220°

GameStop: next Xbox sales will suffer if used games are blocked

Retailer warns platform holders not to alienate customers

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computerandvideogames.com
ABizzel14086d ago

I was coming to say the exact same thing.

EVILDEAD3604086d ago

@ Tctczach

Well said my friend well said.

The Next gen backlash would be as bad as what Nextflix faced when they tried to seperate the streaming from the move rentals.

MS knows this and if they didn't then they got warned.

It's up to them to choose this route or not.

Evil

AngryTypingGuy4086d ago (Edited 4086d ago )

If MS alone bans used games on the next Xbox, then they could stand to lose a lot of customers. If they come to an agreement with Sony and both go this route, it could actually benefit them and the industry as a whole since used game sales actually hurt the developers and publishers.

However in order for a model to be successful where used games are banned, I think both companies need to develop a Steam-like pricing strategy, where games become cheaper more quickly, and insane deals are offered where games and sometimes bundles of games are offered at a crazy discount.

On a separate note, I read a rumor that if next gen discs come with an activation code in order to run them, places like GameStop might buy codes in bulk directly from the publisher so they can still sell used discs. It would be good for the publishers, but it would obviously drive up the cost of used games.

jadenkorri4085d ago

used sales in a part of life, video games is no exception. If MS/sony get away with it, next will be used cars, or tvs. Then we can't sell our car without giving some money back to Toyoda.

morkendo234085d ago

@ ANGRY TYPING GUY

was it not the purpose of "USED games" for people to buy the game cheaper?? who can not afford to buy it NEW??? 59.99 and some people dont buy games until the price is 19.99
used game not going anywhere soon trust and believe that.

GameSpawn4085d ago (Edited 4085d ago )

morkendo23

I have no issue with certain products being resold "used" such that the previous owner of said object gets more money then they would have scrapping said product and the buyer gets said product cheaper than buying it new. It's a WIN WIN.

However in the GameStop used game case, the original owner gets screwed, the publishers get screwed, and believe it or not you the buyer get screwed; GameStop is the only one who wins. How does the buyer get screwed lets count the ways:
1) GameStop actually make MORE from a used game they bought for say $15 and resell for $40 than one they buy at $50 (cost) and sell new at $60
2) Since the publishers are loosing revenue due to (1) new game prices get hiked each generation to recoup the losses
3) Now in addition to (2) some games require you buy an Online Pass (or something similar) at $10-$15 to enable online functionality or missing CORE gameplay features (extra missions, weapons, etc; basically content already on the disc and available if you buy the game new at no extra cost)
4) Even more so in addition to (2) GOOD developers are getting dropped due to lost of revenue both directly and indirectly from used sales
5) And lastly, game quality goes down because budgets usually get cut down because a previous game returned less than it would have with more new sales

In all used game sales actually stagnate and hurt the gaming industry as a whole and the only ones who don't loose in the long run is GameStop and their clones.

I've stopped giving GameStop ANY of my money long ago when I realized how much highway robbery they were committing with their used game sales. Seriously, they buy games at anywhere between $5 and $20 and resell them at a minimum of a $20 profit ($10 or more then they'd ever get from new games).

You know, pirating a game actually does LESS damage than buying a game used because at least it is a lost game sale to BOTH the publisher and GameStop.

+ Show (2) more repliesLast reply 4085d ago
tehpees34086d ago (Edited 4086d ago )

Gamestop would only suffer if it proved successful :P

But no this move would fail hard and fast.

Why is it when I heard the word "block" and the words "used games" I immediately thought of the word "fail!"?

Rainstorm814086d ago

GameStop still sells new games, consoles and etc...so while their cash cow in used games sales would fall off , it would hurt any console makers more in the long run especially if the competition allows used games

pompombrum4086d ago

Never worked in games retail so while not 100% sure, I was always under the impression that the majority of profit for game stores is through used game sales. It would hurt them a lot.

mwjw6964086d ago

@Rainstorm81 The last numbers are that 45% of Gamestops income is from used games. So yea it would kill gamestop profits.

dcbronco4086d ago

I'm not sure why people believe this will fail. Microsoft, Sony and the developers lose nothing by doing this. They could potentially gain the sales of people who have no choice. Many bought a PS3 despite the price, why not a regular priced game. Plus, games are almost always on sale that first week.

The used market does not benefit them. It only benefits Gamestop and others like them. Gamestop is not so valuable that MS and Sony should feel the need to keep them around. I know I wouldn't miss them. Getting rid of the Gamestops makes the industry healthier.

Darrius Cole4086d ago

NONE of what you said is correct.

The people always have a choice.

Game developers do benefit from the existence of a used game market, because used games bring money into the game market that otherwise would not be spent on games.

If Gamestop didn't make a market for used games the game market would immediately replace them with someone else.

