370°

Analyst reports Microsoft slashing Xbox 360 build plan by 40%

Pacific Crest analyst, Michael McConnell reported this week that rapid deterioration of consumer demand has forced Microsoft to slash its Xbox 360 build plans by 40% for the fourth quarter.

In his recent report of looming difficulties facing the chip sector, according to the Wall Street Journal, McConnell reported that he has “become alarmed by the rapid pace of deteriorating demand forecasts for Q4, the consistency of these findings throughout every level of the supply chain, and, most important, the magnitude of next quarter’s projected sales declines at semiconductor component vendors, which we believe to be underestimated by investors.”

Along with Microsoft, McConnell has also reported that HP and Acer have both also reduced their build plans.

Read Full Story >>
smgamers.com
ranmafandude4969d ago ShowReplies(3)
ndibu4969d ago

Correct me if I'm wrong but isn't this xbox 360's best year as far as demand and sales?

Anon19744969d ago

The last 18 months Microsoft reported, 360 sales were off 4 million units from the 18 months before that. Out of the past 5 quarters reported, only one quarter had positive year over year growth and in the first six months of the year alone they trailed the PS3 by 1.6 million consoles according to official numbers. On top of that Microsoft has been reporting (up until last quarter) a full year of declining revenue from the 360 console and declining software sales - offset by increased XBL revenue.

Since the 360s went on sale worldwide in Mid July we've seen a spike in 360 sales in the US but no official numbers are available from Microsoft for that time period, and the recent spike we've seen in US numbers probably has more to do with the price cut on old consoles then it does with the limited quantities of the 360s that are available.

And now it looks like Microsoft is dramatically trimming their 360 production. It appears there's a bit of a disconnect between how well Microsoft says they're doing with the 360 and what their actions tell.

Forbidden_Darkness4969d ago

Great reply Darkride66, you defiently deserve a bubble for that. The XBL revenue makes me wonder if that is the sole reason that upped the price to 60 dollars, to make a bit more because of falling 360 sales? Which isn't a big price increase, but there's nothing to really back up why they raised it for the gamers side of it, and with alot of gamers finding it hard to buy things in this economy, ten bucks is alot, especially for people who are getting hours cut or being laid off.

Nineball21124969d ago

You know, that makes sense to me. As Forbidden says, the increase in the price of Live may very well be due to the fact that there is declining revenue from the hardware side of things.

It'll be interesting to see the official numbers from Microsoft's financials when they are available.

dabri54969d ago (Edited 4969d ago )

The whole reason why Console makers can't make their systems life spans last longer than 6-7 years before releasing another system is because of this. They have to continue to sell lots of systems and they have dried out the market by that point. I expect to see new consoles announced at this years E3 with continued support of the current systems for another 5-7 years after (like the ps2 and ps1 did).

***********

@disagrees
Look at every console released thus far in the industry. How long of a life span did it have before the next iteration was released? This doesn't mean the company stopped supporting it, they just released the new product. To think that Sony or Microsoft or even Nintendo will just sit on the current gen consoles for another 5 years is ridiculous. I know some of you only just bought a console because of the price but that doesn't mean you didn't just buy 6 year old consoles.

outrageous4969d ago

Great piece...and Xbox 1 lost 3.7 billion...lol. How far back does this clown want to go...Who are all the people who are buying the new xbox since June???...LMFAO. How does he think Halo reach, Fable and CoD are gonna do for the 360 this holiday.

@Darkride66...keep crying, many analysts are predicting M$ may jump out in front of Sony by 10+ million units by the time the holidays are over...lol. It's been 5 years and Sony is still in last place, even with M$ not selling anything in Japan. XBL is the envy of the entire gaming world and has generated 1++ billion dollars. What was M$ net profit last year...exactly. Why don't you talk about Sony's 100's of millions lost every quarter...lol...oh yeah, that's right, Sony's on top, starting at the BOTTOM.

JBroken4969d ago

The guy asked about 2010 being the best year so far then you go and give him a long speech about the past 18 months

Nineball21124969d ago

Wha?

18 months = 1 year + 6 months.

According to my world, this is Sept. 2010.

So, less one year = Sept. 2009
Less 6 months = March 2009

Umm, yeah... 2008, not so much.

Wh15ky4969d ago (Edited 4969d ago )

The reason that new consoles are released every 6-7 years is advancements in technology not a "dried out market". The big profits are not made from hardware sales, they are made from software sales.

