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Sony is reportedly cutting production of its PlayStation 5 gaming console due to a global chip shortage and shipping issues plaguing the technology industry.
The Tokyo-based firm had planned to have built more than 16 million consoles within the first year, but reduced the number to 15 million – a move that puts its target of 14.8 million PS5 sales by March near impossible, people familiar with the matter told Bloomberg.
This also means consumers may have trouble getting their hands on a PS5 this holiday season.
However, Sony and Taiwan Semiconductor Manufacturing Co. (TSMC) recently formed a partnership to build a semiconductor factory in Kumamoto, Japan that would address the 'strong global market demand' for specialized chips.
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Sony is reportedly cutting production on its PlayStation 5 gaming console due to a global chip shortage and shipping issues plaguing the technology industry
The global ship shortage started when chipmaking factories around the world were forced to shutter due to the coronavirus pandemic, which resulted in months of no production.
It was compounded due to the rise in demand for electronics, as most people were under stay-at-home orders.
Chip supplies were expected to rebound by the end of this year, but the shortage is now set to linger into next year and could event remain until 2023.
