Home ยป Rumor: Sony Opts for AMD to Manufacture Chips for PS6, Intel Proposes a Competing Alternative but Falls Short

Rumor: Sony Opts for AMD to Manufacture Chips for PS6, Intel Proposes a Competing Alternative but Falls Short

Reuters reports unofficially that in 2022, Sony has decided to choose AMD and TSMC to manufacture chips for the PS6.

The decision for Sony to opt for AMD to make the PS6 chips is not surprising, considering their long-standing relationship since the PS4 era. However, what’s intriguing is Intel coming in as a competitor against AMD, only to ultimately lose out.

The production of PS6 chips, with orders expected to reach tens of billions or possibly even a hundred billion units (PS4 sales were around 110 million units, while the latest PS5 sales are roughly 60 million units), will significantly benefit AMD. This solidifies their position in the chip manufacturing industry, even though they are currently struggling to secure major clients and have recently had to readjust their investment plans to build new factories.

According to Reuters, Sony conducted chip manufacturer selection events in 2022, with several companies initially competing but only Intel and AMD making it to the final round. Ultimately, Intel failed to reach a favorable revenue-sharing agreement with Sony, leading AMD to emerge victorious by offering a better proposal.

Furthermore, Reuters also reveals that another factor influencing Sony’s continued partnership with AMD is the compatibility with older games (backward compatibility). Opting for Intel would require significant engineering resources to ensure that games designed for AMD’s CPUs on PS4/PS5 can run on the PS6 with an Intel CPU.

Earlier this year, there were rumors that in addition to the PS6, Intel also pitched to produce the next Xbox for Microsoft. However, the outcome of this selection process remains unknown.

Source: Reuters

TLDR: Sony selects AMD and TSMC for PS6 chip manufacturing, with Intel losing out in the competition. The decision reflects Sony’s longstanding partnership with AMD and considerations for backward compatibility with older games.

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