X-Box pulling out of console market?

X-Box pulling out of console market?

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Discussion

Narcisus

Original Poster:

8,077 posts

281 months

Tuesday 6th February
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What’s going off I just caught a couple of snippets of vids this morning but didn’t have long enough to get a handle on things.

Microsoft doing a Sega and pulling out of hardware ?

phil-sti

2,679 posts

180 months

Tuesday 6th February
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where did you hear that?

phil-sti

2,679 posts

180 months

Narcisus

Original Poster:

8,077 posts

281 months

Tuesday 6th February
quotequote all
I’ll have a look in a bit a few vids had popped up on my YouTube feed.

captain_cynic

12,041 posts

96 months

Tuesday 6th February
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phil-sti said:
Likely a move to avoid any anti-trust actions from the EU or US DOJ. MS and anti-trust have a troubled history.

MS has very deep pockets and can easily maintain an unprofitable games and entertainment division from the profits they get from their OS division alone (and it wouldn't affect them at all).

Jim on the hill

5,072 posts

191 months

Wednesday 7th February
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Wouldn't be adverse to this as a long time Xbox owner and PS before that. If Microsoft pulled out I could buy a PS6 and enjoy all the games not just the exclusives available.

Much prefer the Xbox controller though with adult hands.

MCBrowncoat

880 posts

147 months

Wednesday 7th February
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Yeah heard about this a couple of days ago.

Some games are now, apparently, going to be coming to PS5, including Starfield. I was gonna start a thread about that or post it on the Starfield one but that seems to have gone very quiet...

It could mean that they expand XBox game pass to somehow work for PS5, and get money that way.


Narcisus

Original Poster:

8,077 posts

281 months

Wednesday 7th February
quotequote all
MCBrowncoat said:
Yeah heard about this a couple of days ago.

Some games are now, apparently, going to be coming to PS5, including Starfield. I was gonna start a thread about that or post it on the Starfield one but that seems to have gone very quiet...

It could mean that they expand XBox game pass to somehow work for PS5, and get money that way.
I suppose if all Microsoft’s catalog was available across the board then why bother spending the cash developing the console.

Have to admit though I can’t remember the last time I turned my Series X on most of my downstairs gaming is now using the Steam Deck or iPad and upstairs PC.

C5_Steve

3,099 posts

104 months

Wednesday 7th February
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MCBrowncoat said:
Yeah heard about this a couple of days ago.

Some games are now, apparently, going to be coming to PS5, including Starfield. I was gonna start a thread about that or post it on the Starfield one but that seems to have gone very quiet...

It could mean that they expand XBox game pass to somehow work for PS5, and get money that way.
Yeah I don't believe there's any hint of them pulling out of the console market yet, just making their own games available on other platforms which does make sense when you look at the money left on the table sticking to exclusives.

MCBrowncoat

880 posts

147 months

Wednesday 7th February
quotequote all
C5_Steve said:
MCBrowncoat said:
Yeah heard about this a couple of days ago.

Some games are now, apparently, going to be coming to PS5, including Starfield. I was gonna start a thread about that or post it on the Starfield one but that seems to have gone very quiet...

It could mean that they expand XBox game pass to somehow work for PS5, and get money that way.
Yeah I don't believe there's any hint of them pulling out of the console market yet, just making their own games available on other platforms which does make sense when you look at the money left on the table sticking to exclusives.
Let's wait and see what Phil Spencer has to say about it next week with his business update event, supposedly to address the rumours.



P-Jay

10,577 posts

192 months

Thursday 8th February
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C5_Steve said:
Yeah I don't believe there's any hint of them pulling out of the console market yet, just making their own games available on other platforms which does make sense when you look at the money left on the table sticking to exclusives.
It's a bit of a leap, but it sort of makes sense. Consoles are loss leaders, MS supposedly lose up to $200 on each console they sell, Sony supposedly spend the same to produce a PS5 as they sell it for, but obvs they've got to pay retailers, disti, marketing etc.

If MS see a business case to open up Game Pass and exclusives to all markets, then there's a question whether there's any point selling consoles at all.



MCBrowncoat

880 posts

147 months

Thursday 8th February
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P-Jay said:
C5_Steve said:
Yeah I don't believe there's any hint of them pulling out of the console market yet, just making their own games available on other platforms which does make sense when you look at the money left on the table sticking to exclusives.
It's a bit of a leap, but it sort of makes sense. Consoles are loss leaders, MS supposedly lose up to $200 on each console they sell, Sony supposedly spend the same to produce a PS5 as they sell it for, but obvs they've got to pay retailers, disti, marketing etc.

If MS see a business case to open up Game Pass and exclusives to all markets, then there's a question whether there's any point selling consoles at all.
Exactly, also if it leaves Sony as the only console maker in that space then it could also give them a licence effectively to charge a lot more for a PS6. They've been very good at keeping each other somewhat honest

C5_Steve

3,099 posts

104 months

Thursday 8th February
quotequote all
P-Jay said:
It's a bit of a leap, but it sort of makes sense. Consoles are loss leaders, MS supposedly lose up to $200 on each console they sell, Sony supposedly spend the same to produce a PS5 as they sell it for, but obvs they've got to pay retailers, disti, marketing etc.

