Uh oh. Looks like Sony’s getting worried over a little competition from Microsoft’s Xbox One. The Tokyo-based multinational conglomerate admitted that sales were “tougher” in November, thanks to the Xbox One’s many price cuts and bundle deals. November was also the first month that Microsoft’s eighth-generation Xbox One outsold competitor Sony’s PlayStation 4 since their respective launches just over one year ago.

But things aren’t all bad for Sony. Sony Computer Entertainment CEO Andrew House admitted that the company is struggling to keep up with holiday demand in Europe.

"If I look at Europe I think it is potentially, for the second year running, going to be quite inventory-challenged," House told Reuters on Friday. "I'm not going to say you won't be able to find a PlayStation 4. I think it's going to be kind of hand-to-mouth in terms of that market."

Sony launched the PS4 in 13 countries on Nov. 15, 2013. It sold 1 million units in the first 24 hours and 3 million within 40 days. As of October 2014, Sony had sold a total of 10 million PS4 consoles. Xbox One, meanwhile, lagged behind the PS4 for almost a year. But last month Microsoft turned the tables, thanks to a number of money-saving bundle deals that dramatically increased console sales.

House added that the PlayStation 4 console’s Japanese market was “challenged,” since more consumers were playing video games on their mobile phones instead of consoles. However, the PS4 has seen an increase in sales in Sony's homeland lately due to the holiday season, and has sold nearly 1 million devices since its launch in February.