Sony Suffering Supply Issues

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Sony Suffering Supply Issues

Sony Suffering Supply Issues

Sony is struggling with meeting the demands of its newly launched PlayStation 5 gaming consoles due to changes in the lifestyle of people due to the COVID-19 lockdowns across various countries in the world. People are forced to stay indoors and the appetite for digital games and streaming services has increased several folds. The additional pressure of demand has led to a shortage in supplies.

The first round of stocks of PS5 was sold out in seconds in Japan and even a riot erupted as gamers fought to get the new device. Similarly, the online website of retail houses crashed amid unprecedented traffic. The situation became further complicated as several resellers listed the device on second-hand sites including eBay at inflated prices.

Talking to a Russian news web media, the company said everything has been sold and efforts are being made to speed up the supply segment for meeting the unexpected enhanced demand.

Sony denied shortages at the end of their manufacturing unit. The rise in demand has led to disruption. However, CFO Hiroki Totoki had earlier mentioned in the year-end results that the company is facing shortages of a few components including semiconductors.

The company added that they are trying to meet the demands and ship as many units have possible to the gamers who are waiting for the new device.

Meanwhile, it is learned the semiconductors shortage has simultaneously hit auto and other industries. The trade war between the United States and China is being blamed.

Totoki lately announced the company has acquired ample parts and they are now not concerned about the semiconductors supply segment. They have secured chips in good number.

Sony initially had a target of selling 14.8 million devices by March 2022 and the comment of Totoki suggest the company will soon roll out the enhanced supplies in a steady manner.

The supply issue is reflected in the sales charts too as games like Spider-Man: Miles Morales from the stable of Marvel is now not in the top 10 UK chart due to thecrisis of PS5. The new games which are completely dependent on the console include Far Cry 6, Battlefield 2042, GTA 5 and Deathloop.

However, the latest comment of Totoki has enhanced confidence among retailers and game publishers. It is believed the supply crisis will soon be solved and Sony may meet the increased demands of gamers completely. The situation was uncertain and beyond the control of any company. Coronavirus has resulted in both pros and cons for industries. Some segment seems minting money while many are suffering great losses.

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