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Sony cuts production of PlayStation 5 due to supply problems

The coronavirus pandemic and the semiconductor industry crisis have led to global component shortages and supply problems. Not spared these problems, and the Japanese company Sony, which even had to cut production of its new PlayStation 5 game console. On Thursday, November 11, Bloomberg reported, citing its own sources familiar with the situation.

Sony’s CFO has warned that the COVID-19 pandemic continues to have a negative impact on manufacturing and supply, insiders said. In this regard, the company has lowered its forecast for the supply of PlayStation 5 for the current fiscal year due to shortages of components and problems with logistics. Sony originally planned to deliver about 16 million new consoles in fiscal 2021, which ends next March, but now the company has reduced its forecast to 15 million.

Among the scarce components are power management microcircuits. Manufacturers of these components, in particular Toshiba Corp, have warned that the production and supply situation is unlikely to return to normal even next year.

In late October, during a conference call, Sony’s CFO Hiroki Totoki told investors that parts and supply problems had worsened. Because of this, sales of the Sony PlayStation 5 last quarter were slightly lower than expected. It should be noted that at first the PlayStation 5 was called the best-selling game console in the entire history of Sony, but since July it has lagged behind its predecessor, the PlayStation 4, in terms of sales.

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