Two methods.
One is a real time clock. There’s a small battery inside that powers a moderately accurate clock while the console is off and disconnected from power. This clock will be off by a few seconds after a few weeks without power. If you keep it disconnected for enough time, the battery will run out and the clock will reset.
When you turn the console on it will attempt to connect to the internet and synchronize it’s clock using Network Time Protocol (NTP). NTP servers are ran mostly by scientific institutions and provide very accurate time.
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