Update: Sony has denied rumours of trouble with PS5 production. In a statement sent to Games Industry, the Japanese giant said: "While we do not release details related to manufacturing, the information provided by Bloomberg is false. We have not changed the production number for PlayStation 5 since the start of mass production."
That's that, then.
Original story: A new report from Bloomberg says that PlayStation 5 production may not be going so smoothly after all. Earlier this summer, reports said that Sony was ramping up production of its next-gen console in order to meet greater demand. Supposedly, the company was expecting to ship around 15 million units by the end of March 2021, following the PS5's launch in holiday 2020.
However, the Japanese giant has apparently lowered its production estimates by a significant 4 million units for this fiscal year. Why? Well, Bloomberg's sources say that component production is to blame — specifically with the console's custom system-on-chip. According to the report, the chip has as low as 50 per cent production yield. In other words, a lot of these chips are turning out defective, and less PS5 units are being produced as a result.
Supposedly, the production yield of these chips is "gradually improving", but it's yet to reach a stable level. Manufacturing the first generation of a mass market electronic device ain't easy, folks!
So what does this mean for you? Well, the bottom line is that if this information turns out to be correct, there will be less PS5s on store shelves during the first few months after launch. However, Sony's apparently still looking to produce 11 million units this fiscal year. For reference, the PS4 shipped around 7.5 million units over its first two quarters, so don't worry too much — there should still be enough next-gen goodness to go around.
[source bloomberg.com]
Comments 145
That low production yield might lead to more cost pressure and a higher than expected RRP. Hopefully not.
I think 11 million is still ok if you pre order the console.
Ready to strike the second pre orders open!
They definitely need to lock in the release date and price on Wednesday before people really start getting antsy after this news.
I will believe that my son cleaned his room before I trust anything from Bloomberg.
Cue stories of people buying empty boxes on EBay during the holidays.
Going to try, but already setting my expectations low on getting one.
Time to rethink this and create the PS5S with a GPU less powerful than the PS4 Pro so devs will struggle forever with multiple versions of a GPU with massive computing power difference
Oh dear...........bad news
Why can't people remain positive and look forwards to a new playstation? Sony are finding it tough to source chips in the current enviroment so all the nay sayers come out to play..we will have a new console and everybody (apart from the xbox fanatics that plague a playstation site) will be happy again and forget the little blips and wonder what all the panic was about...jesus people get a grip..
Wonder if it’ll mean a slightly higher price point. Of course, with shortages the only real winners are the scalpers.
purchasing at launch always has its risks. under the circumstances and everything that has happened this year, one would have to assume that quality control will be lower than usual and could result in getting a lemon. best to wait a while.
@Porco based on your previous experience yes? I think sonys quality control will be right on top of this console as they wont want to give anybody any reason to knock it...never had a playstion fail but i had a few xbox 360's rrod me and i learned my lesson..
I hope the chips they deem okay are actually, well, okay. I’d hate to see headlines like “over one in four PS5’s defective”.
That's pretty interesting. I wouldn't have thought the chip itself would have been too dissimilar to the Series X. Haven't heard of them having any issues.
@NYJetsfan123 They're home to some of the most reliable games industry reporters in the business, so I don't know why you'd say that.
With my luck, I'll somehow get one with a defective CPU...
As badly as I want a day one PS5 I'll be waiting probably 6 months after launch to pick one up. Both my launch 360 and PS3 died within the first 4 months. 360 RROD. PS3 yellow light. I'd rather wait and see if it's trouble free before I drop $400 plus.
Wow this T Mochizuki guy.
It's as if hes admitting his previous rumours was BS and trying to turn this one into negative.
I hope ALL of this rumour is true. Hell yeah
(Read it guys)
Edit
Question for PushSquare:
How can you come up with 'there will be less PS5 on the shelves' when the previous 'report's was claiming Sony doubled production from 5m to 10 and this claims it's actually 11m???
If true surely this will impact the price somewhat, from our point of view the only differences would be cost and how easy it is to buy one at launch so I'll wait and see on that one
@MFTWrecks
Mochizuki has a history of bending the facts.
I highly doubt that !!! TSMC is already printing on 7+ a long time now. And they have very good yields. I know that not all chips are the same can't compare apples to oranges. But still ... In July we had news that yields are so good that Sony is thinking to keep active 38CU instead of 36. And finally .. it's bloomberg 🤯🤯🤯
Time to spread false rumours. A day before the ps5 event.
Well I have had many Sony electrical products and they all work well and have lasted a long time.
So all cool here and ready to preorder the second it begins.
The high GPU clock speeds will be to blame, if there is any truth to this at all. Being able to disable a couple of CU's may not be enough. But lets see what time brings before getting worked up
edit: And with the update, again we are reminded to keep a bag of salt handy, although I bought Sony would say anything except "all be well"
@OMG_Waffles If it turns out that many PS5s come with defective CPUs I assume that they will all be covered under warranty? Haven't had any console issues myself up until now, so I am genuinely wondering if that will be the case if my (hopefully) future PS5 starts having issues.
