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President Biden orders review of semiconductor failure among PS5, Xbox stock issues



President Joe Biden is taking action to find solutions to the ongoing shortage of semiconductor chips – a production problem that has affected, among other things, the latest game consoles.

The impact of the coronavirus pandemic on production has led to a shortage of semiconductors and other important products, affecting several industries across the United States and forcing many to cut back on production.

Reuters reports that the president signed an executive order yesterday to launch a 100-day review of supply chains for four key products, including semiconductor chips.

Other products covered by the review include drugs, rare earth minerals and high-capacity batteries for electric vehicles.

The order will focus on the areas of communication technology, transport, energy, food production, public health and defense.

But the hope is that improvements in the supply of semiconductor chips can benefit the production of both PS5 and Xbox Series X | S, as well as advanced graphics chips for PCs.

According to the Semiconductor Industry Association, US semiconductor companies account for 47% of all chip sales worldwide ̵

1; but only 12% of production is handled in the US.

The president has also promised to seek significant investment to try to resolve this situation.

“I lead senior officials in my administration to work with industry leaders to identify solutions to the semiconductor deficit,” he said.

“Congress has passed a bill, but they need … $ 37 billion to make sure we have that capacity. I want to push for that, too.”

A recent report from Ampere Analysis suggested that supply constraints have prevented both new PlayStation and Xbox consoles from surpassing their predecessors’ launch sales.

Following Microsoft’s recent financial results, CFO Amy Hood said the company expects Xbox sales to continue to be limited by the offering during the first quarter of 2021.

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