Sony’s profit nosedive could mean you can finally get a PS5
The next-gen console might finally be within reach
When you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.
PS5 stock shortages may soon be a thing of the past, asSonylooks likely to increase production of its flagship console in a bid to shore up its falling profits.
That’s according to one business analyst, who reckons Sony will be keen to fill persistentPS5demand gaps after the companyreported its earningsdidn’t meet industry expectations. By upping production of the console, Sony can reach those consumers who have been clamoring for the console since it launched.
“We expect Sony to accelerate the PlayStation 5’s production volume in this fiscal year to recapture the ground,” Macquarie Capital Securities analyst Damian Thong toldBloomberg, “though at the cost of pressure on profit margins”.
What does this mean for you?
That’s good news for anyone struggling to get their hands on a PS5. The ongoing global chip shortage has meant Sony’s produced fewer units of the console than it had anticipated. That’s led to stock shortages that have made it decidedly difficult to snap up the console in retail stores.
If Sony commits to upping PS5 production, we should see more hardware hitting shelves. It’ll not only ease those shortages, but also undermineunscrupulous scalperswho buy the consoles in bulk to sell at inflated prices.
As Thong mentions, Sony might have to incur higher-than-usual production costs to rapidly expand manufacturing, but that’s unlikely to have a knock-on effect on consumers. The PS5 is usuallysold at a loss, with Sony making up the shortfall through its first-party games, hardware peripherals, and subscription services, likePS Plus.
Both the PS5 andXbox Series Xhave been beset with persistent stock shortages. Sony’s console has sold cool 19 million units, as laid out in the company’sFY2021 fiscal results. That’s figure has surpassed the Xbox Series X’s 12 million units sold. The PS5’s sales have even set a couple of records, too, such as overtaking the UKlifetime sales of the Nintendo 64.
Get the best Black Friday deals direct to your inbox, plus news, reviews, and more.
Sign up to be the first to know about unmissable Black Friday deals on top tech, plus get all your favorite TechRadar content.
The Xbox Series X has beeneasier to find in recent monthsafterMicrosoftmade a concerted effort to prioritize chip production last April. The fruits of that investment have now started to appear, as the flagship console is easier to source than the PS5.
If Sony wants to maintain its sales lead on Microsoft, it’ll need to seriously ramp up production. Seeing more hardware on retail shelves will be good news to Sony’s shareholders, as well as consumers who are eager to finally get their hands on the next-gen console.
Callum is TechRadar Gaming’s News Writer. You’ll find him whipping up stories about all the latest happenings in the gaming world, as well as penning the odd feature and review. Before coming to TechRadar, he wrote freelance for various sites, including Clash, The Telegraph, and Gamesindustry.biz, and worked as a Staff Writer at Wargamer. Strategy games and RPGs are his bread and butter, but he’ll eat anything that spins a captivating narrative. He also loves tabletop games, and will happily chew your ear off about TTRPGs and board games.
I reviewed the PS5 Pro and recommend these 7 enhanced games to try first
Lords of the Fallen is the latest game to get confirmed PS5 Pro enhancements and support
England vs Australia live stream: how to watch 2024 rugby union Autumn International online from anywhere
