Sony warns of weaker PlayStation business as game sales wobble

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The latest sign of a gaming industry slowdown.

Sony’s PlayStation game sales are the latest sign that the gaming industry is slowing down after a big boost during the initial stages of the pandemic. Microsoft doesn’t reveal its own Xbox hardware shipments, but the companyin its recent quarter, alongside a 6 percent drop in Xbox content and services revenue, and a 7 percent decline in overall gaming revenue.

Sony previously forecast 18 million PlayStation 5 shipments for its 2022 financial year, and the company hasn’t revised those estimates yet. “Supply has not been sufficient... demand has not gone down. We really need to meet the demand, that is the important thing to do,” said Sony CFO Hiroki Totoki in an investor call today.Photo Illustration by Grayson Blackmon / The Verge

Sony now hopes hardware shipments will improve later this year, as it believes that it is mostly supply chain disruptions that are affecting PS5 shipments rather than a lack of components. Sony will need to greatly improve its PS5 shipments to meet its 18 million annual projection, though. It needs to hit an average of more than 5 million PS5 shipments per quarter for the rest of the financial year, a target that’s more than double this quarter’s shipments.

 

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Just wonder if this is systemic for the entire industry or this is Playstation problem. Can't wait until the numbers for the year are released.

Well, people want to play the China game and enable them. Don’t matter, a lot of people playing games with their confused society that weakens us anyway.

Consumption pumped artificially during COVID stimulus is not real metrics to go off of, and anyone buying stocks should know that.

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