In an interview with CNBC the day after the financial results missed expectations, Pat Gelsinger revised his estimates, explaining that despite Intel’s efforts to open new production lines in Europe and Asia, the semiconductor supply shortage will continue into 2024.
In October, Pat Gelsinger had previously predicted that supply and demand would return to balance during 2023. Six months later, that observation turned pessimistic. This shortage of parts is also affecting industries such as smartphones and washing machines, affected by the health crisis and strong demand from different industries, as well as logistical disruptions.
In our small community, shortages cause random redistribution of cards in the console war landscape, and the current rule is that whoever makes the most is the one who sells the most. So while the PlayStation 5 is going through its first few months with a new speed record (10 million consoles sold in 248 days) and unprecedented demand, things have changed because no manufacturer can do Lots of things to fix it.
Between October 2021 and March 2022, Microsoft confirmed that it had “gained market share” over its direct competitors, confirming some observations that market research houses such as NPD and GFK can make. Especially since the Xbox Series S is easier to produce and is now widely available (when it is not sold directly), the Xbox Series has outsold the PS5 over the past six months, which is the power balance between PlayStation and Xbox Not unheard of in the US, but even rarer in Europe.
Even with an improvement on Sony’s part in April, the Japanese manufacturer is currently the main loser with low inventory, especially since its titles like Horizon Forbidden West and Gran Turismo 7 haven’t been systematically released on PC, which will make Its ability to reach a wider audience and make up for the slow growth of its console fleet. Yesterday, Japanese media also questioned parts shortages and logistics disruptions in China to explain the fact that Nintendo plans to produce “only” 20 million Switch units in the console’s sixth year. We know other manufacturers will be happy with this.
- Also read | Nintendo still aims for 20 million Switch units in year 6