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AMD Expects PS5, Xbox Series X Delivery Bottlenecks until mid-2021

Since the PS5 was released, there has basically been no way to buy the new console. A similar situation can be observed with the availability of the Xbox Series X/S. And it seems that this state of affairs will continue for a while.

As before, Sony and Microsoft are unable to meet the demand for the PS5 and Xbox Series X/S. The latest information from retailers even suggests that there will be no or only minor subsequent deliveries in the coming weeks. A current statement from AMD even gives rise to fears that this situation will continue for a while. Because the electronics company is also struggling with delivery problems.

According to AMD CEO Lisa Su, the delivery bottlenecks could have an impact on the production of PS5 and Xbox Series X throughout the first half of 2021. First of all, she emphasized: “When I look at the semiconductor environment in 2020 it was very strong. So, we saw a strong revenue ramp in our business as well as across some of our peers.”

However, the total demand exceeded the plan, which led to the first delivery bottlenecks towards the end of last year. According to Su, these mainly affected the PC market, the lower end of the PC market, and the games market.

“That being said, I think we’re getting great support from our manufacturing partners. The industry does need to increase the overall capacity levels and so we do see some tightness through the first half of the year, but there is added capacity in the second half,” she said.

Microsoft’s Phil Spencer also recently indicated that there are bottlenecks within the production chain: “It’s really just down to physics and engineering. We’re not holding them back: we’re building them as fast as we can. We have all the assembly lines going. I was on the phone last week with Lisa Su at AMD [asking], ‘how do we get more?’ So it’s something that we’re constantly working on.”

Sony and Microsoft have not been able to meet the demand for the PS5 and Xbox Series X/S since they were launched in November last year. Even in the pre-order waves before the launch, not all interested parties got a chance.

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