PS5 replenishment shortage is explained - here's why it's such a nightmare

PS5 replenishment shortage is explained - here's why it's such a nightmare

I'm asking where can I buy a PS5, but I can't because it's not in stock. But why is it not in stock? Aside from the ridiculous demand from both gamers and duffers, there is a limit to how many Sony can manufacture.

There is a serious chip shortage going on right now, and it's not just affecting the production of gaming consoles. For without the right chips, the PS5 could become a giant plastic doorstop.

CNBC reports that a number of companies have warned of production delays due to the ongoing chip shortage. These include dedicated chipmakers like AMD and Qualcomm, as well as automakers GM, Ford, Honda, and Fiat Chrysler.

Even Sony and Apple have identified problems sourcing sufficient components.

We have already heard that AMD is suffering from a chip shortage, which is directly affecting the production of the PS5 and Xbox Series X. We are told that the problem will not be resolved until June at the earliest. But the problem is far more widespread than that, affecting all industries that use computer chips in their products. These days, most of them do.

The question is why is this happening? [Part of the problem stems from the increased demand for electronic devices during the pandemic. The first wave of demand came from people who needed equipment for remote work and study, but by last fall that demand had shifted to home entertainment.

Former President Trump's trade war with China has also been cited as a cause of the chip shortage. Much of the manufacturing is done in mainland China, and last year the Trump administration imposed restrictions on China's largest chipmaker, Semiconductor Manufacturing International (SMIC) SMIC has been unable to obtain more advanced chip manufacturing equipment, preventing the company from operating at full capacity hampering the company's ability to operate at full capacity.

These factors combine to create the global chip shortage we are experiencing. Thankfully, not everyone is affected, as some companies had already stockpiled the necessary chips prior to the sanctions; according to CNBC, Toyota had a four-month supply of chips in stock and was in a good position to continue manufacturing as usual while its competitors struggled.

Fortunately, most technologies are not in as high demand as the PS5, and if one company struggles, it can always get something similar from a competitor.

Not so with game consoles. Chip shortages have severely hampered Sony's ability to produce a sufficient number of game consoles. It certainly doesn't help that duffers are buying up as much inventory as they can in order to sell the game consoles at exorbitant prices.

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