Sony yesterday reported a 45 percent rise in second-quarter operating profit, beating market estimates, while Nintendo reported an earnings slide that missed ‌market expectations.

The divergent fortunes of the two companies come as technology firms around the world grapple with a shortage of memory chips due to the AI boom, affecting a wide range of products including smartphones and computers.

A Reuters report yesterday from Tokyo stated that Sony’s operating profit came in at 622.3 billion yen ($3.95 billion), better than an average estimate of 505 billion yen from 12 analysts polled by LSEG.

Contributors to the stronger performance, which led the Japanese entertainment-and-technology conglomerate to increase its full-year profit outlook by 9 percent, included the hit movie ‘Spider-Man: ⁠Brand New Day’.

“Sony is the bigger winner today and their success could have been even bigger if more PlayStation 5 Pro units were available,” said Serkan Toto, founder of the Kantan Games consultancy.

Sony, a major manufacturer of image sensors used in smartphones, also lifted its outlook for its chips and music divisions.

Sony’s games business is expected to be a major beneficiary of the launch of ‘Grand Theft Auto VI’ on November 19, but is grappling with higher memory prices.

Companies flagging the impact include iPhone maker Apple, which this week pointed to pressure on margins during the holiday quarter.

In July, the PlayStation maker said it had secured the amount of memory needed to meet its projected sales volume this year.

Amid concerns about chip access, Sony sold 2.6 million PlayStation 5 units during the second quarter, down from 4 million a year earlier.

Some observers expect Sony to launch a successor gaming device in late 2028.

With memory prices a challenge, maintaining active user engagement will ⁠be key to supporting profitability as Sony invests in its new platform, Chief Financial Officer Lin Tao said.