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Sony: We can't compete with Xbox's spending

Sony has cheekily admitted that it will never be able - or perhaps have the inclination - to spend the same amount on pushing PlayStation as Microsoft does on Xbox.

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Stealth Disagreer4995d ago

Its hard to spend what you dont make

GreenRingOfLife4995d ago ShowReplies(23)
Babypuncher4995d ago

is that why you don't have a PS3???

Dragun6194994d ago

@Stealth

Yeah, It's sorta hard to spend when you have 21 studios all trying to make AAA titles while trying to push 3D and PS Move all at the same time.

Sarcasm4995d ago

lol @greenringoflife supposedly owning a PS3.

Sarcasm4995d ago ShowReplies(4)
shoddy4995d ago

do you think it's cheap to own 21 studio?
what they are saying is they don't spend that much on ads.

thier resource are spend on quality content.

tinybigman4995d ago

I don't need Sony spending millions on marketing when they can put it towards 2-3 quality titles or some quality studios.

I don't play advertising, I play quality games this is something M$ needs to look into going forward into the future. Because I'm not going to be playing the same 3 exclusives over and over and over.

Smart knowledgeable gamers don't need adverts to know what games are coming in the future becuase we are always looking for game info.

alb18994994d ago (Edited 4994d ago )

wait, you just can't compare does two .....money talking...........remember sony is a company with a lot of owners to make decisions and Microsoft is Bill Gates the richest man on earth.

pippoppow4994d ago (Edited 4994d ago )

Sony spends the money their fans give them on games. MS spends it on marketing, apps and features. As a gamer which one benefits you more?

MAR-TYR-DOM4994d ago

HAHAHA "I'm pretty sure Sony is rich enough to do what ever MS can do." Thats DEFINATELY NOT the case, sony is like one fifth the size of microsoft in terms on Company Value my reference is forbes company values (go have a look before you disagree with a Fact). But who cares really, sony gives us GAMERS great GAMES and offers a BETTER GAMING experience than its competition and that's all we should care about.

dillydadally4994d ago

I think it's smart they only spend on quality content. Spending money on advertising big games is an absolute waste of money. I think the millions MS spends on advertising is going to make them hardly anything at all because the videogame industry doesn't work like that - people don't learn about games or choose to look into them off of advertising like other industries - it's all previews, reviews, word of mouth, etc. Maybe if you have a new IP or a small unheard of game, it would be worth it. Has an ad ever convinced anyone here to buy or look into a game that wasn't an unknown?

Anarki4994d ago

Spot on! This couldn't be more right.

Microsoft are all about advertising
Sony are all about great content.

TheTwelve4994d ago

Sony doesn't need to spend like Microsoft does. If Microsoft doesn't spend this way, they'd have less of a chance than they already have. They're attempting to buy the value of the SONY namebrand and that's priceless.

12

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timmyrulz4995d ago

Basically Sony put all of their eggs in one basket by introducing Blu ray and the Cell - They expected to cream the competition again but strong opposition from Nintendo and MS have basically shit on their bonnett

wicko4995d ago

Way to stay on topic and instead find an opportunity to troll.

tinybigman4995d ago

I'm glad they did instead of resting on their laurels.

timmyrulz4995d ago (Edited 4995d ago )

How the hell is that trolling??????

The article is about Sony not been able to compete with MS when it comes to cash, my reponse was its down to them spending all of their money made from the PS2 on blu ray and the cell and they were expecting to rake it all back with sales of the ps3, however it didnt work so thats why they cant compete!

Oh sorry i forgot, anything negative against Sony is considered as trolling

raztad4994d ago (Edited 4994d ago )

"Basically Sony put all of their eggs in one basket by introducing Blu ray and the Cel"

Yet I'm enjoying watching full HD movies and playing exclusives that raise the bar in each iteration. On top of that 3D for free and high quality 7.1 sound. It seems like PS3 owners win. Hope you are a MS stockholder.

GrooveChampion4994d ago

I think it's considered trolling because it's pretty obvious that PS3 has tech that is at least less outdated than Wii or 360. It doesn't magically make games better, but it's clear that at least first party devs are making use of the features. Sony may have gone all in with Blu-ray and Cell, but it's paid off in terms of the games we play.

