PlayStation and Xbox face shortages as Christmas approaches – broker


It’s been almost a year since the latest PlayStation and Xbox consoles launched

() Microsoft Corporations’ PlayStation 5 (PS5) and Xbox Series (XS) will likely be a rare sight under Christmas trees this year, according to stockbroker Shore Capital, who believes consumers will be forced to look for alternative gifts.

It has been almost a year since the latest PlayStation and Xbox consoles were launched, supplies continue to be tight, and consumer demand has yet to be met.

The rise of gaming during the pandemic was one of the factors, while supply was also hampered by a shortage of semiconductors as well as problems with logistics distribution.

Despite the problems, the PS5 became the best-selling PlayStation console in the UK, surpassing 1 million in sales in August. The console is estimated to have sold for $ 13 million worldwide.

For context, at the same time, the PS5 was also the top-selling console by units sold, which broke Nintendo’s 33-month streak (normally the considerably more affordable Nintendo Switch sells more units, but Playstation leads the industry in terms of total sales value).

Demand is expected to remain high during the busy holiday season and into 2022, as PS5 shares always sell instantly as soon as they become available.

Shore Capital believes that the lack of Playstation consoles could be good news for Nintendo in particular, as consumers are looking for alternative Christmas gifts this year.

The broker also expects non-video game consumer technology to be another option for buyers, such as laptops and smartphones.

Specifically, Shore Capital believes this could be good news for musicMagpie Plc reCommerce specialists.

The AIM-listed company – which buys and sells game consoles, as well as games, cellphones, laptops and tech – offers a more affordable price for high-demand items, said Shore (who is the used retailer’s real estate broker).

In the games business more directly, Shore Capital has buying recommendations for London listed game makers (), (), Tiny Build Inc.

Analyst Katie Cousins, in a note, noted that these companies are platform independent and most of their new content is launched on all popular hardware.

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