I think a new xbox and Wii COULD be announced next E3 but not because of their markets being "dried out" its because the technologies in their current systems are becoming very dated.

nickjkl4969d ago

why do you have one bubble that post is godly

4969d ago
Oner4969d ago (Edited 4969d ago )

@ outrageous ~

-----------------------------
"many analysts are predicting M$ may jump out in front of Sony by 10+ million units by the time the holidays are over...lol."
-----------------------------

LOL is right. You keep hoping for that one to be true.

-----------------------------
It's been 5 years and Sony is still in last place
-----------------------------

Bzzz Wrong. #1 because the PS3 has only been out for ALMOST 4 years. But mainly for #2 because you said "SONY" which has PS2, PSP & PS3 just like Ninty has Wii & DS, Microsoft ONLY has 360 in the console market and are TRULY the ones dead last if you want to speak reality.

-----------------------------
...M$ not selling anything in Japan.
-----------------------------

You got that partially right!

-----------------------------
XBL is the envy of the entire gaming world and has generated 1++ billion dollars.
-----------------------------

If you think off the backs of people who have absolutely no choice to do so is "cool". Because everyone who has a

Wii
DS
PS2
PSP
PS3
PC
Hell even those who had Dreamcast's

All get the same ability (and some actually more) FOR FREE! But I ask what does M$'s "generated profit have to do with YOUR GAMING?

Nothing.

You play sales while EVERYONE else plays games...and honestly (especially right now) the 360 is in dire need of exclusive titles to keep up.

The Lazy One4969d ago

"and the recent spike we've seen in US numbers probably has more to do with the price cut on old consoles then it does with the limited quantities of the 360s that are available."

maybe last month. The S has been out for 2 months, and the sales are only going up. If it were more isolated to June, then maybe you'd have a larger point, but there's little evidence that 360S's are not selling.

Since the launch of the S, the worldwide sales of the slim have been doing better than the PS3 slim did originally, and without a $100 price drop to go along with it.

+ Show (8) more repliesLast reply 4969d ago
Kain814969d ago

i think it has more to do with the stockholders. The stockholders/Investors are against the 360 division... http://www.businessweek.com...

Non_sequitur4969d ago

I guess this may have to on how they report their inventory in their balance sheets.

4969d ago
sack_boi4969d ago

This crapticle makes no sense at all.

commodore644968d ago (Edited 4968d ago )

well, what do you expect?

It was written by none other than darkride66.
It was submitted by none other than darkride66.
SMGamers.com is darkride66's blog.

The actual post from Barron's reports weakening demand across the ENTIRE chip sector, not just what the headline implies.

What's more, the 40% reduction in production for the 360 is likely a ramping down of production after extra 360s were produced for the expected spike in demand following the release of the 360s.
This was to be expected, ceteris paribus.
Darkride66, however, conveniently neglected to mention this.
Is anyone surprised?

As a perfect parallel example, the ps3 experienced a similar spike in demand following the release of its ps3 slim, and subsequent reduction in demand and production last year.
http://www.escapistmagazine...

Funnily enough, the author darkride66, seeks to spin this as a specific negative for the 360, when cutting back production is actually a feature of the entire 'chip industry' and not restricted to the 360 alone.
Why does he do that?

How is it that this has become a specifically negative 360 spin, when in fact a multitude of related industries are experiencing the same circumstance?
It makes no sense.

Unfortunately, we all know that Darkride66 has often made analytic excuses for the ps3 profitability, blaming the global financial crisis and the appreciating Japanese yen for the PS3 losses.
Yet, now, he doesn't seem willing or able to apply the same business sense.

I honestly wonder about that guy.

Now I am just waiting for Darkride66's multiple account 'Coljessup' to show up.

ColJessup4968d ago (Edited 4968d ago )

You keep accusing me of being DR66, yet I haven't got a clue why. Just because I call you on your crap? How many other users who disagree with you do you PM accusing of being DR? If you think everyone who thinks you're full of it is DR, you must see Darkride everywhere. "Ah! He's over there! Now he's over there! He's everywhere!" That's a little freaky if you ask me.

I PM'd DR and know a bit about what you're about. I haven't been on this site long, but one thing that's consistent, whenever I see you posting it's crap. At least DR makes sense and sticks to the facts. You should try it sometime, instead of lies you push. "It's just ramping down because of ramping up!"