On a side note, the last 12 months or so has seen a rise in the belief that N4G is a pro-sony site. 3 years ago it could be argued it was a pro-microsoft site as there were a ton of 360 articles for various games. Well, I don't know if this site actually leans either way, or ever did, as it's a news aggregation site, so when there is news, chances are someone will submit it.

Frankly, MS has had Kinect, Kinect games, Halo and Gears 3 to crow about for the past year. Last year was pretty light too and next year is looking even lighter at the moment due to no Halo being announced yet. When MS puts out the games, N4G will be brimming with 360 news again.

So when Sony has 5 or 6 high profile titles per year, and another 5 or 6 low profile titles on PSN or whatever, don't be so surprised if they get coverage on N4G. When MS does the same, they will be treated the same.

If you like, you can go ahead and name 10 titles that are coming exclusive to 360 that deserve more news time, and then submit news stories about those titles. That should give us all something to chat about.

Narutone664994d ago

It should be MS put all their efforts into the shooter genre, hence their console is only well-known as a shooter console. That's putting all your egg into one basket.

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4995d ago Replies(5)
bjornbear4995d ago (Edited 4995d ago )

he only speaks about marketing. And its true, I mean, look MS = Marketingstrategy/Microsoft, same difference xD

MS probably does marketing better than anything else they do...so yeah

I rather Sony spend all that cash on good games_/ good console

marketing means sh!t if your product isn't up to par (in the long run, short run Marketing is king)

CBaoth4995d ago

word of mouth can only sell so much. Sony's studios make some fantastic games. But I consistently get PM'ed by friends on the PS3 asking me what I'm playing. Some have never heard of it. Infamous springs to mind.

And yes, I'd rather have games instead of marketing. But the games alone don't garner sales. Consumer awareness plays a part too. Frankly, Sony doesn't have the money since they allocate their resources to game development. This is the double-edge of the sword Sony swings. I utilize the internet, I read the gaming mags; unfortunately, not every gamer does.

ndibu4995d ago

The investors cannot afford to lose anymore money into that blackhole so they decided to go with word of mouth...chuckles
Here Come The Death Threats.
Pretty lonely at the bottom huh? Of course not, ps3 has psp to keep it company

milohighclub4994d ago

sony are making profit now so they lost nothing. personally i'd rather have good games to play, than a flashy ad on tv. ms seems to think gamers dont want to play games anymore.

mantisimo4995d ago

The option to edit comments if you only have 1 bubble.

The idea is to edit mistakes, not stealth edit or edit as a dozen more replys.

Green ring I'm a looking at you.

4995d ago Replies(4)
TheGreenMan4995d ago

Is that why the Playstation brand has made $63 billion in revenue over it's lifespan?

...get a life troll.

gtamike4995d ago (Edited 4994d ago )

Better to use the money to make games than spam ads

tinybigman4994d ago (Edited 4994d ago )

most of us have been gaming since the atari days so we know our stuff, so here's a question.

does M$ think we don't know what halo is? They are going to spend in excess of $100 million for. Advertising on something we all know about already. Should they use that money on 1-2 new IPs, or a purchase of a quality studio.

If you don't know what halo is after 5 games in this series you are a bleeding idiot in my book.

The Lazy One4994d ago

M$ doesn't market to you or me. We'll buy or not buy it regardless of the marketing because we are informed consumers. They market to the other 6.19999 billion people on the planet.

4994d ago
dabri54994d ago

While Sony may not spend as much as Microsoft, I do think they spend their money on wiser investments. Sony was not known for their first party titles during teh PS and PS2 erra. They were the console to go to because they had so much love from all the 3rd party companies. Lots of exclusives too. Now they have invested in lots of first party material and the stuff coming from them is AAA material. Seems like a better investment to me considering they still get the amount of 3rd party support that they do.

Sarick4994d ago

Microsoft live subscribers help pay for advertising. Sony gives the users online free with optional services. See the difference?

Of course they can invest on advertisements when they subsidize earnings from mandatory online subscriptions to play online games. Other consoles offer online play at little to nothing.

