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Sony reportedly reducing PS5 production by four million units due to SoC issues

Why it matters: Are you one of the many people hoping to grab a PlayStation 5 in the months following release? Finding one in stock might not be that easy. According to a new report, Sony has cut estimated production for the next-gen console by four million units to around 11 million by the end of March, the result of issues with its SoC.

With Covid-19 concerns resulting in more people staying at home and gaming than ever before, combined with the general excitement around the PS5, Sony expects demand for its machine to be high. As such, it had reportedly aimed to produce 10 million consoles before the end of 2020. But Bloomberg writes that those plans have been thwarted due to manufacturing problems.

One of the issues Sony is facing relates to the consoles’ SoC, which was designed alongside AMD. Production yields for the chip were said to be as low as 50 percent at one point, thereby cutting the number of usable parts by half. Those yields have been improving, but Bloomberg writes that they are “yet to reach a stable level.”

Even 11 million PS5 units by the end of March is more than previous predictions. Back in April, an expected high price meant Sony was only planning to ship 5 to 6 million consoles this fiscal year, fewer than the PS4 saw at launch—7.5 million in its first two quarters. But the pandemic and resulting boost to the gaming industry saw Sony increase its forecast.

Earlier this week, we heard rumors that Sony would be dropping the price of the PS5 and its discless sibling following the reveal of the Xbox Series X/S. The main console is expected to arrive at between $449 and $499, while the all-digital edition is thought to be $399, which is still more than the $299 Xbox Series S.

Eleven million units is still a lot, of course, but we’ve rarely seen so many people clamoring for the release of a new console— 84% of gamers are more excited about the PS5 than the Xbox Series X, according to a recent survey. If you want a PS5 for the holidays, best hit the pre-orders as soon as they open. We’ll find out more during Sony’s PlayStation 5 showcase, which takes place tomorrow (September 16) at 1 pm PT / 4 pm ET.

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