Sony's Stock Plummets 14% as It Battles Nintendo's Switch 2 with Aggressive PS5 Campaign

Recent turbulence in the gaming industry sees Sony making strategic moves to capitalize on the criticisms surrounding Nintendo's newly unveiled Switch 2. On April 4th, Sony experienced a 6.67% decline, continuing a 4-day streak that saw their shares drop by 14.06%, reaching their lowest point since February 2025. However, seizing the moment, Sony has launched a proactive campaign spotlighting the advantages of its PlayStation 5, highlighting features designed to appeal to cost-conscious gamers.

Sony's latest promotional effort features a detailed presentation of the PS5's benefits, particularly emphasizing its affordability and enhanced features. The PS5, priced at 2999 yuan and eligible for subsidies, offers significant storage with a built-in 1TB capacity and expandable M.2 SSD slots. This storage capability starkly contrasts Nintendo's Switch 2, which, despite its upgrade to 256 GB, restricts expansion to specific MicroSD Express cards, requiring additional costs for users.

The strategic comparison doesn't end there. Sony emphasizes its DualSense wireless controller's built-in microphone, allowing free communication with friends, a direct challenge to Nintendo's Gamechat, which necessitates an NSO membership, adding to player expenses. The PS5's focus on value for money, such as maintaining competitive pricing for physical game versions, positions it as a tempting alternative to Nintendo’s pricier offering.

As Switch 2 faces backlash over its high price and limited game library, including only a handful of new versions of classic titles, Sony leverages this discontent with clever marketing aimed at both retaining and gaining users. The comparison of features taps into ongoing consumer concerns, making the PS5 a more attractive option.

Amid the marketing push, some industry watchers express curiosity about whether Nintendo's pricing strategy might influence Sony's future game pricing. While concerns loom about potential increases, Sony's current approach seems to underline stability and consumer familiarity amidst the market's changing dynamics.