The PlayStation 5 and Xbox Series X will probably be delayed due to the coronavirus, according to the latest report from DFC Intelligence, a strategic market research and consulting firm that specializes in market research and strategic analysis of issues in PC game, video game, online game, and multimedia industries. According to the new report, coronavirus is likely to have a substantial short-term impact on the delivery of both consoles, and thus it's likely one or both systems will not hit their 2020 launch. Further, if they do, both will likely launch to supply constraint and both could end up passing the extra costs off onto the customer.
"Coronavirus is likely to have a major short-term impact on the delivery of both systems," said DFC Intelligence. "There is a strong likelihood one or both systems will not make a 2020 launch. If the systems do launch, supply will likely be constrained and initial pricing could be higher than expected. Currently, the economy is in an unprecedented state of uncertainty. Even if the situation clears up in a few weeks, the ability to manufacture and release a high-end new game system has already been severely impacted."
The report goes on to note it's not all doom and gloom though. Consumer demand is likely to be stronger than ever. In fact, demand will likely exceed supply, which is usually good for long-term sales.
"Both the PlayStation 5 and Xbox Series X will release to record consumer demand," reads the report. "The challenge Sony and Microsoft face is making sure they release systems that meet expectations. Given the current situation, waiting to make sure they get the initial product right is the most prudent choice."
Both the Xbox Series X and PlayStation 5 are poised to start mass production this spring. Right now, China -- where both consoles are manufactured -- appears to be recovering from the virus. However, it remains to be seen how quickly the country's manufacturing sector will get back up to full speed. Meanwhile, it's also unclear how the recent delays have impacted part manufacturing and how much production backup there currently is.2comments
The PlayStation 5 and Xbox Series X are currently scheduled to release worldwide sometime this holiday season. While there's currently a lot of uncertainty surrounding the two machines, we do have a growing list of confirmed games for each.