Now I can see all these articles 'production cut by 4million' in the press
I can imagine next year in April this sort of articles everywhere : ' Sony was planning 24Million units but had to cut 12Million units and could only make half I.e. 12million..awful news'
Haha
Fingers crossed!
All the more reason to never get a console on launch.
The chip having such a low yield worries me, could lead to a good number of PS5’s being defective at launch. Hopefully this won’t be the case.
I'm even more curious now of the price and release date. I'm sure at some point they were having talks about postponement but that would be suicide now, let's see what happens Wednesday.
Whatever... true or false, I bet there are enough consumers that need to take their Xanax to handle the anxiety after reading this. 😂
As long as the chip sets they do manufacture are viable long term I don’t see this as a major issue! Last thin anyone needs are systems failing after a few months.
OK, if yields are as low as 50% then you're looking at the consoles main component costing almost double the expected cost, that places the PS5's SoC or APU if you prefer at a cost close to $400's. If true then the PS5 price will close to $700's to manufacture. It also flies in the face of the companies own earnings call where they said yields were higher than expected. Using a mature node (7nm is bread and butter to TSMC) and mostly mature architecture (Zen CPU yields are rediculously high and RDNA 1 was too) I'd be amazed if yields were as low as 50%. Maybe the clock speed is the issue... but again that flies in the face of how early and how many PS5 Dev Kits Sony were able to put into developers hands. I'll just say while it's not beyond the realms of possibility, I'm certainly taking it with a pinch of salt.
What worries me is if I buy a PS5 at launch does that mean I have a higher chance of a defective chip?!
I'm wary of launch models of all things at the best of time. It's not having to wait because shops temporarily sell out that concerns me, but the fact that the chip is/was having problems.
@pip_muzz no it's the opposite regardless of yields. To "OK" a chip they will test them to see if they can perform as they should. On a new die these tests are more rigorous. They relax them over time as they know what causes issues and what doesn't. So less tests are done on later chip runs. However, by then the production should remove wrinkles. However yields as low as 50% is a financial disaster for Sony, it's almost unheard of in the semiconductor business right now, yields of 70% on a new product is considered really bad now and hitting 80% yields is average for new products.
The problem with any new product is you’re asking a factory of assembly line workers to put them together for the first time, and are probably pushing them too fast as you try to get more product.
I’m of the belief releasing consoles for Christmas with game delays, supply issues and going head to head with competition isn’t the smartest business plan any more.
Sony double production from 5 to 10 million.
4 million duds
But still expect to shift 11 million by the end of the fiscal year (March or June?) OK.
So far Bloomberg has claimed:
'The company has told assembly partners it would make 5 to 6 million units of the PS5 in the fiscal year ending March 2021'
'Sony Corp. is roughly doubling its PlayStation 5 production to 10 million units this year'
'Sony Corp. has cut its estimated PlayStation 5 production for this fiscal year by 4 million units, down to around 11 million'
So basically, they haven't got a clue what Sony are doing.
My concern would be that in the ruah to manufacture enough for launch, a nimber of machines slip through the net with faulty chips
@MrGawain this would be nothing to do with a "production line". This is wafer fabrication of silicon semiconductors. The issue would be that they are having higher levels of defects in the chips when they run through verification tests. The other possibility is that the yields they are getting aren't able to run target clocks, because the GPU in the PS5 is set really high for a production unit. I've got stable and higher clocks out of both AMD and Nvidia GPUs over the years, normally with water blocks and custom cooling loops, but for a stock GPU device to launch with clocks over 2.0 GHz has in recent decades been unheard of. Even if with RDNA 2 AMD were targeting an architecture that was capable of being clocked higher and at around 2.0 GHz as standard, we don't think they've achieved that goal (according to leaks), or we don't know if the have until October 28th, quite often AMD leave performance on the table with their GPUs because the power consumption / cooling concerns.
Also to those thinking it'll affect reliability of launch units, it won't. Launch units will be far more rigorously tested, which is why manufacturing costs on any new electronic devices are higher, they need to test everything to:
A) get wrinkles out of the production line
B) make sure initial batches work as intended
C) find the stubborn spots within the product they can't get out so for future runs they know where and what to test.
@TheNewButler
In the same article they said yield have improved but only quote the worst number they started with.
@hi_drnick
The soc yielding cost is AMD responsability, not Sony.
@Chryssy75 cool story bro.
Looks like the.... chips are down.
@Chryssy75 I was just about to say the same thing - it's AMD that need to get their house in order.
There's a reason I won't be buying a release day PS5 though and this is it. Get all the bugs and issues sorted out and I'll be there - buying a black one.