Brilliant. Now try to prove that just isn't a bold faced lie that you made up. Where's the proof that Microsoft is ramping down because of increased production? All I see is an analyst saying MS is ramping down because of falling demand. The numbers DR gave above seems to back that up. A whole year of falling sales? Spin that, loser.

I don't know if this site is DR's blog and frankly I don't care. He links right to article and it says clear as day, Microsoft is cutting 360 making by 40% due to falling consumer demand. DR's article is right on the money as far as I can tell.

And what's this BS about ramping down production? Don't you think the analyst - who tracks the industry and chip sales would know if this was the case? And Microsoft didn't ramp up anything. The fact is the 360s is in short supply and Microsoft said they're in short supply. Why would they ramp down if they can't keep up with demand? Why don't you use your head?

You accuse DR of spinning this negatively. And then you try to positively spin a forced 40% cut in production. Do you have any clue how much of a loser that makes you look?

I look forward to continuing to shoot down your crap with plain, old fashioned logic. I'm pretty sure everyone already knows what a troll you are - but it's fun to cut you down because you're so out to lunch with your comments. You can't argue, so you just invent crap. It's hilarious.

Pretty obvious to me, you can't handle the truth!

Dragon_Hiko4968d ago

Very nice. +Bubs for owning the 'intelligent' trolls. ^_^
It's just so refreshing to know a few people can actually use their brains like you. Haha

Omega44969d ago

If they are having to cut down and they are still selling so much they should definitely be able to keep up with console demand when Reach and Kinect hit.

Forbidden_Darkness4969d ago

I just don't see Reach giving them more console sales, anyone who likes the Halo franchise or ever wanted to try it, should already have a 360. As for Kinect, time will tell, i'm wondering how it'll fair with new comers.

T9X694969d ago (Edited 4969d ago )

Halo Reach limited console, people that already own a 360 will sell theirs just to buy that one. That's like saying GT5 isn't a system seller because anyone who wanted to try GT should already have a PS3.

@lokiroo420 - Doesn't matter there is still a next gen GT game on the PS3, if you wanted to play GT on your PS3 its possible.

Halo isn't a system seller but GT is? Get the fuck outta here with your fanboy BS.

Halo Reach has over 2 million pre-orders which is more than most PS3 exclusives sell in the entire existence, to say its not a system seller is just idiotic. Some of you guys try so hard to spin the dumbest shit its not even funny.

EDIT:

http://www.amazon.com/gp/be...

Look at #4 on the list, and you're going to tell me Reach isn't a system seller? This is just Amazon to, that's not including every other retailer around the world. You kids are in denial.

lokiroo4204969d ago (Edited 4969d ago )

No its not the same as people wanting gt5, there hasnt been 3 games released with the gran turismo name.

edit:
"Halo isn't a system selling but GT is?" Care to write that in English?

fooltheman4969d ago

what hit what? all those angry moms that throw disfunctional kinect at your head?

wollie4969d ago

Except a real GT games hasn't been released for the PS3

lowcarb4969d ago

Halo has become a must have household name title unlike GT5. Because of this just like the Wii I can see many newcomers jumping on the Reach360 bandwagon. If gamers wanted a console to play GT5 so bad they would have already purchased one for Gt5p by now. This holiday will end the speculation once and for all.

likedamaster4969d ago (Edited 4969d ago )

Sounds like the same regurgitated bullcrap I see on every other thread about Halo.

Halo moves consoles.

nnotdead4969d ago (Edited 4969d ago )

all of you are idiots. big games will bump console sales. i doubt Reach will have the same impact as Halo 3, but it will have one non the less. GTP isn't GT5. i have no idea how one could argue Reach will push consoles but GT5 won't, because GTP already came out.

+ Show (4) more repliesLast reply 4969d ago
UNCyrus4969d ago

US isn't the only region that matters, you forget that

frelyler4969d ago

I get what you are saying, however there have already been three halo games thus far in the 360's life cycle. There have been ZERO GT's and a lot of people have said in there comments all over the web that they are waiting to buy a PS3 until A:) a price drop or B:) GT5 comes out. There has already been a price drop so I would imagine there would definitely be a sales boost. The same could be said for 360 IF there had been no Halo games this gen yet, but that is simply not the case. Just thought I would point out your failed/ lack of logic. Also you seem so angry do you need a hug?

