Why PS Now’s Prices are the Nail in the Coffin for Sony

Although this was predicted way back in January, the fears have come to fruition. Sony’s PlayStation Now streaming service is in beta at the moment, and prices have just been announced: $5 to rent a game for 4 hours, $30 for 90 days. And that’s for a game from 2012! These prices are absurd, and this is the nail in the coffin for Sony, who are already having a pretty bad year. Here’s why.

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Ghost_of_Tsushima1272d ago

I'd agree if Sony didn't say they're testing pricing and they're not final.

nicksetzer11272d ago (Edited 1272d ago )

Realistically they need the prices to be half that, maybe even less for certain games. Most of the games offered can be bought for less than 15$. That said, I think the convenience and ability to play on any device will probably make it worth 15$ for a 90 days worth of play. Would really like to see a 15$ a month 1 game out at a time thing, where you can swap as you'd like throughout, like gamefly does, just digitally. (Rather than only that 1 specific game per month.)

Really excited for this service, just need a little better pricing and it will be amazing.

Eonjay1272d ago (Edited 1272d ago )

These prices are being set by publishers as Sony can not set the price for things that don't belong to them. And once again it is testing. We will have to see how publishers react to the feedback.

I wont bother to entertain the assertion that this is the death of Sony either way. That is a wild embellishment.

Sitdown1272d ago

Ummm..... What does one game out at a time look like for streaming services?

hazeblaze1272d ago

Honestly, I have no problem paying $30 for a PS3 game that I will not be able to pay otherwise.

I'd be more likely to rent for 30 days than 90 days anyway. I'd rather pay a monthly fee though.

nicksetzer11272d ago (Edited 1272d ago )

@EON no, not at all the prices are set by Sony, the publishers just tell Sony what they expect from Sony in return for rights to their games. No streaming service ever made is priced by the content owners, always priced based on the company running the service.

For example if Sony uses my game, I could say
A) I want $__.__ for your use of the rights.
B) I want $__.__ per player who streams said game.
C) I want __% of income from rented titles from my studio.

Yes that effects overall pricing, but absolutely does not mean that publishers are setting the prices, just influencing what Sony needs to charge. Also, I totally agree it is far from plausible to say it will be the death of Sony.

@sitdown pay 15$ a month to play any of the titles but only one title at a time. It is not rocket.

@haze I am not saying some will not pay it, just that I am not impressed with that pricing.

I really don't get how I get that many dislikes for not liking the price. I am convinced you guys on this site will swallow anything sony throws your way. They might as well just raise the price as it won't stop you guys from paying it.

I am happy with PSnow and am really excited for it, sorry I have an opinion and used relevant data to support it. Why you guys want to pay 30$ to rent a game you can buy for 10$ I'll never know.

EDIT: @EON you do realize you just repeated what I just said, except you incorrectly assume all publishers/developers will take the % cut route. Some WILL charge a set fee. You are absolutely incorrect also, in assuming that fee comes from the publishers/devs side, otherwise not every game would be 30$ for 90 days or 5$ per 4 hours. Just as the case is with games in retail.... Lastly, claiming you helped shape the pricing is probably the most stupid thing I have ever heard anyone claim in a comment section, anyone who believes you is completely naive. Not to mention you are describing a retail product not a set price streaming service.

Eonjay1272d ago (Edited 1272d ago )


Thats not how it works. Having seen their pricing structure first hand, I set the prices and they subtract their fee which is a percentage of the price I set. The higher the price, the greater the charge Sony collects as a percentage of that price. Sony charges ME the platforming fees not the end user. The revenue I see is a function of the price I set multiplied by a platforming fee (which is a straight percentage). I know this first hand (not specifically with PSNow but with their other developer programs). I hope that helps to clarify.

The alternative to this would be an agreement were a specific contract is drafted for licenses based on a timed exclusive or a special offer like PS+

About you getting dislikes, I would agree with not liking the prices but I disagree with your understanding of pricing schedules. A disagree isn't a bad thing. It just means someone doesn't agree lol so don't sweat it.

Edit: I never claimed I helped shape the pricing but I know how they price content because I participate is some of their developer programs. This is really public knowledge. You are right that I am basing my info on retail and not streaming but this is my frame of reference and yes I may be wrong. What are you basing your assumptions on?

QuickdrawMcgraw1272d ago

$7.00 for 7 days is the going rate for a rental...There is nothing wrong with Now's prices...