Because specialty shops stock a few of the smaller budget, more exotic games, most hardcore gamers would miss Gamestop or its equivalent (it doesn't matter whether it was called "Gamestop" as long as it was somebody who did what Gamestop does).

Getting rid of specialty shops like Gamestop would hurt the gaming market a great deal.

dcbronco4086d ago

Do you know of some secret program where developers make money on every used games sold? I've never heard of one. All of that new money goes directly to the re-seller. None to the developers or console makers.

You're right. The market would make room for another company to exploit people on their used games. Wait, it already has made several of them. Just more leeches to bring the market down.

We're in the digital age. Rare games will all eventually be available for DL if they are really demanded. Gaming would be so much better off if they disappeared. People love to talk about being hardcore gamers. They will spend $600 for a console, but won't pay $5 more for a new game. What a joke.

Look at Black Ops on Gamestop right now. $54.99. New for $59.99. I bet they paid the person that traded it in $25. So the person that buys it used saves $5. The person that sold it loses $35. Microsoft doesn't get another $10 royalty and the developer doesn't get any of that $30 difference that gamestop gets. How does this help gaming? That $30 Gamestop gets is probably as much as the developer made.

After then develop pays royalties to the console holder, media licenses, development cost, overhead and taxes, Gamestop came out ahead. By being a middle man. An exploitative middle man.

Gamestop needs to develop a talent, provide a unique service or die. It's business model is based solely on exploitation.

But if blocking used games means that 25% of those people pay the extra $5, then gaming actually benefits. That means a developer might be able to stay in business. No one but the people that work at Gamestop and the people that own the stock benefit from used games. Oh, and the ass-clowns that run the company.

Darrius Cole4085d ago

Your second post is all wrong as well.

The second-hand market helps gaming by increasing the total number of dollars that go into the market. For example consider two scenarios.

Say that I want 3 games labeled, A, B, & C, that cost $60 each, but I only have $150.
Also say that another person wants game A and yet another person wants game B, but each person only has $30.

If there is no used game market then I will buy 2 games, and the game industry will get $120. The other two people will not get either game that they want. The other game will sit on the shelf FOREVER. Once I play my two games that I OWN they will be worthless and I can never sell them.

If there is a used game market then I will buy 2 games, play them and then sell them to a specialty shop like Gamestop, for $15 a piece. I will put the $30 I got from reselling my games with the $30 I had left and buy the third game. The gaming industry less Gamestop will get $150. Gamestop will sell the other two games to the other two people for $30 a piece.

Everybody is better off with a used game market. I more games for my money ( 3 games for $150 is less per game than 2 games for $120). The other two people got to play a game instead of no game at all. The gaming industry, other than Gamestop got $150 instead of $120. Gamestop made $30 by making the market.

It's business 101. More efficient markets are better for the masses. Gamestop makes the market more efficient and they deserve to be paid for that. Getting rid of them would make the gaming industry worse off.

Blocking used games is going to shrink the pie. The game developers would have a greater percentage of a smaller amount of dollars.

dcbronco4085d ago

Let's get one thing sorted out first. Are you under the impression that Gamestop severely undersells the developer. I have bad news, they don't. The games that most people buy are only $5 less. So those people with $30 won't be getting anything anyway. Or at least not anything that they wanted. Unless what they want is really old or was cheaper than $60 new anyway. Games like CoD and Halo will always be just $5 less than new. So there is no real savings. In fact, you can get them on sale from one major retailer or another for $45 or $50 in any given week.

I can get that game cheaper right now from Dell with free shipping than I can at Gamestop used. I can get Halo 4 for $40 from Amazon with free shipping. If you take the time to look, you can beat Gamestop any day of the week will getting a new game. Using a site like Pricegrabber let's you do it in less than a minute. So the $30 people have a better chance of getting a new copy for less money and the right people are the ones making a profit. Not some opportunist.

The same goes for the person buying 3 games. I have rarely spent $60 for a new game. When I do, it's usually with a credit or gift card offer. Which means the next game is cheaper and it comes with a card or credit. If you're really a gamer, you already know all of this.

Another thing, probably the main thing. If you only have $150 and can't wait an extra week or two on one of the games, something is wrong and you need to look at fixing that. Not trying to be mean, just a fact of life. If you won't be able to come up with another $10 in the next few weeks, maybe games shouldn't be your priority. Sometimes you just have to go without. Many, many people do. But if you can't, just take a quick look on the Internet and get all three and still save some money over Gamestop.

As for the business 101 thing. Umm, yeah. Business 101 should have been that an secondary market completely seperate from the main market does not benefit the main market in anyway. Though what Gamestop is legal, it is the equivalent of stolen goods. The money made off of the used items sold by gamestop don't make their way back to the developer or console maker in any way. No royalties are paid to the console maker. The developer pays a royalty. And the developers doesn't get a cut of Gamestop's income. So I'm confused why you believe Gamestop is part of the gaming market in that sense. Gamestop is a leech sucking the blood of another animal.

