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Microsoft’s mistakes: how Sony is winning China’s console war

Microsoft’s blunders in launching the Xbox One in China are playing right into Sony’s hands.

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Chupa-Chupa1423d ago

The Xbox One is ahead of its time, the industry wasn't ready. It's the Dreamcast of this generation.

killacal131423d ago

How is it ahead of its time? I think the Ps5 is ahead of its time.

Army_of_Darkness1423d ago

Chupa-chupa is right guys, the xbone was the first console EVERRR to introduce and make 900p games the new standard........

indyman77771423d ago

Okay there are STILL xbox fans here that say Microsoft never said they would not let you sell used games. THIS officially proves it because they announced it in CHINA and STUCK TO IT. Instead of saying it in a hour long press conference they are saying it in print.

Deny it now Xbox ostriches! They still get disks but cant lend it or trade it because it has a one time activation code with every game!

AndrewLB1423d ago

Indy- That's because the Chinese steal software more than any other country on the planet.

And FYI, Sony had the EXACT SAME POLICY. After watching Microsoft get pummeled by the press and gamers when they told the public, Sony quietly canceled the idea and had it removed from the console via that day 1 update. Sony admitted it in an interview in early 2014.

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jim071423d ago

It seems you have got it all figured out then...

SoapShoes1423d ago

At least the Dreamcast had great games.... oh and was ahead of its time.

MasterCornholio1423d ago

The Xbox One had a vision for the future. Fortunately consumers didn't support said vision since it would ruin this industry.

Thats the source of the Xbox Ones troubles.

DJStotty1423d ago

So does that mean that Steam/Origin is ahead of its time and ruining the PC industry? No thought not

SilentNegotiator1423d ago

Steam's DRM is a LOOOOOOT less strict than what MS was planning.

PS. In before fanboys suggest that rumored benefits are factual things that Microsoft was going to have.

gamerz1423d ago (Edited 1423d ago )

Seems they didn't give up on the vision after all in China.. from the article:

…and they’ll [the games] come with activation codes so you can’t buy or sell used games at all.

Why on earth would you buy a used games-less Xbone in China when there's a perfectly good PS4 alternative with no used game restrictions? It's as if.. they. learned. nothing!

AndrewLB1423d ago (Edited 1423d ago )

You seem to be forgetting that Microsoft has sold more Xbones than they did 360's this far into each consoles first year.

And perhaps you were too young to remember, but 360 also had the advantage of no competition during that time.

That being the case, Xbone is doing fine. Just not exceptionally well like PS4

Silentnegotiator- Hate to interrupt your acid trip with a dose of reality, but Sony had the exact same DRM planned which they quietly canceled after seeing microsoft get blasted by the press and gamers. It was removed via the day 1 patch. Even sony's top brass admitted this to be true.

So quit with the lies.

MasterCornholio1422d ago (Edited 1422d ago )

@Silent

Your right about that.

My brother buys games from steam all the time and he doesn't have to check in every 24 hours to play them.

In just hate it when people say that the two DRM systems are the same when they are not. The huge difference between the two is that Microsofts DRM system applied to retail copy's as well something that steam doesn't do here in Spain. I can walk into game and buy a retail copy of a PC with no crazy DRM attached to it.

@DJ

That's because they are not the same. Do a little research next time.

@Andrew

LOL

So salty. The only one fabricating lies is you here.

SilentNegotiator1422d ago (Edited 1422d ago )

"Sony had the exact same DRM planned...So quit with the lies"

Oh the irony. Just like you sad fanboys continually claim that Microsoft was going to allow 10 person game sharing, this "fact" is based on rumors. Sony filed a patent for similar DRM...but that means absolutely nothing; they have a million unused patents, as do Microsoft and Nintendo.

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DeadRabbits1423d ago

One benefit of the xbone is that it breathed life into the WiiU Market!

A PS4 & a WiiU will have most people gaming needs covered!

MeliMel1423d ago

I rather my XB1 and PS4. I'll wait for a true Next gen Nintendo console.

voodoochild3461423d ago

@MeliMel

The WiiU is under powered just like the Xbone. If generations were determined by power all 3 consoles wouldn't be current gen since they were all outdated when they came out.

Magicite1423d ago

only similarity between dreamcast and x1 = they both bombed.

D-riders1423d ago

Lol Chupa the Xbox one is like 5 year old tech

miyamoto1422d ago

Never ever compare the Xbone with the Dreamcast.

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PS4isKing_821423d ago

Wow nothing is going right for Microsoft this generation. Looks like the bulk of their sales this gen will be mainly from America and even that will be small. Microsoft sold roughly 45 mil 360s alone last gen in America, and that will probably be only half of that if lucky this gen. So let's say they sell 28 mil in America with another 5 or 6 mil from UK, that's not looking very good with the rest of world pretty much Don the ps4 train. At this point I'd say xone will probably sell around half total what 360 sold during its lifetime. Which isn't bad all things considered.

TheNew11423d ago

Judging off your username and your one bubble, I can't take what you post seriously.

Antifan1423d ago

Judging off your generalization of his intentions based solely off his username, I can't take your post seriously.

TheNew11422d ago

@Antifan
I wasn't trying to explain anything to anyone though. I also wasn't making a comment I expected people to read to see if they agreed with me or not. Keep defending your buddy here!