MonstaTruk1272d ago (Edited 1272d ago )

I'm not giving SONY sh*t for PS Now until they satisfy these conditions:

1) Subscription model added with unlimited access
2) 1080p/60fps PS1 & PS2 game libraries added
3) Online multiplayer restored for games on PS Now (MAG, Resistance 2, Motorstorm PR, etc)

FamilyGuy1272d ago

What they NEED is a 24 hour rental price. The beta prices jump from 4 hours to 7 days and many of the title are a 1 or 2 dollar difference between those choices. It makes no sense.

Actually, it does. They no most games take 8 to 10 hours minimum to beat so the set a price below that (4 hours) so you'd need more time). A 1 day (24 hour rental) or even a 12-15 hour rental would've been perfect, I'm thinking someone talked them out of it though.

mikeslemonade1272d ago


So a external service is suppose to kill Sony?? Haha desperation by the X1 camp to downplay the PS4.

bouzebbal1272d ago (Edited 1272d ago )

if no monthly fee at reasonable price then simply no PS Now for me.
don't want to pay for one game at the time.

morganfell1272d ago


Most renters will not play a 12 hour game straight through. If they are given a 24 hour rental, most gamers will not beat a 12 hour game in that time. Do not think what you would do. That will skew your reasoning. Instead think what the average renter will do. Core gamers will play a title far differently than the majority of gamers.

Giul_Xainx1272d ago

What is wrong with just buying the damn game? This service is for people who do not own a ps3 or ps vita. A tv with the ps now app and a dual shock 3 is all you need with ps now. Yes the pricing is per publisher. Sony wants feedback. But seriously this is for people absent a ps3 ps4 or ps vita.

And again just buy the damn game. If you buy games already why do you care so much about ps now?

And on the ones looking for this service why not push it to be a monthly subscription based service? Ask Sony to turn ps now into the worlds first new game monthly subscription service that allows you to have access to the entire library and multiplayer functionality. Push them to make it this type of service. After all gaming is already heading into this direction. You need to let Sony know wth you want out of it absent pirates.

This is your biggest chance right now to show Sony what you want out of it. But again.... what is so wrong with just buying the damn game? Seriously just purchase the games from the ps store or your local game shop.

sinjonezp1271d ago

Its sad that SEGA GENESIS GOT THIS RIGHT OVER 2 DECADES AGO. Sega had a subscription based services that connect right through a cable and allowed you to play whatever for a set monthly fee. My cousin had this service and it worked great..set price points for each is not good..just pay a monthly fee n be done with it..would Netflix work if ever movie streamed had a outrageous Price? Heck no. Sony, look to that and it may work in your favor.

aCasualGamer1271d ago

I enjoy my PS4 quite alot, but the minute you forget that Sony is actually a company before anything else, that's when you lost your grip on reality.

Ofcourse they're gonna try and milk as much money as possible. Playstation Now, is the first true renting library that has all last gen games(will have) on consoles. There is no standard, so they can charge however they like or see it being worth.

It's freaking insane prices though, absolutely mindblowing that beta users actually pay those prices.

morganfell1271d ago (Edited 1271d ago )

@acasualgamer - I am in the beta and for us it is free. All rentals are free.

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Flutterby1272d ago (Edited 1272d ago )

The whole article is a joke they are even trying to pretend that the ps4 has some how been losing momentum lol its a troll article made by a troll.

Anon19741272d ago

Yeah, the whole thing just left me shaking my head. There's just so much ignorance and display in this piece. First off, there's no reason why these prices mean it's an instant flop. Gamefly has similar rental prices and obviously they've been able to make it work.
Secondly, these prices are set by publishers for one thing, and are just test prices at the moment (which the article mentions to it's credit). Still right there you'd think the author would know the entire premise of this article is premature.

Is the PS4 dead? The fact that they ask this question that literally no one is asking speaks volumes. You mean to ask, if the PS4 that's selling gangbusters right now is doomed due to the pricing of a service that your average consumer isn't even aware of yet, and won't be coming until next year? Are you serious?

And as for a "nail in the coffin for Sony", wtf? The entire gaming division could disappear overnight and Sony would survive as in the grande scheme of things the game division is just one piece of what Sony does as a larger company. Sure it's an important piece, but to even suggest that the flop of PS Now would bring down a company like Sony just displays enormous ignorance as to what Sony does as a whole.

system221272d ago

my dear friend, flutterby. ps4 sales are slowing down. not that they aren't still selling well but the markets are hitting saturation. japan has seen a huge decrease in ps4 sales. at one point the ps3 outsold the ps4 as did the Wii U. If you look at the trends overall, even thought the PS4 usually comes out on top, its numbers are trending downward. North American sales are not nearly what they were toward launch. Its a natural progression when your key demos take the bait.

why is it that anything that says anything remotely bad about Sony is a trolling article or "wannabe" author. Its a great console. Its not a superhero. Its not supernatural. Its subject to the same ebbs and flows that every piece of merchandise is.

