Sony Cuts PS5 Production Because of Chipset Issues

Posted on September 15, 2020 by Paul Thurrott in PlayStation with 4 Comments

Bloomberg reports that Sony has had to cut PlayStation 5 production by 4 million units due to issues manufacturing its chipsets.

Sony originally expected to ship 15 million PS5 consoles to customers in its initial holiday quarter launch cycle, but it now expects to ship just 11 million units, the publication claims, citing multiple sources. The issue? “Production issues with its custom-designed system-on-chip for the new console.” Apparently, the production yields are only 50 percent.

Sony is expecting a PS5 sales bonanza this holiday season based on earlier video gaming demand during the COVID-19 pandemic. And even at this reduced level, 11 million units is still a sizable number for the console market.

Of course, the bigger question is the cost of the PS5 for consumers. Sony is widely expected to announce its pricing strategy tomorrow at a virtual event.

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