How Intel Lost the PlayStation 6 Chip Contract

Monday, 16 September 2024, 21:46

Intel lost the Sony PlayStation business when it failed to secure the chip design for PlayStation 6, marking a setback for Intel’s contract manufacturing efforts. The competitive nature of the bidding process, specifically against AMD, underscored the challenges Intel faces in expanding its influence in the gaming console market. This loss represents a broader struggle for Intel’s future endeavors in chip design and manufacturing.
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How Intel Lost the PlayStation 6 Chip Contract

Intel's Failed Bid for Sony PlayStation 6

In a significant turn of events, Intel has lost out on a critical opportunity to design the chip for the forthcoming PlayStation 6. This loss is attributed to a competitive bidding process where AMD emerged as the winner, effectively sidelining Intel's aspirations in the gaming sector.

The Importance of the Contract

Winning the contract to design the PlayStation 6 chip would have not only elevated Intel’s design segment but also contributed immensely to its foundry business. Reports suggest that the potential revenue loss could amount to billions, alongside thousands of silicon wafers monthly being fabricated.

Impact of the Loss on Intel

  • Intel was in direct competition with AMD for the contract.
  • The decision reflects challenges Intel faces in gaining significant clients for its advanced manufacturing processes.
  • A longstanding partnership with Sony could have contributed to a robust $30 billion increase in revenue over the contract's lifetime.

Looking Ahead for Intel

Intel must now reassess its strategies to attract marquee customers, as the PlayStation 6 contract would have been a game-changer. With CEO Pat Gelsinger spearheading new initiatives, the focus shifts to potential partnerships that can bolster Intel's market standing in the tech sector.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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