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Sony Becomes AMD's Largest Customer on Booming PS5 Sales

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Sony became AMD's largest customer last year, accounting for 16% of the company's revenue as its PlayStation 5 increased its lead over competitors. Sravan Kundojjala, a semiconductor industry analyst, noted that if Xilinx results are excluded, Sony accounts for 20% of AMD's revenue, probably making it the company's largest customer in recent history.
Indeed, the gaming business unit was AMD's largest revenue generator, which indicates that sales of system-on-chips for Microsoft's Xbox Series X|S consoles were also strong. AMD sold Sony some $3.776 billion worth of chips for PlayStation 5 game consoles in 2022, which accounted for 16% of the company's revenue for the year, according to the company's filing with the SEC.
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Mr Hyde

Member
Christian Bale GIF by PeacockTV
 

SlimySnake

Flashless at the Golden Globes
oh shit. Dollar figure for chips..

Do we know how many PS5s sony sold last year? Someone do the math so we can find out how much the PS5 chips cost.

EDIT: If they sold 15 million chips, that around $250 per chip.
If they sold 20 million chips, that's $188 per chip.

That's almost double what they were paying last gen for a bigger chip, and makes me wonder just how much extra MS is paying for their 20% bigger chip.
07HiNjvBxF376bqXPxohGMb-1..v1569470702.jpg
 
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Elios83

Member
oh shit. Dollar figure for chips..

Do we know how many PS5s sony sold last year? Someone do the math so we can find out how much the PS5 chips cost.
I doubt it's that simple because there are also other factors like inventory (and anticipating payments for future shipments) impacting the whole thing.
Anyway 3.776 billion dollars in sales divided by the 14.8m PS5 shipped in calendar 2022 (2m +2.4m + 3.3m +7.1m) would give a cost per chip of 255$, I don't think it's realistic, it's really a lot.
 
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SlimySnake

Flashless at the Golden Globes
I doubt it's that simple because there are also other factors like inventory (and anticipating payments for future shipments) impacting the whole thing.
Anyway 3.776 billion dollars in sales divided by the 14.8m PS5 shipped in calendar 2022 (2m +2.4m + 3.3m +7.1m) would give a cost per chip of 255$, I don't think it's realistic, it's really a lot.
Yeah, just trying to simplify because at the end of the day, thats money out of Sony's pockets for the purpose of making playstations. $255 is insane but considering the fact that they likely ordered all those chips for 2023 and beyond, it's possible the cost is much lower. The chip shortage probably allowed AMD to regonitiate their deals and Sony might have paid extra to get more PS5s shipped than XSXs.
 
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jroc74

Phone reception is more important to me than human rights
oh shit. Dollar figure for chips..

Do we know how many PS5s sony sold last year? Someone do the math so we can find out how much the PS5 chips cost.

EDIT: If they sold 15 million chips, that around $250 per chip.
If they sold 20 million chips, that's $188 per chip.

That's almost double what they were paying last gen for a bigger chip, and makes me wonder just how much extra MS is paying for their 20% bigger chip.
07HiNjvBxF376bqXPxohGMb-1..v1569470702.jpg
I'm still patiently waiting for a BOM leak, info for these consoles.

I expect that thread to be interesting as hell.
 
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Felessan

Member
oh shit. Dollar figure for chips..

Do we know how many PS5s sony sold last year? Someone do the math so we can find out how much the PS5 chips cost.
Significant part of this revenue gonna go into this year spike in sales.
I would expect 3+ months delay between "payment for chip" and "shipment (i.e. sold to retail) of console"
So probably we should wait till we get 3q'22 - 2q'23 numbers of consoles sold to get a proper aproximation of chip cost
 

Xyphie

Member
resize


Their gaming (semi-custom and dedicated graphics) business segment creates revenue, but it doesn't really make them any money because the margins on the semi-custom stuff is so low. Note how the shift from selling GPUs during the shortages to higher semi-custom sales actually drove earnings down.
 
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M1chl

Currently Gif and Meme Champion
Lets be clear that AMD (Radeon), back when they had terrible HW survived due to consoles.

Now they have just a bad product, they still depend heavily on console market.

Meanwhile Nvidia is leading the ML revolution and it is a geopolitical tool of nations.

Small wins and all that.
 

Panajev2001a

GAF's Pleasant Genius
resize


Their gaming (semi-custom and dedicated graphics) business segment creates revenue, but it doesn't really make them any money because the margins on the semi-custom stuff is so low. Note how the shift from selling GPUs during the shortages to higher semi-custom sales actually drove earnings down.
That is not what the notes on this sheet say at all.
 

Loomy

Thinks Microaggressions are Real
Lets be clear that AMD (Radeon), back when they had terrible HW survived due to consoles.

Now they have just a bad product, they still depend heavily on console market.

Meanwhile Nvidia is leading the ML revolution and it is a geopolitical tool of nations.

Small wins and all that.
Are you suggesting Ryzen/Threadripper, and RDNA3 are bad products?
 
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Baki

Member
oh shit. Dollar figure for chips..

Do we know how many PS5s sony sold last year? Someone do the math so we can find out how much the PS5 chips cost.

EDIT: If they sold 15 million chips, that around $250 per chip.
If they sold 20 million chips, that's $188 per chip.

That's almost double what they were paying last gen for a bigger chip, and makes me wonder just how much extra MS is paying for their 20% bigger chip.
07HiNjvBxF376bqXPxohGMb-1..v1569470702.jpg
$100 for PS4 APU vs a potential $188 for PS5 APU. Edit: I assume APU includes ram, so $188 for PS4.
 
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SlimySnake

Flashless at the Golden Globes
$100 for PS4 APU vs a potential $188 for PS5 APU. Edit: I assume APU includes ram, so $188 for PS4.
APU is CPU and GPU on one chip plus the IO.

RAM is separate. It's also much cheaper per GB than it was in 2013 when GDDR5 was very new.
 

Ronin_7

Banned
PS5 2023 & 2024 will be for the history books.

Can't wait for the meltdown on those far Left sites we all know but but scalpers 🤣🤣🤣🤣
 

lh032

I cry about Xbox and hate PlayStation.
Chip timed exclusivity!!??

JIIIIIIIIIIIIIIIIIMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMM
 
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JackSparr0w

Banned
Chip timed exclusivity!!??

JIIIIIIIIIIIIIIIIIMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMMM
Bitch 16% of revenue and you want chip exclusivity?

You won't be celebrating much when AMD doubles the price next gen. None of you gullible kids realize how cut-throat companies like AMD and Nvidia are.
 
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Loomy

Thinks Microaggressions are Real
I am talking about Radeons
Radeon is just a brand name for AMD's GPU line. Just like GeForce is a brand name for Nvidia's GPU line.

The current architecture for their GPU is RDNA 3. It is not a bad product. Not even close.
 
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