Argh, that's the 4 million I was gonna pre-order to gouge people on eBay.
@Northern_munkey my vanilla PS4 had an issue, regularly crashing due to cpu load. I got really unlucky - one of the initial line PS4s I got in a bundle. It got so bad around 2 and a bit years after purchasing it was a gamble wherever games would work or fail, worse outright hard crash.
My PS4 Pro on the other hand has been amazing, I don't have any of the issues which have been reported. But let's be honest there have been a lot of issues reported.
So this news has me concerned about ordering a mark 1 PS5. I loved my vanilla PS4 but Im going to wait for the second or third batch - hopefully Easter 2021. That's a difficult decision as I have the money aside. Worth sitting it out when the consoles should last the next 6-7 years.
I just hope none of these faulty chips accidentally end up inside PS5 units, that wuld be a disaster hither to unheard of since the days of the red ring of death.
Please no. it'll be bad enough trying to get one nevermnd if some turn out defective.
Really hope preorders go live soon after the event tomorrow. Going to lock in as many as possible lol. Crazy we're only 2 months away!!
I wonder if this will impact the Xbox Series X considering they are both using AMD chips, unless they are using different manufacturing plants
@Chryssy75 actually it isn't Sony are producing their custom chips using AMD licenses at TSMC which is no longer AMD owned, and Sony will be working on a per wafer cost, so if they are having to bin more chips that's a cost they will have to absorb. However, tech sites with sources close to TSMC seem to be raising eyebrows about the validity of the rumours already. I'll wait until tomorrow, but if the PS5 comes in at $499.99 and $399.99 or under we can file this "rumour" under BS. It also seems RDNA 2, a.k.a. Big Navi might be targeting similar clocks to the PS5 according to a number of sites, so this is in the pipeline that AMD wanted to pursue because certain computational tasks just run better at higher clocks as opposed to parallel. Notably pixel fill rates, geometry, ray tracing, VRS etc. etc. etc. so I think one of the ways AMD might be seeking to get closer to Nvidia in terms of real world performance is by pushing clocks as opposed to cores.
The timing of this story seems iffy to me as well. If Sony were having yield problems we'd have had that leaked out by now. They've been in mass production of these chips since early spring and chose to ramp production of these chips because according to an earnings call in late spring yields were far better than expected. Well TSMC's average yields on new dies is around 75% on average at 7nm fabrication, so I'd assume that's what Sony would see as expected yields, and 50% doesn't sound far higher than 75% to me, but I'm no electrical engineer and my knowledge of wafer fabrication is rudimentary at best.
@G8crasha both are using TSMC to fabricate their chips. But it is conceivable because of configuration differences that one might have issues whereas the other might not. Microsoft are targeting much lower clocks on their GPU than Sony. Sony have more cache on their GPU at all levels than Microsoft, and Sony have very custom cores on their SoC / APU like the Tempest Engine, whereas Microsoft have made fewer customisations and are much, much closer to stock layouts with their CUs. Conversely though the XSX die is way bigger than the PS5 die, so they have fewer chips per wafer and any fabrication defects are likely to have a higher impact on yields because their chips are bigger. But again, rumblings out if Redmond seemed to suggest they too were getting good yields on their APUs, so who knows, both could be bluffing and yields are terrible. If that is the case then RDNA 2 could be a disaster for AMD.
Ps5 pro coming soon near you.but ps5 will sell like crazy and still outsell x box.word up son
Who cares???
If you manage to get a Ps5 at launch then good for you.
IF the chip inside is defective........ Sony will replace the console.
Simples
Who leaked this "info"? Dusk Golem? I can't believe how people are now posting things like, 'I'm waiting now' or 'this is the trouble with buying launch machines'.
Guys and gals, this hasn't come from Sony. Not that I'd expect them to announce it, but I can't remember a run up to a console launch with so many lies, rumours and leaks.
@playstation1995
Sony is going to break records with 11 million PS5 in the first 6 months. Somehow its twisted as FUD
What a strange reporting from the press.
Bloomberg pushing a negative rumour a day before the big PS5 event? hmmm something smells vinegary about this and its not the PS5 chips.
@Dan_ozzzy189 it doesn't "smell" right to me, and so far flies in the face of everything Sony have seemingly communicated, and via earnings calls / reports, which would constitute stock manipulation, because that's what false reporting is. The timings also seem odd. We'd have heard about this way before now, especially given how leaky TSMC are. We Know AMDs performance on new chips before AMD do because of loose lips at TSMC. lol. Not quite, I'm joking for effect, but unlike Nvidia, we knew what was planned for Big Navi / RDNA 2 over 18 months ago because of leaks from TSMC. Why would they suddenly be less prone to leaks around Sony and Microsoft? We know they aren't because leaks of chips for both companies systems were happening in early 2019 and they were pretty much spot on to final specs.