Steve_Urkel4969d ago

"There have been ZERO GT's"

Really big guy? What about the 5 million copies of GT5P sold?

OC_MurphysLaw4969d ago

Many don't recognize the existence of GTP as it will upset them to know they paid $40 for a game that gave them 1/4 of what they will pay for GT5 proper.

GTP is a slap to the face when you compare what it offered fans versus the real deal.

But remember....GTP does not exist and therefore cannot be used against a fanboy argument.

Trebius4969d ago

It's not a full game, nor was it expected to be received as one, considering there was a GT3p years ago, which also sold millions, then the release of GT3 doubled it.

scofios4969d ago (Edited 4969d ago )

@Dlacy13g
halo odst that dlc that is sold for full retail price remember .
and cackdown 2 ?? . but he cannot be used against a fanboy argument.

OC_MurphysLaw4969d ago

I will give you Crackdown 2 as I felt that game did very little to change anything from the first and very much felt like an add on.

Halo ODST I will argue. Yes it was a short campaign...but it was good, fire fight was such a tremendous addition to the series and game play that it really made it a real game to me.

Now...would I be upset if either of those two games had been priced at $40 instead of $60? Nope. I think especially for Crackdown 2 $40 was the right price not $60.

If GT5P was a demo as you say then it should have been priced like one. Not $40 like they did but at most $20 and even that is a stretch. I am sorry but no "demo" is worth $40.

Back on topic...the whole point of this is 5 million people did buy the GT5P "demo" and thus the thirst for a GT game on the PS3 has been addressed...albeit in demo form.

dragon824968d ago (Edited 4968d ago )

Well if a overpriced "DEMO" of GT5 sold over 5 million copies (PSN purchases are not added in to the sales figures). Imagine how many copies the "REAL" game will sell.

Can't we all just agree that GT5 and Halo Reach will both be sales juggernauts??

+ Show (3) more repliesLast reply 4968d ago
frankymv4969d ago (Edited 4969d ago )

the 360 is showing its age. tick tock.

memots4969d ago (Edited 4969d ago )

I was really suprise how quickly it started to show its age. I mean there hasn't been much evolution in the game that was released. It seems to have peaked out a while back now.

But i have high hope for Reach. I have a bunch of card for 1 free month of Xbl Gold that will get used when this comes out.

DigitalRaptor4968d ago

The golden age of the 360 has been. It's gone!

Now only Halo and Gears fans should see the need to buy one.

Reach is the last quality Halo from Bungie, and Gears of War 3 is the last in the series as far as I know. Kinect is epic fail for the core 360 supporters and there's been very few signs of Microsoft's interest in the hardcore, especially regarding exclusives.

There's so much vitality left in the Playstation brand currently, especially if you looks ahead at all the exclusive new IPs, promising sequels and the fresh way in which publishers and developers now see the PS3 as a completely viable platform:

Valve, EA, Capcom, Bungie and many more.

2009 was a major turning point, if not 2008 (with MGS4 and LBP). And now all I can see is great things ahead!

This comment will probably get many disagrees, and I can't help those of you 360 fans who might get a butthurt reaction from it, but it's Microsoft's fault, not yours - remember that!

lokiroo4204969d ago

Greenturd cant spin this into an NPD victory.

Show all comments (115)
280°

Xbox's Preservation Step Sets A Much-Needed Example, Especially For Nintendo

Hanzla from eXputer inquires: "If Xbox can care about preserving its games and legacy, what exactly is wrong with Nintendo, trying to kill game preservation single-handedly?"

purple1014d ago

Ahh yes the good old game preservation of saving all your games to a removable hhd on the Xbox 360, taking it round your mates house, setting up multiple tvs to
Be met with “save data corrupted, please re download”

Or how about removing 360 games
From the store
, download them now or else, and, better hope to god that save data doesn’t corrupt, or it’s lost for ever

Nice one ☝️

Zeref4d ago

It's better than what Nintendo and Playstation is doing. It might not be perfect but at least they are TRYING. Unlike the others.

DarXyde4d ago

Trying? Take off the blinders for a moment, mate.

1. A failure to preserve games is just that: a failure to preserve games. Don't try to sugarcoat it: NO ONE is doing it properly. Better than awful is nothing to write home about.

