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Chip Production Woes Will Likely Exacerbate PS5 Shortages Over the Holidays

Horizon Forbidden WestSony had forecasted the production of at least 15 million PlayStation 5 units by the end of this fiscal year. This week, Sony cut back that forecast by 4 million units, as the electronics giant is preparing for a November world wide launch of its next generation console.

According to Bloomberg, Manufacturing troubles, such as production yields for the chipset hitting a low %50, have made the production of the console a slower than previously expected task by the company.

The fiscal year ends in March 2021, but the company’s stock took a bit of a hit, as the news of the manufacturing troubles spread. The low production rate of the SOC, could conceivably raise the cost of its manufacturing, cutting into Sony’s profit margins.

Will We Get A Price Point This Week?

Amidst all of these troubles, Microsoft roared out of the gates first by announcing aggressive price points of its own Next-Generation machines last week.

Bloomberg Intelligence Analyst Masashiro Wakasugi, predicts that Sony will counter Microsoft by positioning its PS5 console at $449 ($50 dollars cheaper than the Xbox Series X), and its disc less counterpart at a lower $349-$399 price point.

If Sony’s pricing (rumored to be announced on Wednesday, September 16th) sticks close to Bloomberg’s¬†prediction, it would place Microsoft’s Xbox Series X in a very interesting position in terms of consumer demand.

For all of its PS5 production woes, Sony remains in a good place with record breaking numbers performed by its big 2020 exclusives, The Last of Us: Part II, and Ghosts of Tsushima.

PS Plus’ Subscriber tally has also seen a massive increase for the company during the Pandemic months. Sony is at least in terms of hype, seems to hold an advantage over Microsoft as they approach November. Analysts predict that Sony will outsell Microsoft, barring an unlikely astronomical price announcement for the PlayStation 5.

However, the new reports do make seem like it is likely that the PS5 will at least match the Xbox Series X’s price point.

All that Sony needs now, it to capitalize on Halo Infinite’s delay which was has been a big blow to Microsoft, by announcing a launch killer app.

Demon Souls and Rachet and Clank seems to be prime candidates for Launch, both titles seem to be at the final stages of their respective development cycles.

Perhaps, tomorrows game showcase will finally reveal both he pricing of the system, and its official launch lineup in order to bring some clarity into what Sony’s plans are for its November Launch.

 

 

 

 

 

By Samuel Rivera

Avid Video Game player, and Book Reader. Samuel has been playing video games for the last 31 years. He has played nearly every PS1 JRPG known to man, and loves Ocarina of Time more than any other game.

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