Actually, thinking about it we have had leaks about both the XSX and PS5 APUs on numerous tech sites. We've heard yields were so good Microsoft considered a clock boost, and Sony considered enabling more CU's on their dies, either 2 or 4 depending on which site you listen too and a 100 MHz clock boost on the CPU. Of course these tech sites could be misinformed / making it all up, or recycling the same made up rumour, but people like Moore's law is dead have been eerily accurate with Nvidia Ampere and were spot on with RDNA 1, and seemingly are fairly well informed about RDNA 2. So the "leaks" up until this point suggest Microsoft and Sony had enough potential wiggle room to consider some baseline spec bumps, does that sound like something you'd do if you had yields of 50%? I don't think so.
I had a conversation yesterday with someone who has dealings with SIE through work (I was shown emails) and I was told told that the prices would be "shockingly cheap". It's hard to know how accurate that is or what that statement means to them, but i can see why SIE would uplift production if it aims to hit a lower price point. I won't be surprised if Digital hits 349/399. Then again we only have a day to find out, that person could just be trolling me!
There are always a few reasons why I never buy a new console in its first year or two. Lack of units resulting in long waits for a pre-order or over-priced units from scalpers. And unit defects that tend not to come to light until after 6months+ of use. Very excited for PS5 but also keeping it real.
@TheNewButler well informed or just exceedingly good at blagging? That's for others to decide. I'll be honest though, tech fabrication and manufacturing is way out of my personal comfort zone. I have a passing / professional interest in this stuff, but not what it was when I was younger and less prone to nervous breakdowns due to work loads. lol. I have no sources at either TSMC or AMD on the hardware side of things. None. Same with Sony and Microsoft, so do not take anything I say here as gospel, because it is not. Far from it, I'd stick a health warning a mile high on it all. On this I'm just the same as everyone else on here, spit balling and guessing really, because only those involved with the manufacturing of the PS5 will know this stuff. Developers rarely get to hear about this stuff, unless it directly affects the specs we have to target and a new development kit arrives. So on this topic I urge all of you to file me under uninformed average Joe schmuck.
It's fake news that's the thing about rumors they never happened to be true
@JJ2. I know right.ps5 will sells so much x box wont have no change.haha.word up son
@TheNewButler I think what even constitutes a layperson now has shifted considerably. There's a lot more you have to be across to be considered an informed layperson. 20 years ago I wasn't exactly graphics pipeline guy, but I knew enough to hold my own with those who were supposedly specialist. Now you have specialists in single graphical fields, and even sub fields, I wouldn't even dare to question a BVH or PBR specialist now, I'd just sit and listen and try to keep up. I suppose the difference with me is I know how much I don't know, and that is to say a hell of a lot.
I'm the 2nd preorder in Gamestop Ireland so mine is secure at least.
@NYJetsfan123 - that is a very valid point.
@Ichiban - me too! i just hope a lot of people are hung up on price, psnow, gamepass or whatever when preorders open - gives us more time to get that preorder in!
@Northern_munkey - i'm with you. i'm completely focused on getting my preorder - i'm really wanting to play demon souls all day on day1!
@Porco - are you saying sony would lower quality control? or that it would be lower because of......what?
and i've owned every PS console on day1 - except for a couple of controllers that went bad (i lost my launch ps4 controller a few months ago) i've had no hardware issues.
@glassmusic - agreed. but this is why it comes with a 1-year warranty.
herman hulst tweeted "WE'RE READY" yesterday. and there is nothing to gain for him to lie. i'll take that over a rumor.
@Razrye888 - yea, i caught that too. and this rumor starts right after herman hulst, last night, said that sony is ready for the launch.
@Mitsui and xbox next-gen prices get leaked on sonys 25th anniversary last week - lots of "coincidences", huh?
@G8crasha - considering this is just rumor, it's hard to say it will impact anything.
@eddie429 not willingly. it would be lowered because of all the complications in sourcing the parts and trying to meet their deadlines. they have been behind schedule of their targeted goals by a number of weeks if not months. also, i am not stating this as a fact, but more as a concern. even in good times, launch tech can have issues... what about in bad times then? isn't it a possibility that higher than normal failure rates become an issue? the chips ARE failing at 50% afterall... i don't even trust the ones that pass in such a scenario.
Here we go just like the "fake" photo of a melted PS4 before launch saying it over heated and melted. Also do people not know the PlayStation has a 1year warranty for any issues. The people that had issues got a new PS4 Over-nighted back to them.
PlayStation has been a above and beyond Great this generation. As a converted PC player who still has a powerful PC I am amazed at how much it did at such low cost! Thanks to everyone that waits! It gives me a better chance to get my pre-order in when they go live.
