Sony reduces PS5 production by 26.7% due to AMD chip issue

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by learner4f

According to Bloomberg, there is a low yield issue with the SOC chip in PS5 (as low as 50% yield). As the result, Sony will have to cut its PS5 production by 26.7%. As we know, AMD provides those SOC chips (custom 8-core AMD Zen 2 CPU and custom GPU based on AMD’s RDNA 2 architecture), and those chips are manufactured with TSMC 7nm process.

Since AMD’s upcoming Zen 3 and Big Navi also use TSMC 7nm, will there be yield issue for Zen 3 and Big Navi too? Probably yes.

Will this cause AMD and TSMC stocks to drop? Maybe.

If we keep seeing news like this coming out in the next few weeks, obviously it’s not good for any of these companies. So take this into consideration for your next play – don’t just YOLO thinking the market has finally turned around.




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