Sony has reportedly chosen AMD to supply both the CPU and GPU for the upcoming PlayStation 6, after Intel and Sony could not agree on profit margins per chip. AMD's ability to integrate CPU and Radeon GPU cores into a single piece of silicon has made it a favorite among console manufacturers, including its previous use in the PS4, PS5, and Xbox Series X.
Sources indicate that Intel’s inability to reach a satisfactory agreement with Sony on profit margins was a significant factor in the decision. Despite intense negotiations involving numerous engineers and CEOs from both companies, AMD emerged as the preferred partner.
Intel, while trailing AMD and Nvidia in the gaming GPU market, has made substantial advancements in recent years. The company has been improving its GPU performance and compatibility with regular driver updates and recently launched its new Intel Lunar Lake SoCs, which feature what Intel claims to be the fastest built-in GPU for thin and light laptops.
The exact nature of the chip for the PS6 remains unclear, but it is expected that AMD will provide a chip combining both CPU and GPU functions. Intel is gearing up for the release of its new Core Ultra 200 gaming CPUs in October 2024.