PS5 Digital technically launched at $400, the same as PS4 and $100 less than XSX, in an era that’s increasingly digital. One could argue about its availibility vs. the $500 Disc version and what use MSRP has in today’s market. Current chip shortages have undercut typical competition arguments in that demand has outstripped supply for so long. I mean, Nintendo just launched a new Switch model for $400.The PS5 is coming in at a higher price than the PS4 did, in a time where economics are more constrained. This time around they actually have some competition from Microsoft whereas last time they didnt as much as now.
Electricity costs plus inflation may make a new console less broadly attractive, but backwards compatibility makes upgrading to a PS5 as sensible as upgrading a GPU to some.PS5 is a larger, more energy hungry console, the games have gotten more expensive. Also, cross-generation, people on PS4's have less reason to upgrade…
I think you have a slightly pessimistic take on the appeal of upgrading a console in the weird current market.