Sony has reportedly reduced its estimates of the number of PlayStation 5 consoles that can be made by the end of the year. The reason for this, according to Bloomberg, is because the ongoing Covid-19 pandemic is still causing the shortage of PS5 components to persist.
Sony hoped to be able to manufacture 16 million PS5 consoles in the current fiscal year. However, manufacturing issues, mainly component shortages and logistics constraints, have now revised that number to 15 million, making it very unlikely the company will meet its goal of selling more than 14.8 million consoles by the end of March 2022, according to the information it currently claims The company’s investors were apparently announced in a conference call held by Sony’s CFO Hiroki Totoki in late October.
The reason for the current sales target is that they could exceed the number of units sold in a console’s second year; The PlayStation 4 currently holds the record with 14.8 million units. Unfortunately things haven’t been going so well lately. During the same conference call, Totoki had said that while the PS5 was Sony’s fastest console, reaching 10 million sales in July, sales have since lagged behind the pace set by the PS4 console.
Totoki had already warned that if the Covid-19 pandemic flares up again, a component shortage is likely. This is mainly due to the global nature of console manufacturing. Many of the console parts are made in developing countries, where vaccine adoption is inconsistent, meaning labor shortages have resulted in lower levels of production. Despite constant communication between manufacturers and those who assemble the consoles, the parts do not always arrive on time.
Other companies like Toshiba had previously predicted that chip sorting could impact console manufacturing by 2023, making it unlikely that Sony will break its own annual console sales record between April 2022 and March 2023, when the record became the first PlayStation console broken, but if the scarcity continues, that ambition seems quite a challenge.[Source: Bloomberg]