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Xbox Lost the Console War. Now It’s Redefining Gaming. | WSJ The Economics Of

DragonNCM

Member
crying-golnesa.gif
 

Det

Member
The promises of "wait for the next E3" and now "wait for the next decade for Cloud to dominate the market" are all Astroturfing to deceive shareholders into keeping the Xbox division active with promises of a "glorious future"
 

ReBurn

Gold Member
"Redefining gaming"

VS-You-Tube-Xbox-Lostthe-Console-War-Now-Its-Redefining-Gaming-WSJThe-Economics-Of-4-22-1.jpg
The scary thing is that with this being the first generation where hardware prices have been increasing over time it's only a matter of time before someone figures out how to deliver a good enough couch gaming experience that doesn't depend on buying a $500 to $700 console or a gaming PC. It may not be Microsoft that does it, but they certainly have the money to invest to keep trying. Their attempt at using game pass to turn all kinds of gaming into software as a service failed, but someone is eventually going to figure it out and that's going to pull casual gaming dollars away from dedicated gaming hardware. With the way Microsoft has lost the plot with Xbox I really hope it's not them.
 
'microsoft isn't getting rid of the xbox any time soon...'

well, you'd never know that listening to the rest of this video, which strongly indicates they're doing just that...
 

MacReady13

Member
Isn't the Game Pass subscribers numbers stopped growing? That's pretty much failing to "redefine gaming".
Isn't it funny how gamepass numbers have stagnated and are not going up yet Phil says nothing about that in trying to find new ways to get games into gamers hands, yet console users have suddenly stagnated so he needs to find other avenues apart from consoles for gamers to play games! From last check, there are roughly the same amount of Series x/s console owners as there are gamepass subscribers...
 
The promises of "wait for the next E3" and now "wait for the next decade for Cloud to dominate the market" are all Astroturfing to deceive shareholders into keeping the Xbox division active with promises of a "glorious future"
It's not going to last much longer, once it was obvious that Windows Phone was dead in the West, MS started talking about grandiose plans to capture "the next billion phone users" e.g. developing markets like Africa. Then new CEO Satya Nadella finally guillotined the whole division the next year
 

laynelane

Member
A point made in the video is that MS has the edge over Nintendo/Sony because they have "lots and lots of money". Yes, really. It's basically one dude's (and his company too?) opinions (re: redefining gaming) and one of those is that since MS can't beat Nintendo/Sony at retail, it's in their best interest to push gaming towards their data centres and the Cloud. He also says it's hard for large companies to be "agile and innovative" so the idea is that what they're doing now (Game Pass, acquisitions, etc.) may eventually give them a chance to "finally be in the driver's seat for the first time" - in this case, the Cloud gaming future we've been hearing about for years and years now.

I feel like we've heard all this before. Many, many times actually. The general disinterest of gamers towards Cloud gaming does not match the frequency with which it's brought up. The video even highlights how few people use it in MS' own service. There's another contributor in the video who brings up latency, ownership, expense, etc. with regards to Cloud gaming. All those things are true and unchanging - so the dogged determination to somehow make this successful is just strange at this point.
 
A point made in the video is that MS has the edge over Nintendo/Sony because they have "lots and lots of money". Yes, really. It's basically one dude's (and his company too?) opinions (re: redefining gaming) and one of those is that since MS can't beat Nintendo/Sony at retail, it's in their best interest to push gaming towards their data centres and the Cloud. He also says it's hard for large companies to be "agile and innovative" so the idea is that what they're doing now (Game Pass, acquisitions, etc.) may eventually give them a chance to "finally be in the driver's seat for the first time" - in this case, the Cloud gaming future we've been hearing about for years and years now.

I feel like we've heard all this before. Many, many times actually. The general disinterest of gamers towards Cloud gaming does not match the frequency with which it's brought up. The video even highlights how few people use it in MS' own service. There's another contributor in the video who brings up latency, ownership, expense, etc. with regards to Cloud gaming. All those things are true and unchanging - so the dogged determination to somehow make this successful is just strange at this point.
there are not arguments anymore to put Xbox/MS in a good light.

every single talking point for the last 10 years have been a falirue.
 

laynelane

Member
People have been saying that since 2001.

Even by then it was probably too late for them to become number 1.

Agreed. I pointed it out because it's such a weird and laughable statement to make. If all it took was a shitload of money, then MS would have buried Sony and Nintendo long ago.
 

Clear

CliffyB's Cock Holster
87 billion dollars in acquisitions, to end up where they are now... Yikes.

All on the theory that in x number of years Cloud gaming will be so dominant that when they pull up the drawbridge on the content "moat" they've acquired they'll be unassailable.
 

Saber

Member
Sony not have any competition is only bad for industry.

Danji dear friend, Nintendo still exists.
If this was the case no one would stop Sony at Japan, since Xbox is basically non existant there. Who puts Sony in their place there? Microsoft?
 

