Key Takeaways
- Sony chose AMD over Intel for PS6 CPUs at competitive prices, costing Intel billions in potential revenue.
- Intel’s bad decisions and mismanagement have led to predicted continuous operating losses till 2027.
- Fans are unsure of PS5 Pros offerings versus price, putting more eyes on Sony‘s PS6.
As a seasoned gamer with over two decades of experience under my belt, I can’t help but feel a mix of sympathy and Schadenfreude as Intel finds itself in hot water yet again. The tech giant’s missteps have been a regular feature in headlines for far too long now, and the PS6 debacle is just another notch on their belt.
It seems that Intel is experiencing more setbacks, as they are reportedly missing out on significant earnings following Sony’s decision to partner with AMD for the production of the CPU in the PlayStation 6, according to a Reuters article.
2022 found me eagerly anticipating the next big gaming console, the PS6. Rumors swirled about who would manufacture its powerful chips, and I was thrilled to learn that Sony had discussions with two heavyweights in tech: AMD, who crafted the PS5’s impressive hardware, and Intel. As a gamer, I can only imagine what incredible experiences await as these industry titans collaborate on the future of gaming!
It appears that Intel may have been overly focused on the profit earned from each chip sold to Sony, possibly due to anticipation that their new manufacturing facilities would generate profits—however, this was not the case.
These foundries lost Intel nearly $7 billion in 2023 due to bad decisions and outsourcing.
The substantial losses, while not being the sole cause, most likely contributed significantly to the planned layoff of approximately 10,000 employees in 2024, as the company sought to realign itself. CEO Pat Gelsinger announced that the tech giant will not achieve profitability until 2027.
Essentially, it’s crucial that our expenses correspond with our revised business framework and that we undergo a fundamental shift in how we conduct operations.
– CEO Pat Gelsinger
Instead of AMD, Sony opted for more affordable pricing from AMD, which significantly undercut Intel’s offer, effectively ending their deal. Although AMD’s per-chip price might have been lower than what Intel desired, their agreement with Sony ensures a large number of chips will be purchased when the PS6 is launched.
Intel declined to provide a statement regarding the issue, instead expressing their strong disagreement with the portrayal. It’s hard to maintain dignity following such a loss, considering the massive potential earnings that were missed, coupled with the continuous decline in revenue and workforce reduction at your company.
Forget The PS5 Pro, We Want The PS6
Since last week’s PS5 Pro reveal, Sony has beenthoroughly cooked by PlayStation fans online.
Users have expressed dissatisfaction that the PS5 Pro offers only modest enhancements in graphics and frame rates, which they believe are not commensurate with its $700 price point.
Surprisingly, while comparing the PS5 with a hypothetical PS5 Pro in their video, Sony unintentionally pointed out that their previous console lacked in graphic quality and performance.
With fans criticizing the high cost and minimal enhancements, their focus has shifted towards Sony’s upcoming venture, allegedly known as the PS6.
In just four short years since the launch of the PS5, given that Sony typically maintains a seven-year lifespan for their consoles, we could potentially see its successor hit shelves in the year 2027.
According to past records from Microsoft and Sony, it’s tentatively predicted that the commencement of the next era of gaming consoles could be in either 2027 or 2028.
As a dedicated gamer, I’ve noticed that we typically see a fresh platform every seven to ten years. However, with the breakneck pace of technological advancements, it feels like we’re now looking at a six to seven-year platform cycle. It’s an exciting time to be a part of this ever-evolving gaming world!
– Sony’s Masayasu Ito, to Game Informer
As a dedicated gamer, I find myself growing increasingly concerned about Sony’s recent pricing strategies. Unlike the initial PS5 release at $499.99, the rumored pricing of the upcoming PS5 Pro has me feeling uneasy.
If world economies continue to experience instability, it’s likely that only a small group will have access to PlayStation 6 servers.
Sony is dominating the current console era, a position that might be more attributed to Xbox’s shortcomings rather than Sony’s strengths, yet the future still holds uncertainties for them.
It’s possible that the upcoming console era might witness Xbox reclaiming the dominance it once had during the Xbox 360 and PS3 era. But given Xbox’s recent missteps, I’m uncertain about what the most probable outcome could be.
Regarding Intel, the year 2027 could mark a turning point where they achieve profitability for the first time, or it might be a time when they find themselves watching Sony and AMD earning substantial profits while Intel struggles financially.
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2024-09-17 01:38