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. 

Sony confirmed (opens in new tab) at CES that it had sold over 30 million PlayStation 5 game consoles. VGChartz (opens in new tab) estimates that by now, life-to-date sales of PS5 exceeded 31.77 million units. Microsoft’s Xbox Series X|S consoles are by far not as successful as Sony’s systems, with LTD shipments of around 20.68 million units, according to VGChartz. 

(Image credit: AMD)

In fact, AMD’s gaming business unit — which sells discrete graphics processors for desktop graphics cards and notebooks as well as SoCs for game consoles — earned $6.805 billion in earnings and $953 million in profits last year and was the company’s main source of revenue. Keeping in mind that in recent quarters the unit sales of AMD’s standalone GPUs have declined (based on data from Jon Peddie Research), consoles SoCs accounted for the lion’s share of AMD’s gaming business unit revenue. 

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