2. At the time of this comment, isn't it the case that you need an internet connection to play Xbox games even if you buy physical discs that are hardly in circulation anymore? I don't have a Series X and I can't verify, but I think that is correct. I'm fairly certain you can at least play PS5 games at version 1.0 (not much of a win really when many games require day one patches). I think Microsoft's all digital, licensing approach is by far more aggressive than anyone else's. They really try to push you to game pass where you lose your entire library by umm.... Skipping a month of payments.

I don't think anyone is doing it right whatsoever. Don't get me started on Nintendo, who goes after anyone looking to preserve their games better than they ever would with extreme litigation.

Don't be a simp for any of these companies. Get it together.

PhillyDonJawn4d ago (Edited 4d ago )

@DarX never speak on Xbox again. You lost all credibility with your internet connection comment. Smh you have 0 clue and misinformed yet speaking on something you don't no squat about.

Einhander19724d ago

What has Sony done exactly? You guys keep deflecting to Sony but I am not actually seeing any results, and ai am certain nothing that you can come up with even comes close to what Microsoft has done and what they have tried and failed to do, like tie all your disks to your account on xbone.

Microsoft removed their whole indie section when they moved to the xbone because they were going to only allow games on the service that came from a publisher, id@xbox started after xbone launched and it only exists because Sony embraced indie and Microsoft was forced to cancel their plans and reverse course.

And every single game that was part of games for windows live including disk games (I have gta 4 on disk that won't work) so hundreds of games that use that DRM no longer work unless the company themselves patched it out which of course very few did.

MrBaskerville4d ago

Not trying. Tried. they killed of the backcomp program years ago. They set something up again, but sounds like it's more of an attempt to save the current library on whatever they are planning next. With luck they save everything and more, but let's see. I could see them killing off parts of the OG xbox and 360 libraries. Can't imagine that they would allow us to play Forza 5-7 in the future.

With that said, I do like what they've done and really wish they could have done more.

shinoff21833d ago

Zeref

So killing off physical media is trying what exactly. Ms don't really give a fk if you think they do your kidding yourself.

Profchaos3d ago

They are not trying this team is established for forward compatability the team is. It interested in preserving Xbox or 360 games.

+ Show (3) more repliesLast reply 3d ago
isarai4d ago

Is that why Hellblade 2 is digital only?

Zeref4d ago

Just because it's digital only doesn't mean you can't preserve it. Just put it on an external and you have the exact same functionality of what a disc does.

MrNinosan4d ago

Guess you're trolling, but if you actually think that's how it works, I'd recommend buying some braincells.

mkis0073d ago (Edited 3d ago )

Volitile vs nonvolitile data. A disc will not corrupt either. A drive can be corrupted.

Einhander19724d ago

This is just a scammy PR move to distract from the fact they are going digital only and trying to push streaming and subscriptions only.

No gaming company has pushed harder to remove ownership than Microsoft.

Without discs there is no preservation, preservation can't be done by the rights holders it can only be done by the consumers, anything else is a lie.

4d ago Replies(3)
Einhander19724d ago

Anyone remember xblig which Microsoft removed their whole 360 indie section removing hundreds of games from people?

4d ago
4d ago
Zeref4d ago

Do you know you can put your games on an external and preserve them that way? There are no benefits to discs. ZERO. Idk why some of you are still obsessed with them.

DarXyde4d ago

Because games like Persona 5 exist. It's STILL V1.00. On Playstation, that's a win because 1.00 is installed on the disc—no need to download anything.

If a game does not require any updates, it's all on the disc.

Extremely low bar in the modern era, of course. It's not much of a win by any stretch.

But for now, physical media does have a purpose, at least on Playstation.

Einhander19724d ago

That is factually not how game licensing works, try plugging your hard drive into someone else xbox, It's not going to work, and it won't work if the licensing servers ever go down.

Einhander19724d ago

Anyone remember games for windows live.

I have around a dozen games, some on Steam itself that will not work because Microsoft shut off the licensing servers.

BehindTheRows4d ago (Edited 4d ago )

I do. I STILL have games (Gears of War being the big one) I cannot access because Games for Windows LIVE is total garbage and no one has held Microsoft accountable.

Zeref4d ago (Edited 4d ago )

You don't have an Xbox apparently. Because you can 100 percent plug in your external and play games from it on any Xbox console lol. You just have to be logged in to prove ownership.

