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Why Is There a Shortage of PS5’s & Xbox Series X’s

It is no secret that PS5 and Xbox Series X shortages are still a thing. Let’s talk about the reasons as to why this is happening.

This console generation can be summarized with one word: restocks.

Instead of enjoying the new games coming to these next-gen systems, some users are just waiting for restocks instead.

There are so few units around that restocks last mere seconds in some cases.

The shortage is so bad that some gamers get their PS5 and Xbox Series X canceled by retailers.

Why is this happening now with PS5 and Xbox Series X and S consoles? Well, there are certainly valid reasons.

PS5 Sales Shortage
Source: Sony

PS5, Xbox Series X, and the Semiconductor Chip Shortage

If you are a PC gamer the term “chip shortage” will surely ring a bell.

Next-gen consoles arrived at the worst time in terms of logistics and economy.

Due to the ongoing pandemic, the need for electronic devices has never been higher in history.

That high demand for semiconductor chips for electronic devices has been met with huge logistical hurdles and scarcity of raw materials caused by global lockdowns.

So, in simple terms, this is a case of huge demand and not sufficient production.

Furthermore, geopolitical factors such as the China – United States trade war have made chip production and pricing much more cumbersome than it was back in 2019.

With all that in mind, let’s return to what we love and care for, our consoles.

PS5 Xbox Series X Semiconductor Chip Shortage
Source: wccftech

All these shortages in semiconductors have dramatically slowed down the production of PS5 and Xbox Series X and S consoles.

The slowdown in production has caused the scarcity we now experience.

It has been so bad that to date, nor PS5 neither Xbox Series X has been able to meet the ongoing demand since launch.

As the global pandemic follows its course, console production has ramped up as more resources become available. Although, this still hasn’t been enough to cover existing demand.

Many high-profile people in the industry, like AMD’s CEO, Lisa Su, are forecasting the chip shortage could be over by 2022.

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This would take some time to be conclusive, but hopefully, this could be the end of a long shortage.

PS5 & Xbox Series X Record Sales Numbers

Aside from the scarcity we talked about before, sales figures for both PS5 and Xbox Series X consoles are a major driving factor for their current shortages.

Both consoles have been a massive success for Sony and Microsoft respectively.

Earlier this year Sony announced that PS5 has outsold PS4 launch figures, reaching 10 million units sold. This officially made PS5 Sony’s fastest-selling console ever.

Xbox Series X Sales Shortage
Source: Microsoft
Microsoft

In contrast, reaching the same sales figure took 9 months for PS4, and that was with a much more solid and stable production line.

The same story applies to Xbox Series X and S, which outsold Xbox One launch sales by 23% reaching 6.45 million units sold in its first 8 months.

Those sales numbers combined with the production challenges faced all around the world created the perfect scarcity storm that we are witnessing now.

As for 2021, there is no end in sight for this issue at least for this year. In fact, this scarcity is also affecting recently launched consoles such as the Nintendo Switch OLED.

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