KiLLUMiNATi_894994d ago

See if you think about it, there's no way in hell all them developers that Sony has aren't paid undercover. I'm sure all them developers such as naughty dog and guerllia games wouldn't mine going multiplatform. IDC what any one says Sony spends money too undcover not just MS. Or unless them developers are faithful to Sony, but I'm telling you money talks.

sashimi4994d ago (Edited 4994d ago )

It's easy to spend when you only have 2 games coming out a year as vs Sony's 41534563(exaggeration i know but you get the point)games per year.Then theres the 26 studios that Sony has to support...how many does Microsoft have again...?

frostypants4994d ago

Why should Sony need to spend as much as MS? The PS3 is selling faster than the 360 at a fraction of the marketing expenditure. Sony is playing this game better.

Anon19744994d ago

I didn't see that anywhere.

I hate when articles splash up a headline that isn't actually supported by the article.

mrcash4994d ago

I don't think it has to do with what they don't make, I think its more about them already taking a huge loss on the ps3 and its time to invest their money wisely.

The Xbox Empire4994d ago

"Its hard to spend what you dont make"

hhahahahahahahahhaaaaa!!!!!

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United4Life4995d ago (Edited 4995d ago )

No shit Sony would Lose.But that Doesn"t Concern me , As long as they Give out Quality hardware and software like the Ps3 and it"s games , the PS3 will always be my Premier gaming Platform.

4pocalyps34995d ago

Microsoft aren't the richest company in the world. Also, why do you put random capital letters in the middle of your sentences?

ExplosionSauce4994d ago

I think Sony spends more money in studios and games rather than marketing/advertising.

AngryTypingGuy4994d ago

"Also, why do you put random capital letters in the middle of your sentences?"

LOL.

Digitaldude4994d ago

That may be so but they aren't using their money wisely then, Xbox exclusives in the upcoming year pale in quantity to Playstaions.

4994d ago
commodore644994d ago (Edited 4994d ago )

Of course they can't.

They are already in the red to the tune of $5 billion, thanks to the ps3.
Any money that they were going to spend on the ps3 has already been used in subsidising the sale of the Ps3 hardware in the last four years.

Not trolling, just pointing out the truth.

AngryTypingGuy4994d ago (Edited 4993d ago )

Hasn't the 360 been making a profit for a while now. I think the PS3 just started making a profit only a few months ago. Commodore, where do you get your information?

Also, why is MS demonized for advertising? It's what companies do. Good advertising helped MS to outsell the PS3 in the largest video game market, North America. Now if only MS would buy a game studio or two. I think that would be best, but then again, with MS's money, they'll always be able to secure exclusives.

ColJessup4993d ago Show
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Oldsnake0074995d ago

lmao dude even apple has more money than Microsoft.

97gsx4995d ago

NO apple does not have more money then ms. NO NO NO.Microsoft kills apple in profits and profit margins. You are thinking revenue which apple only beat ms one or two quarters. Revenue means nothing really.

aviator1894994d ago

Wow, you're...misinformed.

coolbeans4994d ago

Look up these things before typing them. MS isn't the biggest company in the world either

mrdxpr24994d ago

the biggest company in the world is the goverment o.O .. yes well they are a mafia but hey so is the Vatican

Trebius4994d ago

Do some research before typing silly things like that.

PopEmUp4994d ago

what can you say from an Old Snake, he living in the past haha

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97gsx4995d ago

Microsoft has no plan to recuperate the 8 billion and counting they have lost on xbox brand. The whole point of the xbox was to get the microsft name into your tvs not just your computers. The xbox was a trojan horse and now we will see microsoft abandon the hardcore gamers and invest everything into natal. Natal is exactly what MS wanted a device to control the home using MS SOFTWARE.

Sony did the same with blu-ray but they have no intentions on screwing the hardcore gamers.Since its becoming profitable for them again.

