Online sales have already been overloaded. The pandemic has touched every part of the console production and distribution process.
Despite increased production numbers, Sony still can’t meet demand. Sony’s Ryan told the Washington Post in September that the company had more PlayStation 5 consoles ready for sale this holiday season than the number of PlayStation 4 units in 2013. Regardless of whether demand is higher now than it was in 2013, there still aren’t enough consoles to go around. It’s hard to say how much higher demand actually is now, compared to what it was seven years ago when the PlayStation 4 and Xbox One were released CNN and others reported in 2013 that consoles were in short supply back then, too. The pandemic has touched every part of the console production and distribution process
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A Best Buy executive said Tuesday on a quarterly earnings call that demand for the Xbox Series X and PlayStation 5 consoles has been “heightened” due to quarantine measures keeping people at home. According to research firm Nielsen, gaming is “at an all-time high during COVID-19.” Understandably, many of these gamers want the new consoles. More people are stuck inside looking for things to do, and gaming fills that space. We’ve definitely accelerated maybe a year or two in terms of adoption of some of this.” Xbox boss Phil Spencer noted this - the accelerated growth of gaming - in a recent interview with The Verge: “I think we’ve seen the acceleration of some of the timelines and trends in gaming over the last six months. The gaming industry has already been scaling up since 2013 when the previous generation debuted, but the number of interested customers may also have increased dramatically because of the pandemic. Both companies have claimed that their launches were the biggest ever, but did not provide sales numbers. All of these complications have their part in the perceived shortage of consoles, lest we forget this has been one of the biggest console launches in history. The ongoing coronavirus pandemic, which is surging once again in the United States, has had an influence on all parts of the industry, from game development and planning to shipping logistics and distribution. And now in terms of my executive bandwidth, I’m spending a lot more time on trying to increase supply to meet that demand.” I’ve spent much of the last year trying to be sure that we can generate enough demand for the product. “Everything in Russia will be sold, there’s no doubt about that.
“Absolutely everything is sold,” Ryan said. Likewise, Sony Interactive Entertainment president Jim Ryan told a Russian news outlet last week that “everything is sold.” In mid-November, Microsoft chief financial officer Tim Stuart said that Xbox Series X shortages could continue into April. It’s so high that people are buying and selling consoles on eBay for exorbitant sums PlayStation 5 and Xbox Series X systems are selling for more than triple their retail prices, according to a Business Insider report on the resale market. Demand is high, and it’s going to stay high. And as the holiday season begins, it may get even harder. Whether it’s out-clicking bots or actual, eager customers, it’s been a thing to get a console this month. And if you do get an order placed, there’s always the chance that your retailer of choice cancels it. A lucky few will get a console into their carts, and an even smaller number will be able to actually check out. Consoles - and console bundles worth around $800 - go up on store websites sporadically, but then those websites, like Walmart and Target, crash instantly.
There are not enough PlayStation 5 or Xbox Series X units to go around.
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