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Forums - Sales Discussion - PS5 Revises down production - *Update* Debunked

Otter said:
When did mass production begin?

We don`t have real info on that. But possibly around June/July.



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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DonFerrari said:
badskywalker said:

Produced does not equal shipped
Produced means either already having been shipped or prepared for shipping
Shipped does not equal sold
Shipped are consoles either waiting on shelves to be sold or those that have already been sold
Produced > Shipped > Sold

At least this is my understanding.

True, but produced to shipped would be couple days or at most like couple weeks difference. So produced means almost the same as shipped very shortly. Even shipped to sold is quite close as well, couple months difference usually.

Well it kind of depends on orders from retail stores, whether they choose to air freight it or ship it by boat (PS5 has chosen the former for launch), if stores do not sell fast enough, then there is a backup of production and space, which leads to decreasing production. I'm not saying that this will occur for the PS5, I'm just saying that it is possible for produced to be very different form shipped. I actually doubt the PS5 will suffer from slashing of production or overproduction, but I'm also pretty confident that it won't do as well as some people claim. I've seen a couple claim 20 million in its first year, which would be very interesting, but doubtful.



badskywalker said:
DonFerrari said:

True, but produced to shipped would be couple days or at most like couple weeks difference. So produced means almost the same as shipped very shortly. Even shipped to sold is quite close as well, couple months difference usually.

Well it kind of depends on orders from retail stores, whether they choose to air freight it or ship it by boat (PS5 has chosen the former for launch), if stores do not sell fast enough, then there is a backup of production and space, which leads to decreasing production. I'm not saying that this will occur for the PS5, I'm just saying that it is possible for produced to be very different form shipped. I actually doubt the PS5 will suffer from slashing of production or overproduction, but I'm also pretty confident that it won't do as well as some people claim. I've seen a couple claim 20 million in its first year, which would be very interesting, but doubtful.

Sure would be true.

But for a succesfull console like PS4, Switch and we hope PS5 as well (at least I do) the production is shipped very fast and also sold as soon as hit the stores.

20M in first year is sure very unlikely (could happen? perhaps 1 chance in 10 thousand), but yes it is possible for a console production to outpast demand from retailers and then production needing to be reduced (we could say that whenever a console manufacturer revise down the forecast is that their production forecast was outpacing the demand so they had to reduce so they won`t have big inventories and needless expesnses).



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."

WoodenPints said:
So now that is debunked we are back with the 10m produced consoles by March 2021 which is slightly short of what they produced for the PS4 in the same period and still a good number.

Well... technically that was also a rumor/report. Even though it was cited by GIbiz, Bloomberg and Nikkei. 

And that rumor reads that sony is planning on readying 10M units by the end of the year. Nikkei says its closer to 9M and not 10M. And this was all slated for this holiday season.

It wasn't denied though, but then again, its the kinda thing that even if it weren't the case sony wouldn't deny it.



So, Bloomberg publishes a completely false story about PS5 production and as a result, Sony's shares fall 3.5%.

And who reported on that fact? Bloomberg.

"Sony's shares were down by as much as 3.5% in the wake of the news -- the biggest intraday drop since August, according to Bloomberg." This bit in quotes is from the new link in the update OP. Amazing racket they have here.

Bloomberg: We Make Up The News That Makes Up The News.



- "If you have the heart of a true winner, you can always get more pissed off than some other asshole."

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I actually compiled the best first years for consoles and no console has done it, even when I added holiday launch to the entirety of the next year the closest was Wii at 19.51 million for 13 months, followed by the PS4 at 18.19 million in 14 months. Hell the PS2 only crossed the mark once (According to shipments from Sony) in 2003, it came close in 2002, 2004, and 2006 (all 18-19.9 million) and the DS only managed 13.85 in its first 14 months.



COKTOE said:

So, Bloomberg publishes a completely false story about PS5 production and as a result, Sony's shares fall 3.5%."

"Sony's shares were down by as much as 3.5% in the wake of the news -- the biggest intraday drop since August, according to Bloomberg." This bit in quotes is from the new link in the update OP. Amazing racket they have here.

Bloomberg: We Make Up The News That Makes Up The News.

Would be very funny if Sony sue them for the loses and is accused of censoring and hating democracy. Isn`t lovely how "protecting the source" can be used to manufacture any rumor you want?



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."

JRPGfan said:

What happends if a news site makes up rumors, that causes stocks in company to drop?

like are they just allowed to say yields are bad? they planned to do 15m, and reason its only 11m is because of bad yields?
If thats not true, and it hurts the stock of a company.... thats a crappy thing to do lol.

If Sony can prove that Bloomberg published disinformation to manipulate stock then they do have a case. Shorting stocks and then trying to manipulate it's price downward is illegal.

More info on that practice: https://www.investopedia.com/terms/s/shortanddistort.asp



Stories unfolded with my home made rap songs. Feel free to listen here with lyrics: https://youtu.be/vyT9PbK5_T0

Otter said:
When did mass production begin?

The safe bet would be in June, shortly after that future of gaming event. 

They would do it that way because the chances of the console design getting leaked would be very high once production has started. So, get ahead of it and just do the reveal.



badskywalker said:
I actually compiled the best first years for consoles and no console has done it, even when I added holiday launch to the entirety of the next year the closest was Wii at 19.51 million for 13 months, followed by the PS4 at 18.19 million in 14 months. Hell the PS2 only crossed the mark once (According to shipments from Sony) in 2003, it came close in 2002, 2004, and 2006 (all 18-19.9 million) and the DS only managed 13.85 in its first 14 months.

Well all those consoles didn't got 20M or more in the first year because they didn't had enough inventory, they could have.



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."