Sony as a company is not doing well. It's huge. It cannot be supported by the success of one division. It needs every dollar it can make to not only be able to invest in the support of its products (including the PS4) but to even keep the doors open. Its scaled down much of its business. It needs the PS4 and every service for it to be a huge success. They are walking on the edge.

Gamingcapacity1271d ago

@ System

The market isn't saturated, not even close, it's not even 1 year in.

Sales are slowing? Yes they are but that's because we are in the slowest selling months of the year. It will pick up again around Sept and continue to rise until Dec. Once we get into next year then we can start comparing the months in 2015 to the months in 2014 and then we can make a judgement on declines. Even 2 years of data still might not give a good picture.

Consoles in Japan are in decline, they are moving to handhelds because its suits the Japanese lifestyle better.

Rickgrimes951272d ago

The guy who wrote this article acts like people bought a ps4 for ps now. No top sales 5 months in a row is not the nail in the coffin

kenshiro1001272d ago

Grasping at straws, I'd say.

showtimefolks1272d ago

seriously people Sony's trying to collect data and feedback. They said on E3 stage that consumer feedback will play a huge role in it

calm down nothing is Final yet

VforVideogames1272d ago

And then you ask why they're going bankrupt.

One_Eyed_Wizard1272d ago

Bankrupt? Yeah I've been hearing that since the PS2 days. Not going to happen.

randomass1711271d ago

Last I heard, Sony took a lot of stops to break even as oppose to financial decline. Sony will be fine, they're not going bankrupt.

ramiuk11272d ago

all games that are over 2 years old should be within a sub.
ps1 included with ps+
ps2 for £1.50 more a month
ps3 games for £4 a month
All games for £5 a month.
games that are within 6 months old on a rental scheme of so much a week.

in a way with all the older games sony could put on there,it would be free research into the type of games and old classics people really want.
They have to be clever though and pricing is key here

Back-to-Back1272d ago

For retail $60 games I'd like this model

1 day 1.99
3 day 3.99
7 days 7.99
30 days 12.99

bouzebbal1272d ago

i honestly don't think they'll allow rental of very new games.

ginsunuva1272d ago

They're not gonna do 1 day because of speedrunners.

4 hours will be the maximum, mimimum rental time.

randomass1711271d ago

Doesn't this service mostly apply to PS3, PS2 and PS1 games? Correct me if I'm wrong. Either way, it'd be pretty awesome to have PS4 games and maybe even Vita games on there as well.

Magicite1272d ago (Edited 1272d ago )

This is NOT ''Nail in the Coffin for Sony'', but prices are quite absurd indeed.
I hardly ever buy a game for over 20-25 euros, not to mention renting for more.

randomass1711271d ago

These prices are placeholders to test the waters and not final. I agree that they are quite high for my tastes, but I don't doubt Sony plans to lower the prices themselves. I would also expect even lower prices for PS+ users.

colonel1791272d ago (Edited 1272d ago )

Understandable that the prices are not final. They might even be aware that they are insane. However, it is UNACCEPTABLE that during the BETA people has to PAY these insane prices!

In my opinion, and I am not an expert on finances and businesses, I think that the best (and maybe only) way to go with PS NOW is a subscription model like Netflix, etc.

I don't see the service ever be successful with individual prices. They need to charge a certain amount monthly and/or yearly to access the service entirely.

There are games that hit the bargain bin very fast, and what PS Now offers are games from previous generations, so most likely they are already cheap at a retail store. So by charging individual rent prices, even if they are cheap, they won't matter, because for a few more dollars, you can get the game at a gamestop and own it.

3-4-51272d ago (Edited 1272d ago )

$5 for 4 hours of gameplay is probably the worst idea I've heard from any company yet.

I now " GET/understand/comprehend& quot ; just why Sony is losing money.

The person behind this idea needs to

* Sony is much better than this cheap exploitative tactic. Or at least I thought they were.

They should be ashamed of themselves for this after all the good they've done to kickstart the hype for this new gen.

Not cool Sony. Not Cool.

$5 for 4 hours!>

It was cheaper in 1992 to rent a game than that is now. WTF.

Doesn't matter if those are "TEST" prices....this is beyond lame.

