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So looks like the price cut is helping out the XB1 and Microsoft as shares rose thanks to the XB1 having a banner Black Friday.
So when you add this to the current issues at Sony like projecting over another Billion dollar loss this year, the hacks on Sony and yesterday the hack on the Sony network is the honeymoon over for the PS4?
http://americasmarkets.usatoday.com/2014/12/01/microsoft-up-as-xbox-one-crushes-it/
Comments
The short answer is no. Let's remember that it's not SCE that's losing money, it's all the electronics arms. Last year it was computers. TVs are still faltering. Forget about DVD and Bluray players.
Honestly, I think that they need to shift more focus onto their SCE & SOE divisions in order to ensure their business success in the future. Overall, though, the financial woes of "Sony" as a parent company have zero impact on the console division. They may as well be separate companies.
So, just to be clear, SCE and SOE are not seeing billion dollar losses. It's kinda like saying that the XB1 made 5 billion dollars in profit in the fourth quarter, when in fact it was MS who had that profit.
Crazkanuk
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Azarelos - 90 Hunter - Emerald
Durnzig - 90 Paladin - Emerald
Demonicron - 90 Death Knight - Emerald Dream - US
Tankinpain - 90 Monk - Azjol-Nerub - US
Brindell - 90 Warrior - Emerald Dream - US
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Fair points but you don't think the success the xb1 had on Black Friday probably this holiday season means the two are back on equal terms (talking sales not going to get into which is better as that's purly an opinion piece and I know some can get hot headed about it).
I wouldn't say even, no. They actually need better penetration in the Asian markets. Fact is that prior to Black Friday, PS4 was outselling XB1 3:1. That's just not a margin that you're going to make up in a single weekend of sales. However, I will say that it's good to see sales picking up, because I think that XB and PS need to both remain in the market to keep things competitive. Otherwise, god help us, it'll be a horrible time for gaming.
Crazkanuk
----------------
Azarelos - 90 Hunter - Emerald
Durnzig - 90 Paladin - Emerald
Demonicron - 90 Death Knight - Emerald Dream - US
Tankinpain - 90 Monk - Azjol-Nerub - US
Brindell - 90 Warrior - Emerald Dream - US
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I agree both need to be competitive and need to stick around. I'm also NOT saying Xb1 will overtake ps4 anytime soon. I just feel again my opinion that the honeymoon for ps4 is over and both consoles are now on equal ground with xb1 slowly picking up ground.
Im not sure how the ps4 fans are on this site but I can guaremtee on other sites if the news was reversed they would be calling this the death of the xb1.
Lol, yeah, many already had when sales were like 3:1. Here's where MS can win, though. They made 5 billion in profits last quarter. Period. Basically, if MS wanted they could sell the XB1 at $100 just to penetrate the Asian markets (like Japan especially) because why wouldn't you buy one at $100? They lose an additional $300 per unit, but it could, basically, level the race immediately, or even have them leapfrog Sony and end up with a 2:1. In order to do that they'd need to sell like, say, 12 million units, so you're looking at a 4 billion dollar loss on those units. You're still profitable in the last QUARTER by 1 billion dollars, and you basically just beat the hell out of your biggest rival. Now it's up to you to cement your position and deliver badass games. That's a pretty big commitment though.
Crazkanuk
----------------
Azarelos - 90 Hunter - Emerald
Durnzig - 90 Paladin - Emerald
Demonicron - 90 Death Knight - Emerald Dream - US
Tankinpain - 90 Monk - Azjol-Nerub - US
Brindell - 90 Warrior - Emerald Dream - US
----------------
The short answer is no. Let's remember that it's not SCE that's losing money, it's all the electronics arms. Last year it was computers. TVs are still faltering. Forget about DVD and Bluray players.
Honestly, I think that they need to shift more focus onto their SCE & SOE divisions in order to ensure their business success in the future. Overall, though, the financial woes of "Sony" as a parent company have zero impact on the console division. They may as well be separate companies.
So, just to be clear, SCE and SOE are not seeing billion dollar losses. It's kinda like saying that the XB1 made 5 billion dollars in profit in the fourth quarter, when in fact it was MS who had that profit.
Fair points but you don't think the success the xb1 had on Black Friday probably this holiday season means the two are back on equal terms (talking sales not going to get into which is better as that's purly an opinion piece and I know some can get hot headed about it).
I wouldn't say even, no. They actually need better penetration in the Asian markets. Fact is that prior to Black Friday, PS4 was outselling XB1 3:1. That's just not a margin that you're going to make up in a single weekend of sales. However, I will say that it's good to see sales picking up, because I think that XB and PS need to both remain in the market to keep things competitive. Otherwise, god help us, it'll be a horrible time for gaming.
I agree both need to be competitive and need to stick around. I'm also NOT saying Xb1 will overtake ps4 anytime soon. I just feel again my opinion that the honeymoon for ps4 is over and both consoles are now on equal ground with xb1 slowly picking up ground.
Im not sure how the ps4 fans are on this site but I can guaremtee on other sites if the news was reversed they would be calling this the death of the xb1.