@NYJetsfan123 Jesus you as well? My boy is two years away from getting his first summer job and we still have to spend a solid week and 20+ room inspection's for a half hour room cleaning. It is frustrating to say the least.
@Jeremiah_Thor
It's horrible! Thing is I'm not even a neat freak or anything, but I do not tolerate filth. I just ask that the room be picked up a few days a week, but it always results in both of us extremely frustrated. I've tried being harsh and I've tried being soft, I'm at a loss. Idk how to approach this situation anymore. Very concerning as a parent. If you have any tips, zip them over my way!
That's when we need Digital Foundry.
People believe it's some unusual, unexpected defective chips. Xbox SeX has similar issues with lower yield than for previous gens. It's literally in their slide to explain why the die cost is higher.
Not really that surprised, but thanks for the update
Updated the article.
it's always when a big ps5 event is happening or bad xbox news comes out that these false rumors start happening.
it's just sad how the hardcore xbox crowd always runs with it to and then they say sony fanboys are toxic lol.
Bloomberg was wrong about something PS5 related? I can't contain my shock.
Of course its false.
Sony shouldnt even bother denying if the press reports rubbish all the time
Isn’t it odd how these rumors in hopes of spreading uncertainty are manufactured right before Sony’s large event? Some people are mighty scared of what’s to come tomorrow.
So another rumor against the PS5 that's false... maybe is because I know I'm not getting an xbox but I have not seen many of that bs falling on microsoft... it just smells fishy
@NYJetsfan123 You called it.
@DeepSpace5D To be fair, this works in Sony's favour. It creates further demand for the product.
@JJ2 they have too because it can effect their share price and thus their shareholders. It can also influence other aspects of their business like the ability to raise loans against future acquisitions.
@Shepherd_Tallon
Hahaha yup! And that room still ain't clean! What else is new??
@SirAngry
...'since the start of the mass production's Sony says.
Meaning Bloomberg and before WSJ by Mochizuki is proven to have been lying all that time!!!!!
@get2sammyb
Not at all.
It creates doubt in the product quality
Xbots doing their work? x)
Sony a little bit quick with the denial and also they usually stay quiet when such matters arise.
@Kidfried like CNN MSNBC
Very good news! Ruddy Bloomberg shakes fist
Ooh, what a surprise. (Not really) Bloomberg guessed / lies again about Playstation...
Just stop spreading their propaganda Push Square. You guys should stand over crap like this and avoid clickbait articles about Bloomberg in the future.
Can't wait for the PS5 event tomorrow night, just filled with games and facts about PS5. ✌️😁
@SirAngry
Thanks for the explanation.
You clearly know your stuff.
By the way, Sony has already denied the story.
@NYJetsfan123 😂😂😂
And the 2020 Michael Pachter Award goes to Bloomberg! Congratulations Bloomberg News. You've earned this award!
@MFTWrecks
See the updated article. That's why.
I mean, in all fairness, it's not really in their interest to confirm something like that.
Don't really have a horse in this race one way or another. Launches are always a circus, and this one even more so, which is why I usually wait, but I'm just saying, it could still be true even with Sony's denial.
Not sure what's with all the Bloomberg hate. They reported a claim from a source, which was then reported on here. Sony claims it isn't true. Does that mean it's time to delete your PushSquare account?
@Kidfried Bro that's because Trump never lies. He just owns the libs with mindnumbingly overt fabrications.
Big difference!!
I'm really fed up with these false rumors! Why can't we all just get along?
@zupertramp You don't want them to respond to rumors which made their stock dip ??
@SamMR I think perhaps you misread my comments. I fully expect Sony would respond. And I fully expect that regardless of the actual situation regarding their chips, that response will be a denial.
@NYJetsfan123 Nothing....When I got a pro I gave my boy my old PS4 after a month of nothing happening I gave it away. Fast forward a year and I get my wife a pro and he gets her old one. About half that time he has spent banned from the thing as well as numerous other restrictions. I am pretty certain he is going to be living with us until his now 4 year old sister can adopt him.
Well is there any other response from Sony other that denial? Even if it is true they’ll never accept it, they don’t want anything to affect their stock price and if they did cut down their production they probably won’t say it until many weeks later.
@dngiovanni Thank you! Like they're gonna come out and be like "yeah this thing we're trying to keep a lid on is absolutely true."
Don't get me wrong, it could also be false. It's Schrödinger's cat as far as I'm concerned.
But I don't understand why everyone is taking Sony's word as gospel.
@zupertramp cause one thing is liking PlayStation like me another thing is being a fanatic, it’s like sony can do no wrong.
@dngiovanni @zupertramp I don't think you understand how companies like these operate. Blatant lies or misrepresentation about production, capacity, and other things that might impact share holders and stock prices are illegal.
Outside of that, legal or not, if you intentionally mislead or misrepresent to your share holders or the public about details like this, you would lose their trust and your business as a whole would suffer.