Independent_Charles4994d ago

the whole point of the xbox is to stop the dominationof apple and co. getting a gripe on your liveing room. they might take losses but in the bigger picture its capable losses.

frostypants4994d ago

Gawd, could you imagine if Apple took over the home console market? *vomit*

Independent_Charles4994d ago

thinks about your comment* then has nightmares

Theonik4994d ago

They tried to do that. Apple pippin ring any bells?
No?
Well..
http://en.wikipedia.org/wik...

theafroman4994d ago

you're so wrong ms wont abandon the hardcore they broadening their appeal and thanks to live they'll make back those 8 billion back quick last year they made over 670 mill on subscribers alone

97gsx4994d ago (Edited 4994d ago )

The live subscription offsets the loses.Profit for last year for the whole division was around that much. The whole reason live is going up is because they need to make that money back double or investors will start selling. Also natal is gonna be a huge loss for the company many investors think it will cost 1 billion for them to release it. Microsoft has also increased costs to release on xbox live thats why developers are starting to get peeved.

dcbronco4994d ago

Sony had a separate games division until recently. MS has always included Xbox in a division with several other products. Most of which make no profit. Some are things like advertising for operating systems that run into the 100's of million a year while the profits 10's of billions in revenue from those products goes to another division. The 360 was sold at a lose in the beginning, they lose on RRoD. But the 360 started being sold at a profit around two years ago. So even in the third year when the division showed a loss, Xbox itself made money. Microsoft keeps Xbox in with a bunch of other products so they can keep the $299 price tag while making money on the console and no one complains. Do you really think Microsoft can't drop the manufacturing cost of the 360 over the last five years while Sony was able bring their cost down over $450.Microsoft has added several inexpensive parts(wi-fi), but shrunk the main chips two sizes and have now combined them. The GPU and CPU were the most expensive pieces of the console and die shrinks are where you get your major savings. Microsoft is making plenty from the 360.

PopEmUp4994d ago

theafroman fail in so many level, what a brainwash moronic M$ fanboy

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OSIRUSSS4994d ago

Exxon is the richest company in the world.

frostypants4994d ago (Edited 4994d ago )

Nah, J.P. Morgan Chase is.

The Lazy One4994d ago

actually it's walmart this year. Check the fortune 500 listings for 2010.

ABizzel14994d ago (Edited 4994d ago )

People don't realizes this, but Sony is also one of the richest companies in the world. They never make Forbes list, because they are not a unified company. Each part of Sony is ran as it's own business.

Sony Computer Entertainment aka PS3
Sony Music aka the biggest Record Label in US possibly the World (since BMG merger)
Sony Pictures aka Sony's movie, television, and mobile entertainment studio.
Sony Ericsson aka Sony phones
Sony Electronics aka TV's, Blu Ray players, laptops, etc...
Sony Financial aka Sony Life Insurance, banking, etc...
Sony Corp. aka the business side of Sony

Sony is a huge company, but until they become one company then they won't have the support to blow money like MS can and does.

SkyGamer4994d ago

Sony is unified. What are you talking about? Even Columbia Pictures has the "sony picture company" below it. Besides how many of those divisions are profitable? Also Universal says hi as they own more studios than most anyone else. sony bought Columbia from Coke and Columbia isn't even that big back then. General Electric which still owns majority shares of NBC/Universal which owns the majority shares of Blizzard/Activision sees sony like a speck on the ground.

ABizzel14994d ago (Edited 4994d ago )

Sony is not unified, if they were Howard (CEO) wouldn't have initiated a plan to bring all the companies together in order to save Sony billions.

Each company is under the name Sony, but they are not one unified business. They all run separately.

4me24994d ago (Edited 4994d ago )

I think ABizzel1 is right about structure of Sony.
The companies he listed are to some extend separate entities.

Sony Corporation is EQUITY HOLDER for all of them.

For example when you watch TV show you see "Sony Pictures" (or something like that) and not just "Sony Corporation".