Chevalier4d ago

"You don't have an Xbox apparently. Because you can 100 percent plug in your external and play games from it on any Xbox console lol. You just have to be logged in to prove ownership."

Damn how many times do people got to explain your idiocy to you? You can take a copy of Persona 5 like someone used as an example and play that game on ANY console WITHOUT logging in which means I can lend the game to a friend without internet and they can play my game. Can you lend your hard drive to anyone without logging in for them to play? NOPE. That is a huge difference and if you think otherwise then sorry you're an idiot.

Tacoboto4d ago

"No gaming company has pushed harder to remove ownership than Microsoft."

Ubisoft is literally erasing games people bought from their libraries... My PS1-3 discs are useless on modern hardware. Nintendo's re-published and resold almost their entire Wii U library, and the eShop is completely dead with no BC mechanism in the Switch software. Microsoft publishes everything they make today day one on Steam and Xbox/Windows. Sony only brings to PC the titles they think you might want some years later and Nintendo won't even design a functional long-lasting joystick.

You're absolutely trolling and not serious if you think Microsoft today is the worst offender.

shinoff21833d ago

Yay steam

Not everyone fks with computers though. The disc is still the best way as a console player. Period.

Tacoboto3d ago

How do Sony and Nintendo feel about these discs from 2001-2013?

Don't be stupid, you know Xbox is the best at this today.

+ Show (3) more repliesLast reply 3d ago
Hofstaderman4d ago

Nobody wants this. Sales or the lack of it in the case of XBOX is very telling. I wonder how the adorably all digital series X will fare. Adorably dismal perhaps?

crazyCoconuts4d ago

Only time will tell, but for from someone like me suspecting that Xbox is trying to gracefully exit the console market, that "forward compatibility" team is trying to get Xbox games playing on Windows PCs. I mean, it's nice that they're not planning on exiting with a "enjoy your games while the hardware still works" message, so that's nice. They still have a brand to protect via Microsoft so probably feel obligated to have a better exit strategy.

Xeofate4d ago (Edited 4d ago )

That is not their plan, their plan is to transfer users accounts to the cloud.

Phil Spencer himself said as much a few months back, plans could have changed but I think people are reading way too much into one statement where Phil said he would allow Epic on xbox because he wants to be able to sell xbox games directly on other platforms. Aka, instead of selling Sea of Thives through PSN he wants to have an xbox store to sell his games on PlayStation without giving PlayStation any money.

Again, it's extremely unlikely that Phil plans to put PC on xbox and licensing would prevent them from just giving out other publishers games purchased on xbox copies of thier games on PC, Microsoft does not own their games.

crazyCoconuts3d ago

The thing that doesn't align with the cloud strategy is the giving up on exclusives. You'd still need strong exclusives for cloud streaming - it's still a "platform" , just with a lower upfront hardware investment. I feel like they've learned what PS learned with PSNow long ago. We're not ready to stream games and it's only gonna lose them money to try at this point

FinalFantasyFanatic3d ago

I would love that, I'd buy up some of the Xbox games if they could run on PC, like the Rare Replay, Lost Odyssey and Dead or Alive Ultimate, probably a pipe dream though.

Show all comments (43)
370°

Could Xbox Soon Become The Next Dreamcast?

Microsoft's future in the video game space is murky right now, so let's break it all down.

Read Full Story >>
thegamer.com
ApocalypseShadow16d ago (Edited 16d ago )

Not anytime soon. But they're on that path.

One thing not mentioned in the article is Microsoft's money bags. If Sega had Microsoft's money, they would have still been around as a hardware manufacturer. Xbox as a platform only survives because of the money bags. They can continue making consoles for the core and port to PC.

The multiplatform strategy is only the result of arrogance and misguided leadership that blew up in their face. They thought gamers would jump on Xbox in droves if they knew that many of their favorite games would be only on Xbox. But that's not happening at all. Sales didn't increase. They decreased. Why? Because the dumb asses thought giving away these expensively made games in a cheap service would also turn the tide.

Gamers on other platforms are willing to buy quality. They don't need to be handed nearly free games in a service that aren't even finished and sometimes average in their development. Gamers buy Nintendo games. They buy Sony games. Microsoft groomed their base to not buy games. Even the quality ones. It has always been their plan to go digital. But most gamers still like single player gaming. Still like physical releases.

