Sony Cuts PlayStation 5 Production Outlook

Sony Group Corp SONY slashed its PlayStation 5 production outlook for this fiscal year due to component and logistics constraints, Bloomberg reports.
Sony previously aimed over 16 million units assembled in the year ending March to achieve its sales goal and get a head start on the subsequent year’s production.
Sony cut that number down to about 15 million, making its aim of 14.8 million PS5 sales by March difficult.
Sony’s manufacturing partners assume the PlayStation 5 to remain in tight supply through 2022. Producing enough units to achieve the target of 22.6 million sales in the next fiscal year will be challenging.
Rival Nintendo Co Ltd NTDOY cut its full-year sales forecast for the Switch console family by 1.5 million units in early November.
Chipmakers from Toshiba Corp TOSYY, which provides such power chips to Taiwan Semiconductor Manufacturing Co Ltd TSM, find it unlikely for the fabrication situation to normalize even during 2022.
Price Action: SONY shares closed lower by 0.83% at $121.45 on Wednesday.