I think this is more complete list:

THE SONY GROUP COMPRISES:

Sony EMCS Corporation
Frontage Inc.
Sony Global Solutions Inc.
Sony Enterprise Co.,Ltd.
Sony Chemicals Corporation
Sony Communication Network Corporation
Sony Computer Entertainment Inc.
Sony Supply Chain Solutions,Inc.
Sony Siroisi Semiconductor Inc.
Sony Life Insurance Co,. Ltd.
Sony Semiconductor Kyushu Corporation
Sony Assurance Inc.
Sony Tochigi Corporation
Sony Pictures Entertainment (Japan) Inc.
---Columbia Pictures
---TriStar Pictures
---Mandalay Entertainment (partial interest)
---Phoenix Pictures (partial interest)
---Sony Pictures Classics
---Sony Pictures Entertainment
---Columbia-Tri Star Home Video
---Triumph Films
---Metro-Goldwyn-Mayer
---United Artists
---Screen Gems
Sony PCL Inc.
Sony Human Capital Corporation
Sony Finance International, Inc.
Sony Facility Management Corporation
Sony Fukushima Corporation
Sony Plaza Co.,Ltd.
Sony Precision Technology Inc.
Sony Broadcast Media Co., Ltd
Sony Broadband Solutions Corp.
Sony Marketing Co., Ltd.
Sony Manufacturing Systems Corporation
Sony Miyagi Corporation
Sony Music Entertainment (Japan) Inc.
---Sony/ATV Music Publishing
---Sony BMG Music Entertainment
---Columbia Records - popular music
---Epic Records - popular music
---Legacy Recordings - rare and collectible in many genres
---Sony Classical - classical music
---Sony Nashville - country music
---Sony Wonder - children’s and family entertainment

lonix4994d ago

Sony network entertainment (SNE)

ABizzel14994d ago (Edited 4994d ago )

@4me2

You are almost 100% correct.

Except a lot of those companies on your list are no longer there, they've merged into one of the Sony named companies.

skottey4993d ago

Sony doesn't make the Forbes 500 list because they are not a US company, not because they are not "united." The Forbes list being talked about is the top 500 US companies. That is what they are talking about when you hear Fortune 500. duh!

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Lifendz4994d ago

I said that a few weeks ago. We all know MS has more money than almost every company in the world. MS spending alone will keep Kinect from being the next Virtual Boy. Thing is, if Move is done right Sony won't have to out spend MS. Think about how many Wii commercials you saw. A few but it wasn't over done or anything. Word of mouth and a good spot or two on Good Morning America and Oprah are all that's needed. Unfortunately for Sony I gotta think MS is going to use both of those venues as well as excessive advertising. It'll be interesting to see which of the two (Kinect and Move) will be more successful.

andremasonbaba4994d ago

spending all that money to advertise a "so called good system(359)"...smells fishy

avengers19784994d ago

So what if they spend more money...They got it they can spend it.

Trebius4994d ago

M$ ONLY has Halo, and Gears maybe, but MOSTLY just Halo.

So they have to throw millions and millions into ads for it because it's their flagship title. It's THE Xbox brand's mascot, Halo.

SONY on the other hand has so many 1st party games that are good, that it doesnt NEED to spend millions and millions on advertising just 1 title, there are far too many exclusive games, so pushing just 1 would not make sense.

Uncharted 2 was an incredible game, and it wasnt heavily advertised, because it doesnt need to be.

Let M$ spend 100mil on advertising and putting images on bubble gum and mountain dew cans, that's their style, they want every child in the world to know and love halo, which is why there's so much fanaticism when it comes to Halo. Cause a lot of kids began their gaming experiences with that title.

Imperator4994d ago

Yea well I could care less about MS spending all that money on ads just to play the sales game. I'd rather Sony continue pumping out AAA, GOTY PS3 exclusives year after year like they've been doing for the past 2 years.

Anorexorcist4994d ago (Edited 4994d ago )

Advertising campaigns/Promotion costs are not what makes Hardcore gamers happy, it is the quality hardware, software, online offerings, and future potential that make hardcore gamers content with what gaming console manufacturer's console they choose to invest in and support.

Since the PSOne days, Playstation has always delivered in qualitative, quantitive software. Why would any real hardcore gamer have any resentment toward's Sony and it's console???

Hallmark Moment4994d ago

Sony's way of admitting defeat blaming the 360's success on marketing alone LOL

rareairtone4994d ago

How much of a feat the Playstation Brand is.

Quality over purchasing power.