If MS see a business case to open up Game Pass and exclusives to all markets, then there's a question whether there's any point selling consoles at all.
I think you're on the right lines. You're right that the consoles are loss-making products but with the recent acquisitions of studies by MS (and Sony to an extent) the old "console wars" days can quickly become irrelevant if MS open up their exclusives to other platforms. I think we'll see a shift in the product types with MS taking advantage of Xbox as an ecosystem rather than one specific console. So imagine you can play Halo on your PS5, your handheld MS steamdeck-esque console or your PC. Or you're Xbox console, which they can continue to make but for a more niche market now.

Matty_

2,013 posts

258 months

Thursday 8th February
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There were rumours that Microsoft were considering abandoning the gaming hardware market; whether it's true or not I think that would be a bad thing for gaming as a whole. That competitiveness massively drives the industry....if it was just Sony....

Thing is that loads of people comment on how much more the PS5 has sold than the XBox....but most gamers I know haven't bothered buying an XBox because they play games on the PC and there's too much overlap....I've got a PS5 that barely comes out the box, but I play far more PC (and by design, XBox stuff) than I do the Sony catalogue but I sold my XBox years ago because of the PC.

Lucas Ayde

3,563 posts

169 months

Thursday 8th February
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Jim on the hill said:
Wouldn't be adverse to this as a long time Xbox owner and PS before that. If Microsoft pulled out I could buy a PS6 and enjoy all the games not just the exclusives available.

Much prefer the Xbox controller though with adult hands.
There's not that many PS5 exclusives as Sony are now publishing many on PC.


Lucas Ayde

3,563 posts

169 months

Thursday 8th February
quotequote all
Matty_ said:
There were rumours that Microsoft were considering abandoning the gaming hardware market; whether it's true or not I think that would be a bad thing for gaming as a whole. That competitiveness massively drives the industry....if it was just Sony....

Thing is that loads of people comment on how much more the PS5 has sold than the XBox....but most gamers I know haven't bothered buying an XBox because they play games on the PC and there's too much overlap....I've got a PS5 that barely comes out the box, but I play far more PC (and by design, XBox stuff) than I do the Sony catalogue but I sold my XBox years ago because of the PC.
The original Xbox One launch was such a disaster - it really sunk the whole platform.

With the 360 and PS3, MS were at least on par and a bit ahead outside of Japan (I speak as PS3 owner) so you would have expected them to compete.



C5_Steve

3,099 posts

104 months

Friday 9th February
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Matty_ said:
There were rumours that Microsoft were considering abandoning the gaming hardware market; whether it's true or not I think that would be a bad thing for gaming as a whole. That competitiveness massively drives the industry....if it was just Sony....

Thing is that loads of people comment on how much more the PS5 has sold than the XBox....but most gamers I know haven't bothered buying an XBox because they play games on the PC and there's too much overlap....I've got a PS5 that barely comes out the box, but I play far more PC (and by design, XBox stuff) than I do the Sony catalogue but I sold my XBox years ago because of the PC.
Funny you say that about your PS5, I've thought many times about buying one but only for a few of their exclusive games (Spiderman 1/2, maybe a few others) but everyone I talk to about one it's just collecting dust at the moment.

That said I don't play a huge variety on my Series X, it's my Blu-Ray player and then COD, Forza and the occasional other game (Cyberpunk, GTA) but I do jump on almost every day for an hour or so.

I

Narcisus

Original Poster:

8,077 posts

281 months

Sunday 11th February
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Cancelled my Gamepass Ultimate and just stuck with the PC. I cant believe I was actually considering selling my Series X the other day I'm just not using it frown

Crafty_

13,291 posts

201 months

Sunday 11th February
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As above its widely anticipated that the announcement will be games from Xbox studios going to Playstation, I would presume even more stuff on PC too.

When you look at what MS have being paying out to acquire studios, the most of AAA game production it isn't a massive surprise really. Add to that that gamepass was only just about breaking even before all the investment and that they've lost this console generation war to PS5, something has to give.

Sony have also been heading this way with games being available on PC.

Can't say for Xbox, but Sony hardware breaks even (at least), has been for some time https://www.theverge.com/2021/8/4/22609150/sony-pl...

I think SOny will make a PS6 and even with this (alleged) move I can still see MS making another Xbox as a bedroom / lounge access point to services - (probably some form of PC with a cut down OS) without the complexity of a full blown PC.


flatlandsman

764 posts

8 months

Sunday 11th February
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They have spent a stack of money in recent years buying software companies and developers, building consoles is probably not on their market anymore, and I say fair play to them, they took on Sony and matched them, they also forced pretty much the entire console market to pay to play online which is the part I loath and hate. But you cannot argue with the decision, they realised a long time ago that gamers are very easily co-erced. AS several things in recent years have shown all to easily.