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Sony Will Cut its PS5 Production by 26.7% Due To AMD Chip Issue

According to recent reports, Sony Interactive Entertainment decided to reduce the PS5 production volume due to the low AMD chip yield. But what does all of this mean for the next-generation console’s launch window?

In the course of yesterday evening, we received the message that Sony Interactive Entertainment is said to have decided to deliver the PlayStation 5 to dealers via the rather expensive air route from October.

In addition, a report is making the rounds, suggesting that fewer consoles than initially planned may be made available for the launch of the PS5. We remember that in July 2020, Sony Interactive Entertainment increased the initial production orders for the PlayStation 5 due to the increased demand caused by the COVID-19 pandemic. By the end of the 2020/2021 financial year on March 31, 2021, 15 million PS5 consoles should be available to be delivered to the trade.

According to a report from Bloomberg, however, this will no longer happen. Instead, Sony Interactive Entertainment is apparently confronted with the situation that the production yield of the system-on-chip specially developed for the PlayStation 5 is lower than expected. As per the report, the yield was around 50 percent, which meant that the production volume of the PS5 had to be reduced.

It also states that the delivery volume of the PlayStation 5 had to be reduced from 15 to 11 million units by the end of the current financial year as a result. Even if the chip yield has now stabilized a little, it is still too low to hold on to the originally announced delivery volume.

Should the information from Bloomberg prove to be true, it is to be feared that fewer consoles than initially planned could also be made available for the launch of the PlayStation 5. This makes it all the more important for early adopters to be able to secure their PS5 system by pre-ordering. Unfortunately, it is still unclear when and at what price the two PlayStation 5 systems will be released.

According to Bloomberg Intelligence analyst Masahiro Wakasugi, the digital-only version of the PS5 will be available for $399 US dollars, while the price of the classic version is likely to be $499 US dollars.

It is possible that Sony Interactive Entertainment will finally provide clarity in the context of tomorrow’s PlayStation 5 games showcase and provide specific details for the market launch of the new console. The said online event starts on Wednesday evening at 1 pm Pacific Time.

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