Foxconn, the world’s largest electronic component manufacturer, said that the global chip shortage could continue until the second quarter of 2022. As a result, the stocks of PlayStation 5 and Xbox Series X Plus would be destined to be in the area for much longer.
The problem is really serious, and it also extends to the PC market, telephony and many other sectors. Coronavirus pandemic has damaged a large number of companies, shutting down several semiconductor manufacturing plants and thereby limiting the production of graphics cards for companies such as AMD and NVIDIA. Both PlayStation 5 and Xbox Series X Plus mount under the AMD component hood, resulting in global console distribution being affected.
Foxconn Young Liu’s president said that in the near future the company will distribute 10% less components than previously expected. At present demand is 10-30% higher than production capacity, which could lead to a further year’s shortage until the second quarter of 2022. Sony, Microsoft and 15 other organizations have turned to the US Chamber of Commerce to ask for help from the Biden Administration. The President of the United States, with the aim of clarifying the matter as best he can, has therefore issued an executive order for a survey of semiconductor supplies that should last 100 days.
According to some reports, the shortage of PlayStation 5 and Xbox Series X Plus could continue throughout 2022, so even beyond the second quarter predicted by Foxconn’s president. This is because when chips return to large quantities, the manufacturing of other technological products considered more indispensable could be privileged.