A more efficient market would be for the developers and console makers to get together and start their own used games store. That way, the money does actually go back into the industry. The only gamestop money going back into the industry is from the employees buying games with their paychecks.

Sorry, I forgot. The employees actually play the games and then re-package them as new and sells them to someone else. Dude, just sell your franchise before it's too late.

+ Show (1) more replyLast reply 4085d ago
LAZL0-Panaflex4086d ago (Edited 4086d ago )

If they just lowered games to $29.99,people would buy more new games.

They got this $60 thing in their heads and there are people out there that will only buy the call of duties.

Single player games should be $19.99 and multi/single should be $29.99, then knock off $10 for digitals. Then the game is like 6 months old cut price down.

All these rich dickfaces want $60 +tax for a game that takes 4-6 hours to knock out is insane unless there is only one or two games to choose from. So what people like me do we play em all when they hit the bargain bin, and newer games we buy$10-$30 cheaper on craigslist.

Adjust your prices and shut our pieoles. If u block used games on your "CONSOLES" people like myself will move on to steam and get less expensive games with BETTER GRAPHICS and your industry will sour even further.

Ahh,...tear :*-(

Plus free to play is gonna knock all these activisions and epic types dicks in the dirt.

MEsoJD4086d ago

Gamestop dying would be the one of the good things to come from used games being blocked.

AngelicIceDiamond4086d ago (Edited 4086d ago )

Exactly, which is why MS won't go through with it. MS hasn't shown any signs blocking used games this gen that would speculate any kind of evidence next gen.

Besides the rumored constant internet. Quick Note: That rumor could retain to piracy. Nobody's bought that up yet.

XBL has been MS saving factor in used games this gen. Hell you can pick up Alan Wake used be silver member and still play it with no extra charge. Because MS is making money off of gold anyway, not used games.

+ Show (4) more repliesLast reply 4085d ago
MightyMatt1014086d ago (Edited 4086d ago )

Pretty much common sense..... Actually even someone borderline retarded can figure that out.

InklingGirl4086d ago

Never would of thought this would come from GameStop...

Jovahkiin4086d ago

I hate used games, They're always scratched and the cases are in bad condition that's why i'll only buy new.

The real problem here is sharing games with my bro who plays a different console to me and we usually share single player only games.

We're still saving to buy two next gen consoles day one though haha

zerocrossing4086d ago

Where the heck do you buy used games from? Off the back of a truck?

Most reputable used games retailers here in the UK have have used games in near mint condition, and at next to half the price of the new sealed version that is amazing value for money.

I discourage people from buying second hand versions of brand new releases, since that would eventually hamper the industry but buying used games of titles 6 months to a year old does no harm at all IMO, and could even get you interested in a franchise you wouldn't have considered purchasing for the price of the new version.

Jovahkiin4086d ago

I bought a few from Gamestop when they had no new copies and I wanted to play an old favourite. They have always been in bad shaped. Scratched, ripped or no books, sticky cases etc.

I guess I've just had bad luck.

zerocrossing4086d ago (Edited 4086d ago )

@Jovahkiin

Well that is understandable, Im sorry to hear you've had such a bad experience with used games.

You should do what I do and demand to see the condition of the disc, etc, before buying it, that way you avoid those nasty surprises.

PersonMan4086d ago

I've never seen a scratched PS3 blu-ray/

Buuhan14085d ago

Sadly the same is not true for the US, at least in regards to Gamestop. They have no problem taking in games in bad shape, they merely deduct a "refurbish" fee from the persons TiV sometimes. GameStop doesn't even refurbish them, and most don't even test the games. People literally trade in games that won't read and the only time it becomes known is when someone else buys it and promptly returns it.

This generation has been better due to how tough Bluray's are, but last gen games are usually in horrific shape and many 360 games are in bad shape. I kid you not I'm now finding used PS3 games that are scratched!

It makes me sick really as a gamer I can't possibly understand how some people can treat their games like this. I wonder if a lot of people purposely damage their games before trading it in, or maybe they store their game discs in a bucket of razor blades that they happen to keep on their running dryer.

Many brush it off as the price you pay for buying used, but sometimes it goes a bit beyond that.

+ Show (1) more replyLast reply 4085d ago
Darrius Cole4086d ago (Edited 4086d ago )

You wouldn't be buying used 360 games would you? A lot of people still have the old 360's that scratch the discs. The used PS3 games I have bought are never scratched.

Jovahkiin4085d ago

Yeah im rocking a 360. All my games are in mint condition so can't really blame a console. Looking forward to blu-ray next gen xbox haha

4086d ago
Show all comments (63)
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?"

purple1015d 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.

shinoff21834d 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
isarai5d 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.

shinoff21834d 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
ApocalypseShadow17d ago (Edited 17d 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..

88316d 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 16d 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.

16d ago
JBlaze22616d 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_Brazil17d 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

isarai17d 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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