I think Deadline has a point. They can choose a price point where the digital edition is slightly below cost and the regular edition is intentionally sold at a larger price differential, and at a profit. It both emphasises the value of the digital edition, and increases the average sale price.
We heard estimates that build cost for the PS5 was about $460 earlier this year. So they can do the digital version at $399 at a $50 or so loss and the disc version at $499 at a small profit.