Australian retailer EB Games offers 2020 launch day pricing for PlayStation 5 trade-ins

The Death of the “Price Drop”: Why Your Console Might Be Worth More Today Than Ever

For decades, the rule of consumer electronics was simple: buy it now, and it will be cheaper in two years. Whether it was the original PlayStation or the Xbox 360, the hardware lifecycle followed a predictable downward slope. But we have entered a strange new era of gaming economics where that rule is being flipped on its head.

Take the recent move by Australian retailer EB Games. In a move that would have been unthinkable ten years ago, they offered members the ability to trade in a launch-day PlayStation 5 for $749.95 AUD—the exact price the console cost when it first hit shelves in 2020. Essentially, gamers were offered a full refund for a six-year-old piece of hardware they’ve been using for thousands of hours.

The “Pro” Effect and the Shifting Value Baseline

Why is this happening? The answer lies in a combination of global economic pressures and a strategic shift in how Sony and Microsoft price their hardware. The introduction of “Slim” refreshes and “Pro” models has created a new price ceiling.

When the PS5 Slim launched at a higher price point in certain markets (reaching nearly $1,000 AUD), it effectively raised the “floor” for the second-hand market. If a brand-new mid-gen refresh costs more than the original launch model, the original model maintains a higher resale value given that it remains the most affordable entry point into the ecosystem.

We are seeing a similar trend in the PC market. The “memory crisis”—characterized by spikes in DRAM and NAND flash prices—has pushed the cost of GPUs and motherboards higher, meaning that older, high-spec hardware is holding its value far longer than it used to. For more on how component costs affect gaming, check out our guide on current GPU price volatility.

The Rise of the “Premium” Tier

The launch of the PS5 Pro, retailing at a significantly higher premium (around $1,399.95 AUD), further cements this trend. By creating a “Ultra-Premium” tier, manufacturers are signaling that gaming hardware is no longer a loss-leader designed to get into as many homes as possible at any cost. Instead, they are targeting a high-spending enthusiast demographic.

Future Trends: What This Means for the Next Generation

If the current trend continues, we can expect the “Console Cycle” to change fundamentally. We are likely moving toward a model of continuous hardware evolution rather than the traditional 7-year jump.

Here is what we predict for the near future:

• Refurbished Dominance: As new hardware prices climb, the “Certified Refurbished” market will become the primary way for average consumers to enter the ecosystem.
• Subscription-Hardware Bundles: To offset high entry costs, we may see more “Console-as-a-Service” models, where you pay a monthly fee that includes both the hardware and a game subscription.
• Value Retention: High-end consoles may start behaving more like luxury goods or specialized tools, maintaining a higher percentage of their value over time.

This shift is also being driven by the industry’s move toward cloud gaming and hybrid ecosystems. As the line between a console and a high-end PC blurs, pricing will likely align more with PC hardware—which is volatile and driven by raw component costs—rather than the subsidized pricing of the PS2 or Wii eras.

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