Why is Sony struggling selling PS5?

Why is Sony struggling selling PS5?

Sony sold 3.9 million PS5 consoles in the December quarter down from 4.5 million in the same quarter in 2020. Sony, like many other consumer electronics companies and even automakers, is struggling with a global semiconductor shortage. While demand remains strong, Sony cannot produce enough consoles.

How much is Sony gaming division worth?

Niko Partners Senior Analyst Daniel Ahmad provided the figures for the year ending in April 2021 and Sony was valued at $22.67 billion. This meant they were the second biggest gaming company in the world behind Tencent, who were valued at $29.3 billion after including the gaming revenue from their social networks too.

Does Sony lose money on PS5?

Because of that, Sony reported 813.3 billion yen ($7.09 billion) in revenue for its gaming division, down from 883.2 billion yen ($7.703 billion) over the same quarter last year. However, operating profit rose 12.1 percent to $810 million, because Sony actually loses money on each PS5 console sold.

Is Sony buying more studios?

Sony’s Plans to Expand We’re growing our studios organically and we’re growing through acquisition. We acquired five studios during the course of 2021, we’re in discussions with Bungie and we have more planned.

Who is richer Sony or Nintendo?

At the end of October, Sony has a market value near $70 billion. Nintendo’s market value is around $37 billion, about half of Sony.

Is Apple bigger than Sony?

Their current market cap is $2.11T. Sony’s brand is ranked #218 in the list of Global Top 1000 Brands, as rated by customers of Sony. Their current market cap is $76.24B….Apple vs Sony.

Why can’t Sony make enough ps5s?

Remember that chip shortage issue affecting industries globally? It’s still ongoing, and it continues to affect the gaming industry, including Sony. That’s because chips are one of the key components used in producing PS5 consoles. Another reason is shipping delays which affect supply chains.

Is the PS5 a loss leader?

Sony has also managed to secure enough chips to hit its 22 million console sales target this fiscal year. Sony’s chief financial officer, Hiroki Totoki, has this week confirmed that the company’s $499 PS5 console is no longer selling at a loss.

Who is Playstation buying?

Sony Interactive Entertainment president Jim Ryan has promised that the company will continue to acquire more studios in the future following a big buying spree in 2021. Sony acquired five studios in 2021, and in 2022 so far, it announced deals to buy Destiny 2 developer Bungie and Jade Raymond’s Haven Studios.

What will Sony acquire next?

Sony’s deal to acquire Destiny makers Bungie is worth $3.6billion, while Microsoft’s acquisition of Activision Blizzard will cost $68.7billion. In comparison, the deal that Embracer has struck looks to be an absolute bargain.