Many companies will offer no comment, or will deflect, or in some cases use double speak that doesn't really mean exactly what you think it means to avoid outright lying for both of these reasons.
@thedevilsjester All you had to say is corporations don't lie. But yeah, I stand corrected I guess.
@zupertramp Oh they lie, they lie all the time, but in more subtle, legal ways. Usually they just use marketing or double speak.
Reading into their statement, it doesn't really say that they are not having yield issues, just that the information is wrong, and they haven't changed their production numbers. That can be interpreted in many different ways.
Corporations CAN legally lie to the press, they do it all the time. What they can't do is lie to investors during investor calls and reports. It also can be illegal to make stock finance announcements. Like claiming you taking the company private without discussing it through propped channels first.
But they can lie, about almost anything, and hell, do they.
@zupertramp actually if it is true and they've denied it that constitutes a false report and the SEC will be interested, as it's stock manipulation. Corporations just simply can't go around making stuff up... unlike politicians.
These rumours gained a rather large amount of traction coincidentally timing with Sony's next event. Remember when Windows central said ps5 devkits were failing/overheating, or social media "insiders" that ps5 was struggling to do 1080p/60fps,then 4k/60fps? Good times.
@thedevilsjester "Reading into their statement, it doesn't really say that they are not having yield issues, just that the information is wrong, and they haven't changed their production numbers. That can be interpreted in many different ways."
And I'd bet they consulted a lawyer before making that statement. I mean, how much of the Bloomberg piece needs to be wrong to legally call it false. I'm no legal expert but I imagine there's some wiggle room.
@SirAngry I'm not trying to be obstinate, I get that there are rules to follow and not every company is Evilcorp, but we're also talking about a company that waited a week to tell everyone their data had been compromised.
This example is admittedly different, I know, I'm just saying Sony isn't perfect. They actually seem like a decent company, ethically speaking, but still not perfect and still out to make money. I'm not even saying it's likely that they're lying, only that it seems as likely as "evil MS knows it can't compete in a free market so it's paying yellow journalism Bloomberg to make stuff up to sink Sony."
Also, not to be dismissive (I see you in the comments often and generally agree with you or respect your opinion at the least) but it's hard not to chuckle a little at your stock manipulation comment. The entire US economy had a meltdown because of rampant malfeasance and corruption that apparently no one was responsible for. Or more recently there were the members of Congress who sold stock after covid briefings and they're gonna be fine in spite of the insider trading.
But I'll admit to knowing little about the SEC, specifically, except that it's probably as broken as the rest of our institutions.
@Robocod Windows central. Lol. Yeah, that's not sketchy at all.
Gotta laugh at people who are willing to believe rumours even after Sony made an official announcement.
@zupertramp firstly, there is no way a corporation like Microsoft would be involved in paying a journalist at Bloomberg or anywhere else for that matter to write negative stories. So scratch that one right away. I'd not even hint at that as it is tin foil hat bonkers. On the forums I've even given an argument that these negative articles are more about driving traffic, rather than being genuine journalism. However, a journalist writing a highly negative story on the part of a trader who knows in 24 hours a company will have some really good news, and knows a highly negative story beforehand would give them an opportunity to short shift stock? Yeah, I can see that. It's happened before. The Bloomberg article really hit Sony's stock hard. That makes it cheaper to buy, then after tonight if it's really positive news, they'll bounce back and possibly exceed recent highs, and you sell and make a killing. Does this mean this is what happened? No. But were I an SEC investigator I'd be interested in at least having a look at it. As to the SEC? They generally seem to have teeth, probably becaue rich people don't like being duped by share scams etc. One thing the USA does well is look after the rich.
Who was the source of the rumours? DuskGolem?
The initial yields of the PS5's APU in june were between 81-85%,they are now at 90%,the defect density rate of TSMC 7nm is .07%.
@SirAngry god is it refreshing to see someone spreading actual knowledge around instead of the ludicrous tin foil hat bull crap you usually see.
I happen to agree with your analysis that this could very well be to manipulate the market ahead of stocks purchasing before a logical jump up in their shares after the ps5 event.
To the people worried about the Ps5’s reliability from the false report; you shouldn’t be any more worried than any other new tech purchase (a small amount of risk is always there with brand new tech), but I’m confident enough to not worry about it at all. My day one ps4 is still going strong 😉
Usually I wouldn't worry about purchasing a console on day 0, because the UK has pretty good consumer laws, electronics are expected to last 6 years or be repaired or replaced by the seller (who usually has an agreement with the manufacturer so they're not left in the lurch): https://europa.eu/youreurope/citizens/consumers/shopping/guarantees-returns/united-kingdom/index_en.htm
I'd guess we're pretty safe with that remaining to be UK law firm at least the next couple of years while parliament has bigger fires to fight, legislatively. Who knows what consumer law will look like after that, it probably depends on who's in power, as the Tories want to align us more with the USA, while Labour seem to favour Scandinavian models. I'm rather hoping to be living in an independent Scotland by then, on my way back into the EU, and who knows what that'll mean for consumer protections?
