Over the past week millions of players around the world were able to finally get their hands on the Xbox Series X and Xbox Series S consoles. The Xbox Series X and S launched on November 10, with players celebrating the Xbox Series X and S launch on social media by posting pictures of their consoles and set ups.
However, there are plenty of players still trying to secure an Xbox Series X with little luck due to console shortages. Unfortunately, Microsoft’s CFO Tim Stuart recently confirmed that the company expects Xbox Series X and S shortages to last partway into 2021.
This report comes from the recent Jefferies Interactive Entertainment Virtual Conference, a conference hosted by the largest independent, global, full-service investment banking firm, Jefferies Group LLC. The first topic that Jefferies Software Group Leads Brent Thrill and Alex Giaimo asked Stuart about was the Xbox Series X/S launch. Stuart talks about Microsoft’s strategy ahead of the Series X’s launch and the challenges the company faced with the gaming industry’s changing landscape. Stuart points out that this is Microsoft’s largest launch in Xbox history, while also acknowledging the shortage of Xbox Series X/S consoles at the moment.
Unfortunately, it seems like that shortage may end up lasting longer than players were hoping. Stuart goes on to confirm that console shortages may bleed into 2021, saying, “I think we'll continue to see supply shortages as we head into the post-holiday quarter, so Microsoft's Q3, calendar Q1.” Head of Xbox Gaming Phil Spencer also apologized for console shortages during Twitch’s GlitchCon event, further detailing the manufacturing and shipping difficulties the company have faced. However, it looks like there may be a bit of good news for Xbox fans on the horizon.
While Xbox Series X pre-orders were chaotic to say the least, consoles should start to be more readily available around May or June of 2021. Following up on the question about supply shortages, Stuart says, “And then when we get to Q4, all of our supply chain continuing to go full speed heading into kind of the pre-summer months. And that's where I start to – I expect to see a little bit of the demand – the supply profile, meeting the demand profile.” While Stuart seems to estimate console supply demand will catch up about halfway into 2021, that’s still quite a long time for fans who are eager to purchase a Series X to wait.
At the very least, it seems as if these shortages and delays resulting from the coronavirus won’t last indefinitely. Sadly, those fans who weren’t able to secure their Xbox Series X/S pre-order may have a quite the wait ahead of them. It’s to be expected, as companies like Sony and Microsoft had to face challenges they weren’t readily prepared for due to the coronavirus. Hopefully, Microsoft is able to match, or even exceed, this console supply estimates in 2021.
The Xbox Series X and Xbox Series S are out now.
Source: Jefferies Interactive Entertainment Virtual Conference (via SeekingAlpha.com)