Lol, yeah, many already had when sales were like 3:1. Here's where MS can win, though. They made 5 billion in profits last quarter. Period. Basically, if MS wanted they could sell the XB1 at $100 just to penetrate the Asian markets (like Japan especially) because why wouldn't you buy one at $100? They lose an additional $300 per unit, but it could, basically, level the race immediately, or even have them leapfrog Sony and end up with a 2:1. In order to do that they'd need to sell like, say, 12 million units, so you're looking at a 4 billion dollar loss on those units. You're still profitable in the last QUARTER by 1 billion dollars, and you basically just beat the hell out of your biggest rival. Now it's up to you to cement your position and deliver badass games. That's a pretty big commitment though.
It also makes no sense as you claim Sony losing over a billion again this year has nothing to do with PS4. When in fact in their reports they originally stated their losses would be around 500 million because of the ps4. Now their extra losses are not because of the ps4 but I'm just pointing out the ps4 is not immune to Sonys issues as you say.
Also because of the statement you made about MS having a huge profit they could go out and lose 4 billion on xb1 and still be ok proves you are very aware and are just attempting to downplay Sony and PS4 relationship.
If anyone needs to lower the cost to sell more it's the ps4 it's Sony who is in a world of hurt MS is set up perfectly for the long race.
Consoles are a loss leader. This means that they are actually sold at a loss, meaning that Sony and MS actually lose money for every console they sell. Reason being, the money is being made on the backend with services like PS+, game sales, extended warranty plans, etc. So when they say that SCE is expected to lose money due to the PS4 launch, that's the reason. It's actually a product of their own success. Since their subscription services are actually becoming profitable, getting better sell-through is actually a pretty important thing now. Shoot, with F2P games, attachment rates are almost becoming obsolete too.
So, no, Sony isn't in "trouble" with their console arm, because Microsoft (XBOX Division) would likely be losing money, also, if their console sales were similar. It's also been exaggerated by a lack of really compelling games in the launch year (for both systems).
As far as the Sony vs MS debate, it isn't that there is no impact to the console arms when the parent companies are doing well/poorly, but it doesn't mean that it's related to the console arm and it doesn't mean that the console arm cannot act autonomously if the parent company died. Make no mistake, having a rich parent company only has benefits. Actually, MS is only in the console game because they invested $500 million in advertising when they launched. Any less and there's no way they would have been able to survive. Getting an install base is still the single-most important part of this industry, though.
Crazkanuk
----------------
Azarelos - 90 Hunter - Emerald
Durnzig - 90 Paladin - Emerald
Demonicron - 90 Death Knight - Emerald Dream - US
Tankinpain - 90 Monk - Azjol-Nerub - US
Brindell - 90 Warrior - Emerald Dream - US
----------------
I dont think the Xbone will ever catch up tbh. I think MS created too much animosity before they launched with all the "we're right, and you guys are wrong" attitude they had about the policies they wanted to launch with (even if they didn't say those exact words, that's certainly how it all came off until the new guy took over the console gaming division over @ MS...never mind the fact that what they were trying to do, imho anyway, was a good thing overall). Then there's the fact that the only place the Xbox is really popular is here in the US (and to a lesser degree in Europe), in Japan they have very strong nationalism to the point where even if MS did start selling the Xbone for $100, the Japanese would still buy PS4's and Wii-U's. But lets put that aside for a moment and concentrate on the US market, as has been stated, the PS4 has been outselling the Xbone at something close to 3:1...that's crazy. Overall, as I said earlier, I don't think the Xbone can catch the PS4.
LOL...op you're funny... If X box1 was doing well this wouldn't have happened...
http://www.engadget.com/2014/11/28/head-of-xbox-japan-resigns/
You are citing Black Friday..yet that is just ONE day....what about the other days that saw XB1 floundering about, you know when the PS4 was actually selling units and not just "shipping" units....Don't think that America is the only place that determines how much success a product really is having.
Yeah, congratulations on winning a meaningless battle.
Last year analysts predicted that XBO sold more than PS4 on Black Friday but the PS4 still managed to sell more for the month by 200,000 consoles.
Also, Xbox won this battle by the only way they know how - losing money. How many billions is the Xbox division in the hole now after all the XBO price cuts and free game giveaways?
How about you wait until the November NPD report before saying "XB1 Crushes it"
Microsoft makes stupid decisions a lot of the time... I think they still make them constantly with how they have their XB1 interface... and the functionality of the kinect is poor at best. in most situations. There aren't really any games out for XB1 that I have to have... in fact the only game I'm really playing right now.. Destiny... is better on the PS4 anyways.
When all is said and done I'll own both consoles... and currently I own an XB1 when I originally wanted to go with a PS4. It was a cheaper.. easier to use.. more powerful system.
That being said I want the xb1 to do well... simply because most of my friends play it... and thats why I bought it.
I believe Sony has already won the race. Forbes reported even despite XB1's 4th quarter sales PS4 still is winning on sales 2:1 in the US, 4:1 in Europe, and 10:1 in Japan. Not to mention PS4's were still selling at an even pace until the holiday season hit where sales on both consoles rose which is to be expected.
Long story short, Sony still has this gen in the bag and likely wont lose any time soon.
XB1 ran off and did an exclusive deal for Killer Instinct and celebrated very heavily about it.
PS4 retaliates with an exclusive deal for Street Fighter 5 while still allowing it to be available on PC AND have PC & PS4 communities able to compete against each other.
I don't know about other communities but in the fighting game community, XB1 got CRUSHED.
¯\_(ツ)_/¯