable nature of our revenue base,” games industry chief executive Hideaki Nishino said at a strategy briefing.
Sony has restructured the management of its gaming business, whose low profitability has worried investors, and Nishino will become CEO of its platform business group starting next month.
The conglomerate forecast PS5 sales to decline by 18 million units in the current fiscal year after narrowly missing its revised target of 21 million units last year.
The gaming sector is grappling with the costs of developing high-profile games and weak industry growth, with companies starting to lay off staff and halt projects.
Sony has a small portfolio of games this year, but one bright spot has been Helldivers 2, which has sold more than 12 million copies since launching in February.
Live service games, which offer uninterrupted and updated play, are released simultaneously in PS5 and PC versions, said Hermann Hulst, who will become CEO of the studio’s business group.
Sony is best known for its single-player games. This month, the company released the PC version of Ghosts of Tsushima, which first came out in 2020.