RussDeBuss4993d ago

does the 360 being into profit include the $3billion RROD bill?

typical microsoft, overspend on advertising to convince their product is better than it actually is.
not just in gaming. I heard their budget for advertising windows mobile 7, or whatever its called, is into many $billions, shame the product is going to suck compared to android and iphone

KrazyFace4988d ago

Is your CapsLock BuTton BRoken?

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TLG19914995d ago

money isn't everything :D look who is overtaking (just saying)

CrazyForGames4995d ago (Edited 4995d ago )

*looks at the wii*

k what am i supposed to be looking at?

GarandShooter4994d ago

A dictionary, for the definition of overtaking. How the hell does Nintendo overtake a competitor from first place?

sashimi4994d ago

You fail at english sir. why don't you keep a dictionary around at all times to prevent self facepalm.

Senden4995d ago

And that's precisely why sony will never have a game like halo. I'd love for nothing more than for sony to crush microsoft out of the console race but in all fairness, it's never going to happen unless they seriously invest in their top games.

retrofly4995d ago

Why, the fact they are competing against eachother means the gamers are the ones who benifit.

Without out one there will be les drive to "be the best" as theres no competition.

mrmikew20184995d ago

Excellent point bro, but your statement is falling on death ears (sad to say) because the fans on N4G are full of a bunch fools sometimes. This is the healthiest the industry has ever been in while. The more Sony and MS "duke it out" the better games we will see in the future.

Heisenberg4994d ago

Don't mea to be a dick, but for future reference: it's "falling on DEAF ears" not "death ears".

BannedForNineYears4994d ago

Ahem, for the record, Senden.
PS3 owners will possibly be getting a game like Halo.
Bungie will be developing multi-platform games after Reach.
:P

Raz4994d ago

It's "mean" not "mea", Mr. Spellcheck. Unless you're trying to say "mea culpa". Oh, and you might want to include a personal pronoun at the beginning of your sentence, if you want to abide by proper grammar. ;)

On topic: *nobody* can compete with M$ advertising dollars. Except possibly politicians taking a run at the Oval Office. Which says to me they're all talk. Maybe if some of that cash went toward improving XBL or their core hardware issues...

PopEmUp4994d ago

thank for the input MR. Gramm@r Polic3, now STFU

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ravinash4995d ago

Why would you want to make a game like halo? We have halo for that!
I'd rather they make new unique games.

TotalPS3Fanboy4995d ago (Edited 4995d ago )

That is profound.

That's deep, man. That's deep.

Sarick4994d ago (Edited 4994d ago )

So Uncharted, Little Big planet and Killzone aren't being invested in?

Uncharted 2, highest ratings and a game so good it even helped media move away from "The PS3 is doomed" attitude.

Little big planet, so good that Sony purchased Media Molicule.

Killzone 2, when it first launched it set a new level for what console FPS was judged by.

IMHO, because Sony invested heavily in these games development they raised the curve for the quality of games in this generation. Sony markets games through word of mouth over placing advertisements everywhere. If this means using those extra dollars in development over marketing good for them.

The Lazy One4994d ago

he means investing in the existing product. Having an amazing product does not equal amazing sales. I wouldn't have even known God of War launched if I didn't come to N4G.

I'm sure sony would more than make up the cost if they actually advertised their games like M$ does.

Dacapn4994d ago

Which brings us to the point of this article. Microsoft will spend as much on advertising as Sony will in developing a game.

heyheyhey4994d ago

"And that's precisely why sony will never have a game like halo."

Gran Turismo will always be bigger than Halo, hell GT Prologue sold over 4 million copies, and that is like 5% of what GT5 is going to be

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Prcko4995d ago

Sony saving money for more important stuff,EXCLUSIVE GAMES!!!

WetN00dle694994d ago

That and the Multi-Billion Dollar debt............JUST kidding.......dont kill me!

meluvulongtime4994d ago

Sony's model is much more beneficial to me as a gamer. What would I rather have? A bunch of high quality exclusive games or see a whole lot of ads trying to push a couple exclusive titles? Hmm such a tough decision /s

Show all comments (268)
110°

Microsoft's Absurd Antics Have Me Scared For Dishonored And Arkane Lyon's Future

With Arkane Austin no more and Lyon living for who knows how long, the superb Dishonored is in serious danger; Microsoft cannot be trusted.

