Picture Credit: Sony
Sony has announced that they are planning to sell 18 Million Playstation 5 consoles this business year. This increased production is because of increased game sales that helped double their fourth-quarter operating profit. While talking in a press briefing, Hiroki Totoki, Sony’s chief financial officer “What I can say now is that we can procure enough components for 18 million units.”
Sony is planning to use PlayStation 5 to encourage online game downloads and sign-ups for subscription services. Last business year, 11.5 million PS5 units were sold as the entire industry of consumer electronic companies struggled with COVID 19 supply chain disruptions.
Sony has reportedly earned a profit of 138.6 billion yen ($1.06 billion) from 66.5 billion yen in the three months to 31 March. It was, however, lower than an average 147 billion yen profit estimate from 10 analysts surveyed by Refinitiv.
The gaming and network services business almost tripled the company’s earnings in the quarter to 55.6 billion yen. This business year Sony expects profits from the unit to fall 12% as it invests in game development and spends on acquisitions. Their earnings were also uplifted by movie unit profits from the success of the "Spider-Man: No Way Home" movie.
This business year, Sony forecasts a reduced profit of 1.16 trillion yen from 1.2 trillion yen. This prediction is lower than the mean 1.21 trillion yen profit based on forecasts from 23 analysts, of Refinitiv.
Similarly, Sony bought Bungie, the developer of games like Destiny and Halo for $3.6 billion in January 2022. Bungie CEO Pete Parsons addressed this deal and wrote, “In SIE, we have found a partner who unconditionally supports us in all we are and who wants to accelerate our vision to create generation-spanning entertainment, all while preserving the creative independence that beats in Bungie’s heart. ”
“Like us, SIE believes that game worlds are only the beginning of what our IPs can become. Together, we share a dream of creating and fostering iconic franchises that unite friends around the world, families across generations, and fans across multiple platforms and entertainment mediums.”