@Tharsman Yes, they can and do 'lie", but there are rules. Lying with double speak or lying with the truth is acceptable. Blatant falsehoods are not.
Notice that they never actually say they are not having yield issues. Just that the information Bloomberg has is wrong and that their production estimates have not changed. It could be that they have terrible yields; but they expected that, and accounted for it, so the estimates are still reasonably achievable.
The yields do not actually matter for our end result. A 1% success is no better or worse for the consumer than a 90% success. The only way it impacts the consumer is that a company may adjust prices to compensate for the losses. The parts that you get in the end product will be in the % that were tested and succeeded, not the % that were tested and failed.
@MFTWrecks and yet your trusty Bloomberg lied..............
@thedevilsjester you are wrong. Direct lying is legal. The only reason it's avoided is because companies want to avoid being miss-trusted in the future. I'm not saying this to bring Sonys statement into question, but because it's important for anyone to know that you are not legally protected from being lied to.
@Tharsman lies are fine until they're fraud. This would be that.
@SirAngry I should be clear, I wasn't suggesting you believed Microsoft was behind the rumor nor is that my stance at all. Only that that seems to be the trend in the comments. Bad news surfaces concerning Sony... must be MS. It just gets a little old.
@Tharsman @thedevilsjester @SirAngry @theheadofabroom For what it's worth my intention wasn't to stir up an argument. I'm definitely not on here claiming to know anything for sure, I just submit that almost anything is plausible, more so now than ever before, though reasonable people can disagree. Probable is another story but I've been learning not to dismiss the improbable too quickly either.
@zupertramp sadly in the world we currently live in we can't rule out the insanely improbable anymore. I'm glad you didn't think I was a conspiracy nut. I believe part of the reason Sony did respond is because the rumour also seems to have hit two partner organisations as well, AMD and TSMC. To be clear, TSMC has evolved genuinely into a world leader in chip fabrication, currently I'd argue they're unparalleled, so rumour like this hurt the image and reputation they've worked really hard to achieve. It also hits AMD, because their RDNA 2 architecture was supposed to be able to run higher clocks, it's part of their roadmap plan for better specific shader, pixel fill and RT performance, so the rumour that their new architecture was faulty and providing rubbish yields hurts them too. So I can now see why Sony may have felt the need to respond. Again though, if it was true, they wouldn't have refuted the claim like they did. Either way, I think the Bloomberg article is terrible journalism, and it's not the first time tech journalism from Bloomberg has been nonsensical / unverifiable. Is it done with malicious intent? Who knows. Was it done with criminal intent? Who knows. Or was it just carelessly farted out by an awful hack with a track record of getting everything wrong? Maybe. Either way, given we've been hearing initial test run yields were good, it would have been weird for it to go backwards once they got into full fabrication, in fact it's pretty much unheard of, which is why I took the report with a pinch of salt.
@Tharsman actually as an investor you are protected from malfeasance and misrepresentation. Especially where material damages might be invited (damage to stock prices would be that). Companies would rather not engage or give any statements at all if there was a risk their statement could be misconstrued as misleading investors and thus manipulation of stock. Sony doing this therefore should be seen in that context, they normally keep their trap shut and get on with proving these sorts of thing wrong, but the article really hit their share prices, and not responding wasn't really an option. I'd imagine that Takashi Mochizuki has been fielding some very awkward calls today, and potentially trying to answer some very difficult questions, as is their editor. This is really big news in Japan.
@Tharsman I never said lying wasn't legal in a broad sense. Certain types of lying, however, is illegal. The most simple example, and the most relevant here, are lies that can directly impact stock prices. A recent-ish highly visible example of this might be Elon Musks infamous "Funding Secured" tweet.
@NYJetsfan123 Did I say they were right 100% of the time?
Sony is denying the report that the production numbers have changed. Doesn't mean they haven't had issues and may not hit their targets.
Companies don't adjust targets and then miss them "at the last minute" all the time. Coming out and saying they are dialing back would likely negatively impact their stock price. If they know they won't hit it, they won't necessarily say as such until they absolutely have to (aka after the fiscal reporting period). That way they delay the impact to the stock price and in the meantime, can work to lessen the gap between the target and their actual output.
@SirAngry No I think anyone even somewhat active on the site knows you're not the conspiracy type.
In any case, I feel it's worth mentioning, I also take every report involving rumors with a healthy pinch of salt. I sometimes don't even click the article if it's under that category. It's just I also greet statements from multinationals (and heck, just about everyone) with a certain degree of skepticism. But you, and others, do present compelling reasons as to why it really wouldn't be in Sony's interest to mislead here. So perhaps my incredulity, in this case, is a tad gratuitous.