Microsoft's problem has always been that they don't produce high quality games at the same output as Nintendo and Sony. Actually, they should be producing quite a lot more because they're worth over 2 TRILLION. How they don't have more is ridiculous and no excuse. Buying publishers to take away from competition only backfired. Because it still takes millions of dollars to continue to make those games from the publishers they snatched. Their only choice was to crawl back to their competitors to help sustain those developers because Nintendo and Sony platforms were the ones buying games.

Am I sorry for Microsoft? Hell no! They deserved last place for putting in the least effort. They deserved the fallout for buying up the industry and didn't make a single blip on the radar against their competitors where they now need those same gamers they took away games from to support them. Part of it may have been to cash in on their competition. But the result is the slow death of their platform. They may go 3rd party. They may keep making hardware. I don't give a shit about them to worry about it. I only give a shit about the destructive nature of their industry moves that only negatively affect gamers. They could sell and drop out of the industry and I wouldn't blink. Probably laugh. But not blink. They deserve whatever comes to them. At least Sega put in the effort when it came to games. They just had poor leadership. Microsoft has poor leadership and barely makes memorable games. That's a killer combination. And not in a good way.

Cacabunga16d ago

That would be an insult to Dreamcast.. it had a crazy line up of legendary critically acclaimed games.

Crows9016d ago

I was thinking the same. Dreamcast had incredible games in such a short amount of time. It was truly exceptional.

darthv7216d ago

...and yet all those great games were not enough to sway people from the looming release of the PS2 at the time. Sony just has that kind of brand loyalty.

Cacabunga16d ago

Darth

I do not agree.. Sony had even better games thanks to an unprecedented 3rd party support..
DC had amazing lineup but 90% were arcade games..

88315d ago

@darth:
And Sony showed off "The Emotion Engine" and their real time demos that made everyone think they would miss out on REAL next gen 128bit magic if they jumped in before PS2s polygon pushing monster (and early lack of anti-aliasing with a healthy heap of shimmer + DVD playback) stepped up. PS2 was a fantastic system though with amazing games.

+ Show (1) more replyLast reply 15d ago
blacktiger16d ago

That's not true. Just because Microsoft has the money doesn't mean Microsoft can allow xbox to bleed entire Microsoft money. It doesn't work like they. Also SEC will be watching and investor won't allow it. Lot of reasons why Microsoft can not continue even if they wanted to. SEC regulations is expensive.

fr0sty16d ago (Edited 16d ago )

Exactly this... Microsoft is a publicly traded company, mostly owned by their shareholders (Approximately 59.24% of the company's stock is owned by Institutional Investors, 7.73% is owned by Insiders and 33.03% is owned by Public Companies and Individual Investors.). Their shareholders call the shots on the business decisions, and their shareholders want one thing and one thing only, for their stock price to go up. Losses do not make stock prices go up... so if the division continually posts losses on hardware, but shows profits on software and services (which has been the case with Xbox its entire lifespan, for over 20 years now), the shareholders are going to grow impatient and demand they stop making hardware and focus on the only thing that has ever made them money, software and services.

When Microsoft bought Blizzard and Activision for almost 100 billion, I knew that was the nail in the coffin for Xbox as a console... as the shareholders were going to expect a quick return on that investment, and when it didn't materialize, they were going to be out for blood... out to force Xbox to sell those games on as many consoles as possible, "and while you're at it, sell those first party exclusives that aren't selling well on other consoles as well... hell, just stop making consoles and sell games."

If there is another Xbox console generation, it will definitely be the last, but I doubt there even will be one at this point. I think the Xbox division planning on it just in case, but I don't think the project has been greenlit from Microsoft itself. The rumors that they have not yet even secured the chips needed from the chip fabrication facilities ties into this.

shinoff218316d ago

While I usually agree with you . Alot of what was said can just also be asked before any of that.

