- Sony recently laid off 250 people from the recordable media business.
- A report states that the company is moving away from optical disc media, including Blu-Ray.
- This may be a red flag for physical gaming on PlayStation, pointing to an all-digital future.
Digital media has been on the rise globally for quite a while. Whether it be games, film, or television, most media is consumed digitally today. This shift has taken longer in the gaming industry, but signs are pointing at the death of physical media.
According to recent developments, Sony may be preparing to move away from physical media entirely. Following a wave of layoffs in a major department, a report states that Sony will gradually cease production of optical storage media.
Why it matters: Analysts have already predicted that PlayStation and Xbox will go all-digital within the next two generations. However, this change may arrive sooner than anticipated.
As reported by Mainichi, Sony has cut 250 jobs from the recordable media business. While not much else has been revealed on the matter, the report blames the declining demand for physical media.
It also highlights that Sony eventually plans to cease producing storage formats like Blu-Ray discs. What’s interesting is that this is the same standard used for all PS5 games.
Since Sony as a whole is moving away from Blu-Ray discs, the impacts of this decision may be felt in the gaming business quite soon. The PS5 already shipped with a digital-only model, highlighting PlayStation’s focus on the market.
Following the pandemic, digital ownership is on the rise, and physical media is slowly dying in the gaming industry. Xbox has already realized this, focusing most of its efforts on subscriptions, cloud gaming, and more.
Previously, Xbox’s physical games department faced similar layoffs. Sony may be planning to outsource this part of the business moving forward, but it’s only a matter of time before digital media completely takes over.
Various studios are already choosing to skip physical releases entirely, with Hellblade 2 being a prominent example in recent months. This could be a massive issue for enthusiasts who enjoy growing their collections, but it seems that little can be done about the situation.
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