Relientk777h ago

I love the Dishonored series so much and really want Dishonored 3. Microsoft better not screw this up.

JEECE4h ago

I mean, I think the fans will probably kill Arkane Lyon by cooking up reasons to hate whatever they do next without playing it. I've never seen a game so artificially disliked as Deathloop.

thesoftware7303h ago

Lol, why don't we just say, we are worried about all studios owned by MS now. They will keep closing studios until they have none left ...🙄

Skuletor58m ago

Just merge them all into a single studio, have it churn out a single Call of Duty every year and call it a day, lol.

Barlos49m ago

Don't be scared, you'll be fine.

Skuletor41m ago

It's exputer, fine is one word I would not associate with them.

Profchaos24m ago

I think it's becoming clear based on matt bootys comments there's no future for any IP that can't sell above 10 million within the launch window. But is also a small game that gives them prestige

/S it's beyond a joke right now

Show all comments (8)
290°

More Job Losses At Xbox, “There’s More To Come”: Paul Thurrott

Paul Thurrott in a recent episode commented on the on-going Microsoft fiasco hinting at more job losses and that "there's more to come".

Read Full Story >>
spieltimes.com
Sonic18812d ago (Edited 2d ago )

There won't be no more acquiring game publishers from Microsoft in the future . Xbox has to pay Microsoft back. It might take two decades to do that.

sagapo2d ago (Edited 2d ago )

I don’t understand what you’re saying. Xbox IS microsoft so there’s no “paying back “.
And MS gross profit in 2023 was over 140 billion dollars so forget your 2 decades.

Unless you mean the money MS invested in Xbox (acquisitions included) and the time it will take for xbox as a brand to gain that money back on it’s own, then yeah, that could take a while.

romulus231d 22h ago

The better term to use might be return on investment, xbox is simply a division of Microsoft one that MS can easily do away with if profit margins are not met. So in that regard he's right, if xbox isn't showing the expected return on investment the higher ups are expecting than it's unlikely Microsoft will acquire any other studios any time soon, especially if they are spending billions buying developers just to shut them down in the end.

MrBaskerville1d 15h ago (Edited 1d 15h ago )

Xbox is a division that they discussed shutting down but doubled down on after Gamepass was pitched.

It needs to make money at some point. Big money.

KwietStorm_BLM1d 14h ago

So you do understand it or..?

rokos1d 12h ago

According to Statista the net income of Microsoft is about $72.4 billion dollars which is a bit lower than last year profit. That is almost as much as Activision's acquisition but I assume that would be a one off since it costs so much plus I see how their focus has been shifted to AI, thus any major future investments will probably be in that area.

Markusb331d 12h ago

i think you are really missing the point

VariantAEC1d 2h ago

@romulus23
That is not why MS buys studios. They might continue to buy because it's about taking that sweet sweet IP out of the corporate husks of their acquisitions.

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SonyStyled2d ago

“There won't be no more acquiring game publishers from Microsoft in the future”

No bro, there do be is for Microsoft not acquiring for what is now if not what it be is 😂

2d ago Replies(2)
ChasterMies1d 16h ago

Xbox isn’t a separate company from Microsoft. It’s all Microsoft.

Abear211d 10h ago (Edited 1d 10h ago )

Let’s be real, this is the media spinning all the acquisitions and liquidations of said developers and spinning it to make M$ the villain.

This was bound to happen, a bigger slice of pie and cut costs, when the games come they stand to make more and that’s their agenda—it was the writing on the wall when the sales went through and legally all those who approved the sale and mergers knew this would happen.

Snowflakes need to realize business is ugly and you can cry all you want but this is how capitalism works. And it works.

That said, M$ needs to steer the narrative and grab hold of all this, make their plans known, hype the hell out of all those dead IP’s they plan to revive, and be honest about the timeline. This is likely to involve mobile and IP on other consoles, and most people realize that.

The problem is this company is incapable of being transparent and seems to often want to dissuade and confuse is customer base. The lack of E3 has hurt Microsoft and I don’t think they know how to properly or effectively market their brand anymore.

