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Forums - Gaming Discussion - PS5 and XSX production may be impacted by Coronavirus, leading to supply issues or a delayed release

Seems like a very possible scenario, let's see how much it will impact my plan to buy PS5 by April 2021.



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

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trunkswd said:
It really depends how long the Coronavirus outbreak lasts for. The PS5 and Xbox Series X likely won't enter production until the summer. I'm guessing Sony and Microsoft will want 2-3 million consoles ready for launch.

Don't people say that production starts like 6 months before release because of prototype, validating product lines and learning curve before being able to do 1M a month?



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

Nintendo moved some switch production outside china already to avoid the possible tariffs that never took place but were threatened. I assume those factories in southeast Asia countries produce consoles for mainly USA. However that doesn't mean components needed for switch produced in China might become harder to find due to China manufacturing taking a nose dive in January month due to concerns about the virus.

https://www.wsj.com/articles/nintendo-moves-some-switch-production-out-of-china-adapting-to-tariff-threat-11560328484

I'm about to get a switch in less than month so not worried.  As for PlayStation and Xbox fans...   Good luck if this goes longer than a few months.   If I were you I'd tell them to get back to work.  They already had enough time off allotted to them to cover rest of year.



Like I said Corona Virus will win in the end..... :P



On Topic The chip are produce in Taiwan but the assembly are in China. I think it won't happen  but instead a low production quantity /low unit supply and high cost manufacturing.

But I can see a super small possibility of  delay if it become worse and worse. Let's hope not 



Shouldn't rely upon slave labour then.



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shikamaru317 said:
This is a shame for sure if it does end up happening. I really want to get a an Xbox Series X this Holiday, but preorders are going to go fast thanks to scalpers, I might miss out on one and have to wait until 2021.

Ugh good point, scalpers will be happy with this news. I thought the days of console launches going up over $1000 on EBay were over. There's going to be a rush on pre-orders again.



https://www.gamesindustry.biz/articles/2020-02-06-nintendo-switch-hit-by-unavoidable-production-delay-amid-coronavirus-outbreak



Mar1217 said:
Public safety first, glad they at least got that right ... Even though I've heard some bad quarantine stories from there already. I think if the major part of the epidemy has to last more than 2 months from now, it'd be definitely possible for all manufacturer to revise their plans with lower forecast. Prepare yourself for some EXTRA supply constraint stocks,lol.

At least in China I believe things are much much worse than people think.

The city of Guangzhou, China´s fifth largest city, with a population of nearly 15 million people, is the latest city to impose mandatory lockdown on all citizens...according to this twitter there are now 3 provinces, around 50 cities and hundreds of millions of people on lockdown....if this report is "only" like, 25% true that´s still around 100 million people....ALL this for something that a lot of people are saying "it´s just a tiny bit worse than the regular flu"?

https://twitter.com/jenniferatntd



shikamaru317 said:
trunkswd said:
It really depends how long the Coronavirus outbreak lasts for. The PS5 and Xbox Series X likely won't enter production until the summer. I'm guessing Sony and Microsoft will want 2-3 million consoles ready for launch.

True, but even though the consoles themselves likely aren't in full production yet, the virus outbreak could cause a shortage of some of the individual parts that will go into the consoles, like the RAM and SSD's, which in turn could delay production and cause a supply shortage of the new consoles on release. 

I would think that Sony at least will want more than 2-3m. Sony sold 4.4m PS4's Holiday 2013, and that was with supply issues, so they will probably want at least 5m PS5s ready by the end of 2020. MS sold 3m XB1's Holiday 2013 and didn't have the supply issues that Sony did, so 3m XSX units (or a mix of XSX and XSS units if XSS makes 2020) might be enough for them, though depending on pricing and launch exclusives XSX could be more heavily in demand on launch than XB1 was, so they might need even more than 3m as well. 

Yes Sony and Nintendo had factories for the console outside China, but will be hard to ensure all the suppliers for parts can have a smooth delivery for it.

And yep quite reasonable to expect Sony to want 5M ready by launch and MS 3-4M.



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

So if shipments get delayed too much, the launch might get delayed also to not risk running out of consoles too early during the holiday season.