The Xbox Series X and the PlayStation 5 have been available since November 2020. However, while there is always a delay of a few years before next-gen consoles become considered the current gen among players, this console generation shift is being delayed even more by the scarcity of the consoles themselves. The supply problem comes as a result of the chip shortage that is hindering the manufacturing of both next-gen consoles. This Xbox and PlayStation chip shortage could last until 2024.
This problem is made worse by the scalpers and bot accounts that will buy up all available PlayStation 5 and Xbox Series X consoles as soon as they are restocked. Legitimate buyers then have to either hope to get lucky with a well-timed restock, or buy one from a scalper for an exorbitant price.
A new invite-based ordering system from Amazon could help to bring an end to anyone other than legitimately interested customers from buying products in low supply but with high demand. The program will be launched with the PlayStation 5 and Xbox Series X consoles as the first products customers are able to request an invitation for. Requests do not mean customers will be guaranteed an invitation when the consoles are restocked, but these invitations will only be given out to legitimate buyers, while bot accounts and scalpers requests will be removed by Amazon.
Receiving an invitation to purchase a console will act similarly to having that product in an Amazon cart, with a time limit given for how long customers have to purchase the product before the invitation expires. As the program essentially works to separate the scalpers and bots from the legitimate customers in the lead up to a restock, this could be a major hit for scalpers who have set up businesses based around buying and reselling next-gen PS5 and Xbox consoles.
If this program is successful, it could become the new standard for online retailers for the launch of products that are expected to sell out quickly. There are currently no laws prohibiting the practice of buying and reselling video game consoles, although many fans do see it as highly unethical. But there has been attempts to see the practice of scalping consoles banned in the UK, which has been fueled by the growing concern that, through the prevalence of online shopping, scalping may spread to other goods and services.
Scalping is a very opportunistic business which relies on the ability to purchase large amounts of a single product in high demand. But many PS5 scalpers believe their negative reputation is unjustified and that the practice follows the basic principles of economics. Amazon’s program will not bring an end to all PS5 and Xbox Series X scalping, but it may obstruct the organized groups of scalpers that use bot accounts to purchase hundreds of consoles immediately after a restock.
Source: TechCrunch