How long will the shareholders wait? It doesn't appear long at all

Babadook715d ago

I think I get your point. Like just because MS has money does not mean they are content to throw it away on a dying ecosystem. Xbox has to be profitable or “what’s the point?”

ifinitygamer16d ago

Money bags, yes, but are we ignoring that Xbox actually makes a profit on games and GamePass? Hardware is often a loss leader, and they're probably making profit 4 years into the life cycle, but games and services revenue have been very profitable while other parts of Microsoft's business is struggling. Say what you will about the quality of those games, of course, but this is kind of a reverse Dreamcast situation, where the console was dragging down the company and put it at risk of shuttering entirely. Killing that console saved the business and allowed it to continue to make games on multiple platforms. In this case, the service is very profitable, as are the games, and they're also double-dipping into Multiplatform to extend this further, while their hardware is just sort of what they believe to be the best for gamers and their own titles (whether that is the case or not...)

fr0sty16d ago (Edited 16d ago )

The issue is, they aren't selling enough hardware to make their exclusives profitable, and now that they've bought half the gaming publisher/dev industry, they have no choice but to go third party to make a profit... and that is making their shareholders take a real close look at their hardware division under the microscope... why keep making the hardware if the software is all that is making them money, and they continually, generation after generation come in dead last with hardware sales?

Look at a game like Spiderman 2... if it had been an Xbox exclusive, with the amount it cost to develop, it would have been a huge failure... simply not enough consoles out there to sell it on. They would have been lucky to break even.

ifinitygamer16d ago

@fr0sty agreed completely, which is why they're hedging by releasing other games to multiplatform, plus they have PC to make up for the difference in a lot of ways, which is why their games are not complete money pits. It brings up the question of whether or not those exclusives would drive sales of consoles, though. Let's say Spiderman 2 was an Xbox exclusive, it would certainly have pushed console sales, though who's to say how much is anyone's guess.

fr0sty15d ago

That's why you can't rely on just one exclusive, Sony has always delivered on a wide range of solid exclusives, even this generation (even if they haven't been strong on the first party exclusives, they've made up for it with third party). They don't rely on just one "system seller", they have a portfolio of them.

15d ago
JBlaze22615d ago

ApocalypseShadow To be honest Sony has more of a chance to go 3rd party because like you said Microsoft has money, Sony does not. Sony does not have games, Only games they have come from 3rd party. Sony has been losing money for years and you. Saying Microsoft has been putting the least effort just proves you have no idea what's been going on. All Sony has done is repeat and recycle, never innovating or doing something new. All Sony has is brand loyalty nothing else and it shows.

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LG_Fox_Brazil16d ago

Not sure about that. It's been two decades and I still think about Power Stone, Shenmue, Crazy Taxi, Jet Set Radio, Seaman and others, but I'm not sure I'll remember Xbox Series X/S games in a few years from now... Maybe I'll remember about the franchises that the Xbox brand spawned, but I don't believe that the Xbox Series lives up to the late Dreamcast or even to the Xbox name itself. I do have great memories about the 360 with Blue Dragon, Gears 2 and Lost Odyssey though

isarai16d ago

Nah, sega actually makes good games

Becuzisaid16d ago

No, Dreamcast was ahead of it's time and most still have very fond memories of it that had one. It also had some good games on it even in it's short lifespan. Xbox has none of these qualities.

Profchaos16d ago

I remember it coming out at the time in a really bad place they hit the market before the PS2 but it was during this transitional time when Sony was promoting the power of the PS2 and so many of the Dreamcast games were awesome but often third parties simply ported the PS1 version increased resolution and performance but rarely fully utilise the capabilities of the console.

I think in the end bad marketing done it in and like the GameCube so many people are fond of it now but at the time it was looked at in the lense of the day and it didn't stack up.

Personally I miss Sega in hardware they took risks that many companies won't

Becuzisaid16d ago

I never owned it, and got the PS2 right when it launched. But there were certain games it had that I was always jealous of that I didn't have access to - Sonic adventure, crazy taxi, power Stone, code Veronica, shenmue, skies of Arcadia. I always thought it was a really cool machine though. I've never heard a bad thing about it though from those that had it.

FinalFantasyFanatic16d ago

I only ever saw one Dreamcast, and that was one my friend owned, pity I never got to play it, I wonder what games he had for it?

It would be nice if some of those games got ported to modern systems.

Profchaos16d ago

Oh man sonic adventure on the Dreamcast made me so jealous as a huge sonic fan on the mega drive who also moved to PlayStation 2 I never got the chance to play it back in the day either. The Dreamcast in Australia where I am was always relegated to the smallest corner of EB Games it was kind of a strong first indicator that things were not going well at the time.

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Microsoft Rewards app on Xbox and weekly streaks to be killed off soon

Microsoft has announced the Microsoft Rewards app on Xbox will be discontinued in April and has confirmed that weekly streaks will also be coming to an end.

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