Chip Shortage, Affecting Next-Gen Console Supply (and More), at ‘Crisis Point’

Since the COVID-19 pandemic started, the world’s supply of electronics components was severely impacted. With manufacturers in places like China closed, the supply of computer chips plummeted due to a lack of semiconductors.

Everyone thought COVID-19 restrictions easing up would solve the issue, but it has only grown worse. So, you know, that probably explains why you still can’t casually buy a PS5. This information comes from a report by The Guardian, which outlines the problem, the cause and the effects.

This is far from a videogames issue; the semiconductor shortage is impacting everything from cars to phones and more. And, perhaps, the worst part is that production has actually returned to a normal pace. Now, the problem is demand.

Chip Shortage, Affecting Next-Gen Console Supply (and More), at ‘Crisis Point’

Manufacturing is back to normal, but demand is not. People are buying devices more than ever, from new TVs to mobile devices, game consoles and anything else powered by computer chips. And with car manufactures adding more and more tech to new vehicles, there’s just more demand than ever before.

Companies like Apple and Samsung are even seeing delays in product launches, while companies like Ford have to fight for a spot in line. This doesn’t necessarily mean that tech is going to start going away, but it probably means we won’t be seeing prices go down anytime soon.

It also means things like the new-generation consoles will continue to be a high pressure sales item as stock trickles in. The biggest impact seems to be at car companies, with manufacturing operations being halted as work has become more difficult in terms of volume. 

Because of the time it takes to get additional semiconductor production efforts off the ground, this supply issue isn’t going away any time soon. Manufacturers are also raising prices, which, as analyst Neil Campling tells The Guardian’s author, will likely hit consumers with higher prices as well.

Related: Sony Reports ‘Very Considerable’ Demand for the PS5

Thoughts on this issue? Are you still hunting for a PS5 or facing other technological barriers? Talk to us at Prima Games’ Twitter and Facebook feeds.