ZehDon

Member
Interesting video, but it's largely reiterating the point that's been repeated - including by myself - around these parts for a while now. Microsoft can't compete with Sony in the traditional model so it's changing it's approach to find success. This isn't some kind of revelation, and Microsoft aren't the only ones who've had to do this. Nintendo did the same thing after having their teeth kicked in, carving out the handheld market for itself, and they've been printing money ever since. Unless Microsoft has a miracle tech breakthrough that solves the speed of light problem, I doubt cloud gaming is going to be the arena where they find that kind of success. Instead, Microsoft is clearly shifting their hardware platform approach. This means they're deliberately selling less hardware, but their hope is that it'll allow themselves to sell more software by offering their games on more devices overall. That's the death of the Xbox console platform, and a transition into basically a third party publisher who has their own hardware as a side hustle. Whether that's a good thing or not is up to the individual. For me, it means there's one player left in the console space, which means the console space is about to get a whole lot worse.
 

MrA

Member
Good to see microsoft is exiting the video game industry with all the dignity and grace of a hungover sailor stumbling out of a brothel at reveillie
 
This article was supposed to come out while everyone was laughing at Sony for Concord. It's a bit too late when Astrobot has made people love Sony again.
 
Using GamePass Cloud as a positive thing for MS gaming strategy has been off to me for like 2-3 years now. Geforce Now is better. When Stadia was around, it had the best streaming performance and it's catalog was getting to become solid before Google shut it down. Amazon Luna streaming experience is better than GamePass Cloud just a smaller but growing library. PS+ Cloud is also supposed to have better performance than GamePass Cloud. Gamepass Cloud wasn't good in 2020 when I first tried it, and it didn't improve much by the time my GamePass sub ended earlier in the year. The Cloud part of GamePass Ultimate is the weakest selling point of it currently in my opinion
 

Danjin44

The nicest person on this forum
Danji dear friend, Nintendo still exists.
If this was the case no one would stop Sony at Japan, since Xbox is basically non existant there. Who puts Sony in their place there? Microsoft?
I feel like Nintendo is mostly doing its own thing and not directly competing with Sony.
 

Ebrietas

Member
Why do I feel like these same articles/videos were made in the lead up to the current generation as well...

Xbox. Always failing, but somehow always onto the next big thing.
 
Why do I feel like these same articles/videos were made in the lead up to the current generation as well...

Xbox. Always failing, but somehow always onto the next big thing.
damage control and spin. I wonder of this is an answer to the Pro or MS is going to have some news in the near future
 

ZehDon

Member
Maybe that is the only space the console market can afford, similar to the GPU/CPU market
Well, traditionally we've always had more than one. In fact, we had the "big three" for the better part of the last twenty years. I believe the market can afford more than one, but I think Xbox screwed up its position so bad for so long that people just walked away. And that's totally fair - Xbox has to earn its business, and it won't with non-sense like Redfall and disappoints like Halo Infinite, Forza Motorsport, Hellblade 2, and on and on. Combine that with Sony's concerted efforts to push them out through their dealings, and it makes sense for Xbox to back away. But that just leaves one player in the space. Regardless of how we got there, that's a bad thing. We're already seeing Sony launching their most expensive hardware ever, already pushing up game prices, and already pushing up their service prices while delivering games like Concord. Imagine what'll happen when Xbox has fully withdrawn and Sony has the market all to themselves.
 
Well, traditionally we've always had more than one. In fact, we had the "big three" for the better part of the last twenty years. I believe the market can afford more than one, but I think Xbox screwed up its position so bad for so long that people just walked away. And that's totally fair - Xbox has to earn its business, and it won't with non-sense like Redfall and disappoints like Halo Infinite, Forza Motorsport, Hellblade 2, and on and on. Combine that with Sony's concerted efforts to push them out through their dealings, and it makes sense for Xbox to back away. But that just leaves one player in the space. Regardless of how we got there, that's a bad thing. We're already seeing Sony launching their most expensive hardware ever, already pushing up game prices, and already pushing up their service prices while delivering games like Concord. Imagine what'll happen when Xbox has fully withdrawn and Sony has the market all to themselves.
Didn't you find it strange how quickly and abruptly Google backed away from gaming?
or Amazon, which has been in gaming for a while, really hasn’t taken off?... maybe Netflix can be next challenger.

I think this industry is incredibly tough. What we’ve been experiencing over the last five years is its consolidation, so we are living in the worst time. In the next five years, things should settle
 

odhiex

Member
I think Microsoft is betting on the wrong future of gaming, but what do I know? I am not an analyst, just a person who likes video games.
 

Mr.Phoenix

Member
Serious question, wouldn't Xbox make more money if they just dropped the console and all this cloud stuff, focused on releasing games for PC and Playstation, and turned the Xbox into a PC store, where membership to said store is called gamepass?

I mean, why are they still even trying... they are just bleeding money. How much more do they have to lose before it's enough?
 

Danjin44

The nicest person on this forum
Wouldn’t that mean Sony (and gaming in general) are better off without Xbox around, or do you hate current state Nintendo?
What? I actually really like Nintendo this gen, it’s Sony I’m currently not happy with.
 
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