@GREGORIAN What was reported is not lying. that's not how reporting works. Lol
Bloomberg has said a few lies now concerning PS5 pathetic stock price games.
Wow. Who wrote this Bloomberg article? The English is atrocious. They use "less" in every instance where the correct word is "fewer". This alone really calls into question their journalistic integrity.
@thedevilsjester Elon Musk didn't get in trouble for lying, he got in trouble for violating Reg FD (Google that one up.)
Basically any statement of that type needs to be legally release through very specific channels, a personal tweeter account to select followers is a huge breach of that regulation.
Edit: Example of big Sony Lie:
Spider-Man: Miles Morales is exclusive for PS5
@Kidfried I don't consider Fox News as a news site. They just sit there and bitch bout what CNN said. I think our world be better if Fox, CNN etc would go away.
@MFTWrecks....... Good but for me to be able to agree with your statement I need you to show me in writing or a video where someone from Playstation or Sony or Sony Studios says MM is a. Playstation 5 exclusive...... They just showed the trailer and the only wording I remember seeing are the words running on Ps5 or captured on PS5............. This is exact what I asked @getsammy.....
Show me where it's mention then the article is correct other than I stick to my statement Sony never lied... People made their own assumptions that SM: MM and HFW are Ps5 exclusives that we want to accuse or blame Sony for something they never said or mentioned............ As previously stated only game specifically mentioned in writing to be a PS5 exclusive is Project Athia............not even Ratchet and Clank Rift apart HAS been mentioned as a PS5 exclusive they only said the PS5's power(i.e. The magic soup SSD) makes it possible for them to design the rifting machnic/design (i.e. The dimension jumping mechanic or design)....... So if tomorrow it also gets announced that it is available on PS5 no one should accuse Sony of any lies or misleading cause you would have done the misleading yourself........ So again I repeat Sony has not lied about anything up to so far not even the pre-order debacle can be blamed on them.... The retailers jumped the gun because they how hot a property a Playstation 5 is......
@MFTWrecks......... Bloomberg lied..... Just like IGN lied in their "Reporting" that Ammy Henning was bulldozed out of Naughty Dog by Niel Druckmann, a lie that some people believe it's true to this day..... So whether it's reporting or whatever... The point is Bloomberg lied to Make PS5 look bad........ I don't care who says what but tell me how is that MS are also using the exact same hardware yet not a single negative thing has been reported about Xbox, Xbox did the bad press to themselves by themselves via their shiity first Xbox S X showing and recently with the Halo game play mess............... But on the Playstation side we've heard that the device can't do 8k(yet not a single soul has had the system on their hands running to rove this), we've heard its weaker (based on paper specs and not actual test on a running machine), we've heard it can't do native 4k 60fps or strugless to run 4k and now it has faulty chips............... So the next negative rumor I'm expecting will tell us that it overheats............
Anyway sorry to digress but long story short... Your trusty Bloomberg lied to gain browny points from MS(if not paid by Ms for the bad press) and the Make PS5 look bad just like that ResetEra imbisile who lied about PS5 cause Xbox SX was taking a beating........... So yeah they lied... I know hard to accept by they.... JUST STRAIGHT OUT. LIED...
@MFTWrecks......... Bloomberg lied..... Just like IGN lied in their "Reporting" that Ammy Henning was bulldozed out of Naughty Dog by Niel Druckmann, a lie that some people believe it's true to this day..... So whether it's reporting or whatever... The point is Bloomberg lied to Make PS5 look bad........ I don't care who says what but tell me how is that MS are also using the exact same hardware yet not a single negative thing has been reported about Xbox, Xbox did the bad press to themselves by themselves via their shiity first Xbox S X showing and recently with the Halo game play mess............... But on the Playstation side we've heard that the device can't do 8k(yet not a single soul has had the system on their hands running to rove this), we've heard its weaker (based on paper specs and not actual test on a running machine), we've heard it can't do native 4k 60fps or strugless to run 4k and now it has faulty chips............... So the next negative rumor I'm expecting will tell us that it overheats............
Anyway sorry to digress but long story short... Your trusty Bloomberg lied to gain browny points from MS(if not paid by Ms for the bad press) and the Make PS5 look bad just like that ResetEra imbisile who lied about PS5 cause Xbox SX was taking a beating........... So yeah they lied... I know hard to accept by they.... JUST STRAIGHT OUT. LIED...
@GREGORIAN Periods and sentences are a thing. Try them out some time.
@MFTWrecks...... Sorry dude... Typing on the phone virtual keyboard is a pain, so the errors in the sentences I only see once i've pressed send.
Apologies for grammar and punctuation..... I blame the digital keyboard.
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