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jwillj2k42d ago

There really needs to be a class action lawsuit here. You buy these companies just to put people out of jobs. And it’s not like something happened to derail their plans this WAS the plan. Microsoft has no business in this space at all.

franwex2d ago (Edited 2d ago )

Microsoft has been doing this for years. They simply want the IPs. Look at Nokia. Look at Skype. This time it simply expanded to games. Gaming is not as important to Microsoft’s executives as it was to the founders too. Bill Gates was willing to sell the og Xbox at a loss. Steve Balmer approved the red ring of death fiasco. This CEO isn’t really a gamer.

-Foxtrot2d ago

Maybe it's time though to put a stop to it and use a big giant like Microsoft as a huge example to the rest of these big companies.

There has to be a line drawn somewhere.

People like the FTC and the like went against Microsoft yet their Actvision deal was still allowed to go through yet look what's happened...it's not even Acitivisions studios aswell, it's Bethesdas.

VariantAEC1d 2h ago

Years?

Try several decades, and in the gaming space 2.3 decades.

Jon615861d 11h ago

You do realize this happens in ALL industries? Or are you just saying this because it is Microsoft? In any case I feel for those that are being let go but the trch industry is suffering right now.

jwillj2k41d 6h ago (Edited 1d 6h ago )

This absolutely does NOT happen all the time. Let me know the last time 1 company with a terrible product track record spent 100 billion onto acquire MULTIPLE successful companies in under a year only to shut them down and stop making their products regardless of how successful they were. Not merge them, completely shut them down.

And you can’t use Microsoft in your example.

Notellin1d 7h ago (Edited 1d 7h ago )

Class action lawsuit? The law is on their side and protects them at all costs. There are no rules to protect the people at the bottom.

jwillj2k41d 6h ago

Not true when it comes to mass layoff do your research.

RNTody2d ago

Ninja Theory, Perfect Dark, Crash Bandicoot, Spyro, Wolfenstein 3, Dishonored, Prey, Doom, Quake... something tells me that bad things are going to happen to these entities under Microsoft.

MrDead1d 20h ago

ID software, the makers of Doom and Wolfenstein that have been with us since 1991 could be gone and MS will keep the IPs.

I hope some of these studios can buy their freedom from MS otherwise this is going to be even more devastating for the industry and gamers.

Yui_Suzumiya1d 18h ago (Edited 1d 18h ago )

That's exactly what I'm worried about. I've been a fan of id since Wolfenstein 3D and I'm honestly afraid.

lodossrage1d 14h ago

Toys for Bob saw the writing on the wall and bought themselves out.

Wouldn't be the first time a company did that under MS either. Bungie and Twisted Pixel did the same. Considering what just happened, I can see some other devs trying to buy themselves out too.

anast2d ago

Good thing the bosses of all those small studios made their money.

glenn19792d ago

they cant do it right now they will get burned

XiNatsuDragnel1d 21h ago

Phil and his team need to be gone

lodossrage1d 14h ago (Edited 1d 14h ago )

Won't make a difference.

The whole structure needs to be overhauled. Anyone that replaces Phil will be no different than him, Mattrick, or anyone else.

Until the company changes how they go about business, nothing will change

glenn19791d 11h ago

I just don't have any idea what they would do , they have done sooo much damage on their xbox brand, they have a show at July or June I think, but will it even matter even they show amazing games, idkn

lodossrage1d 14h ago

True,

But they may as well get it over with. Whether it happens now or later, the burning is going to hit the same.

Reality is the ONE move that can alleviate a lot of this is the one move they can't make. Remove day 1 from gamepass.

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90°

Microsoft Opening Xbox Mobile Game Store in July

The Xbox brand is expanding, as an Xbox mobile game store is opening this coming July where Microsoft will brings its "first-party portfolio."

Jin_Sakai3d ago (Edited 3d ago )

“Bond adds that they will start on the web”

This will go nowhere.

Nice knowing you Xbox. This is what happens when the house never gets cleaned.

MrDead3d ago

The only this MS is expanding is the amount of feculence it sprays on everyone who just want to enjoy gaming and make games.

The best thing MS can do for the gaming industry is leave and never return.

XiNatsuDragnel3d ago

Good luck with this even it might not succeed.

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