Sony makes fewer PlayStation 5s
Sony makes fewer PlayStation 5s

Due to constraints on components and logistics, Sony has lowered its PlayStation 5 production forecast for this fiscal year.

The Tokyo-based entertainment giant had previously planned to assemble more than 16 million units in the year through March.

This makes it possible to achieve the current sales target and take the lead in production for the next year. But the company lowered that number to about 15 million.

This makes it difficult to sell 14.8 million PlayStation 5 units by March.

Chief Financial Officer Hiroki Totoki said late last month that logistical problems and a shortage of parts would only get worse for Sony.

On October 28, he said PlayStation 5 sales for the quarter ending in September were slightly lower than expected.

He previously warned that the resumption of the novel coronavirus outbreak could affect the company's supply of spare parts.

PlayStation 5 became Sony's fastest platform, with sales of 10 million units in July. Since then, however, the pace of sales has slowed down from its predecessor, the PlayStation 4.

PlayStation 5 sales targets at risk

Released a year ago, the PlayStation 5 was hard to find for the duration of its release.

The limitation is mainly due to Sony's efforts to distribute a sufficient number of products worldwide.

Uneven distribution of vaccines in developing countries where Sony's suppliers have manufacturing facilities makes the supply of chips and parts unpredictable.

Modest equipment is one of the rare ingredients. But it's as simple as a power management chip.

Chip maker Toshiba, which supplies these power chips to TSMC, has warned that even in 2022, production is unlikely to return to normal.

It should be noted that Sony is not alone in facing shortages. Rival Nintendo slashed its annual sales forecast for Switch series consoles by 1.5 million units in early November.

Valve has postponed the release of the Steam Deck mobile platform from December to February due to global supply chain issues.

Game makers and platform enthusiasts are increasingly frustrated with Sony's limited stock. A major Japanese game publisher has discovered that gamers who purchased PlayStation games in the past are now gradually switching to the PC version.

And PlayStation 5 games have so far failed to impress sales in Japan, which is dominated by Nintendo's Switch platform.

Sony's production partners assume that the PlayStation 5 will be in short supply before 2022. They said it will be difficult to produce enough equipment to meet the company's sales target of 22.6 million units in the next fiscal year.

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