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The Costs of DRAM and Storage Is a Major Problem for the Video Game Industry #switch2 #PS5 #Xbox

Veteran game analyst Matthew Ball warned that soaring DRAM and SSD prices are threatening the profitability of next‑generation consoles. Component costs have risen sharply, driven by data‑center demand and supply constraints, forcing manufacturers to reassess bill‑of‑materials. Ball described the situation as "pretty frightened," suggesting that console makers may face higher retail prices or reduced margins. The issue spans major platforms, including Nintendo Switch 2, Sony’s PS5, and Microsoft’s Xbox Series X.|