So we can't just FULLY PURCHASE an old game on PS4 is what they are telling us ? ( not PSN stuff)

geddesmond1272d ago

I live in Ireland and just like the videostore. I'll still be waiting for PS Now when the PS5 launches. Huge rip off to gamers but a lot of tv only owners as in don't own a consol would pay that I'm sure.

LoTuZ1271d ago

They are nuts if they think I'm going to give them $5 for 4 hours.

+ Show (10) more repliesLast reply 1271d ago
Majin-vegeta1272d ago (Edited 1272d ago )

I guess someone didnt get todays memo.*Coughtestpricescough*

colonel1791272d ago

They are test prices, but it's been reported that if you are in the BETA and want to try a game, you HAVE TO PAY those prices! That's ridiculous!

ginsunuva1272d ago

The BETA is not a game-beta where it's a semi-private testing zone.

It's the beta stage of release. The word beta has different uses in games and software services. Remember how Google Search said "Beta" under it for over a decade?

paidadvertiser1272d ago

Expect only 100 more articles like this, even after the final prices are set. Blog journalism is probably going to be the nail in the coffin for N4G.

maniacmayhem1272d ago

Sony is testing these prices out but as of right now that is not a good deal at all.

explicitbaron1272d ago

Prices will be high for a while until they get their subscriber base up and add more features and get more games on it.

BattleAxe1272d ago (Edited 1272d ago )

Then where's the incentive to sign up in the first place?

wsoutlaw871272d ago

to play older games you couldn't otherwise. Alot of people are veiwing these prices from the perspective of already owning a ps3 but that would be against the whole point of now. I also dont see in anyway how this could be a nail in the coffin. The vast majority of console buyers probably dont even know what the service is, so if it never takes off huge its not going to kill sony; thats just stupid.

Batnut001272d ago

Oh my god, would you people freakin' Relax? These prices are NOT FINAL!! If you have a problem with it, Sony is encouraging you to SPEAK UP!!

admiralvic1272d ago

You realize your statement is an oxymoron, right?

Sony wants people to speak up, thus articles like this are encouraged (it brings the issue to peoples attention and Sony can see just how displeased people are, similar to the DriveClub fiasco), yet you're discouraging them and telling people to relax...

F4sterTh4nFTL1272d ago (Edited 1272d ago )

Well said, people over here are too quick to defend Sony not realizing they are actually hurting themselves and also Sony by not telling Sony the truth about what would be more convenient for them and others like them.

Batnut001272d ago

You can't tell people to relax and have a calm discussion on why you hate this? I'm not discouraging anyone, but I've been seeing people freak the freak out all day and than we got this guy saying this is the final nail in Sony's coffin, which is ridiculous.

LeCreuset1272d ago (Edited 1272d ago )


You realize to relax and to speak out are not mutually exclusive, and thus not an "oxymoron," right?


You must have Sony gamers mixed up with some other camp. They're the first ones to jump on Twitter and directly hit up the company president about issues ranging from the light on the DS4 controller to their distaste for policies that restrict used games. I certainly wouldn't classify as overly defensive someone encouraging people to speak up, while rightfully criticizing an article talking about death nails and presenting misleading information about "announced" prices.

wsoutlaw871272d ago (Edited 1272d ago )

you dont know what an oxymoron is. oxymoron /= contradiction.

LordMaim1272d ago

It's not an oxymoron. Batnut00 is saying that Sony is encouraging you to speak up, but not in some random forum where it won't change anything. Sony wants you to speak up TO THEM, on their official forums where they have many many threads dedicated to this subject. That way they actually receive your feedback rather than starting internet flame wars.

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incredibleMULK1272d ago (Edited 1272d ago )

Bone headed move after boneheaded move. Good job sony. Mouthfart! This isn't going to get u out of bankruptcy, or recover that $160 billion you squandered. It's sad when Xbox has more exclusives than you do.

Rip Sony

buried in the plot next to wiiu and psp go.

dragon821272d ago

I think someone needs to go back and count the exclusives for each system again. I bet Sony had less exclusives last gen too huh?

kenshiro1001272d ago (Edited 1272d ago )

Hey, little one bubble warrior. No one cares about your delusional rant. Just like any other troll, you don't own a PS4 so stop it.

ramiuk11272d ago

lol wouldn't be room in cemetary since the beremoth xbone and its power brick have taken all the space up

vergilxx31272d ago

You trust Sony too much as I did with borderlands 2 for vita they have claimed it will run 30 fps on vita it runs like shit with 15 fps and with more games being released on system and I see a shit although the prices are not final they will not change or maybe by -10% Max