ScorpiusX1423d ago

Wouldn't say this delay is disappointment, in truth prior to the overturning of the console ban China , one can say they are working on finishing touches. But how this article claims this junk to be true is bju st wild.

DJStotty1423d ago

Your username speaks volumes if your so loyal to your brand go and comment on something viable

DJStotty1423d ago (Edited 1423d ago )

Halo MCC/5 has the potential to shift around 11-12 million xbox ones no one knows whats going to sell what, opinions on sales etc are invalid until the end of the generation and the last one has still not ended yet. Anything can happen 1 game for either platform could shift 30-40 million consoles. This site is just dedicated to fanboy wars about what is better. The console that is better is the one that you buy. I like Microsoft products so i bought an xbox/360/one. I cant comment on anything sony side as i dont have one. PS4 is more powerful which is nothing different in this industry. No 2 consoles have EVER been exactly the same power. Software makes money Hardware doesn't thats a fact. So Hardware sales numbers should be ignored and people should be looking at the software numbers :)

rainslacker1423d ago (Edited 1423d ago )

While I agree that anything can happen, and it's too soon to call a winner, I do believe that you are way overestimating how much one single game can move a system. No halo to date has seen a 11-12 million boost for the Xbox brand. GTA, GT, Halo, GeOW, and GOW would be the definition of the biggest system sellers out there, and on their release, we generally only see a 50-100K unit bump for a few weeks after their releases.

Long term it could push more consoles, but it's not anywhere close to 11-12 million. For Halo, only halo 3 sold over 11 million copies.

This is why it's always good for companies to diversify their line up and not rely too heavily on one title to "save" their sales.

mkis0071423d ago

You are forgetting that halo 4 sold 10 million on 80 million xbox 360's.

The way it is going this gen Halo 5 wont have that attach rate.

Halo can not move that many xbox ones because it never has.

DJStotty1423d ago

Hence why i put "potential" in the statement and not label or glorify it as fact. Any game on the market has the potential to shift millions of console for any platform

ger23961423d ago

This would be Microsoft's chance to make up lost ground. If halo mcc doesn't move significant amount of Xbox's, nothing will.

badz1491422d ago (Edited 1422d ago )

@DJStotty

I think you've mistaken the term "potential" with "wild dream"!

11-12 million consoles? What are you? High? And you're wrong about hardware not making money. Nintendo has been doing it for the longest time especially with the DS, 3DS and Wii and Sony also already announced that they make a profit with every PS4 sold. And why should anybody ignore hardware numbers? Bigger install base equals bigger potential sales but here you are, telling people it doesn't matter. Go tell THAT to MS or Nintendo and see if they agree!

jetlian1422d ago (Edited 1422d ago )

DJ could be right if there is demand for halo at 10-12 million then 10-12 million consoles will be sold.

Doesnt matter how many are currently sold vs future. Doesnt matter if halo 4 sold to 80 million 360 if demand is there its there

AS for china who knows they getting their own games plus some of ours. 1 time codes is no different than pc

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ABizzel11423d ago (Edited 1423d ago )

They're selling more than 22.5 million in the US, but I agree I don't think they'll hit 45m, maybe somewhere in the mid 30's. This gen is going to be shorter than last gen, and we'll probably see new consoles in 2020 from MS and Sony.

2020: US==EU==JP==RoW==Total
PS4: 42m==40m==11m==11m==104m
XBO: 36m==20m==2m==6m==64m
Wii U: 18m==13m==12m==5m==48m

I don't think this gen is going to be as bad as the PS2 era for the Xbox and Nintendo consoles, but I do think the PS4 will be the lead console by a good margin.

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Eonjay1423d ago (Edited 1423d ago )

I really don't think Sony's success in China is dependent on Microsoft's mistakes except that going first means others learn from you. And honestly the only real mistake Microsoft made was not being able to anticipate a delay until the very last minute.

Actually they said that the Xbox One had 100k preorders in China. When you inflate the performance in Japan for China's population, it is on track to do just as good, or just as bad as they did in Japan.

If you were to inflate Sony's Japanese launch for China's population, they could clear 1 million day one easy. Still there isn't enough info to really say that the PS4 will be a success in China at all. Or the Xbox One for that matter.

MRMagoo1231423d ago

I thought they said they where shipping 100,000 first off not that they had 100,000 preorders.

rainslacker1423d ago

I'm curious as to what made them have a delay just three days before release. Certainly by that time, units would be ready to ship, if not in the stores stockroom by now.

Probably some bureaucratic thing with the Chinese government, so I'll give MS the benefit of the doubt here and not blame them.

I'm pretty sure that any american company looking to release any american product in China will be looking at new products being released over there. Sony would certainly want to see what works and what doesn't. But to say Sony is winning it because of this, and the other things that have happened, is a bit premature.

I truly believe it's going to be an uphill battle for both companies just because of all the restrictions on consoles themselves. It has the long term potential to spur a huge surge of Chinese development for consoles though, and I am actually looking forward to that.

mkis0071423d ago

Judging by the release of the games with mandarin and Cantonese VO support(as revealed in TGS) I would say sony is on track.

user3672721423d ago (Edited 1423d ago )

Ok...whatever. All consoles are made in China so Since Sony is selling more at this point...Sony and China both won. It is not rocket sience. 🚀

voodoogts1423d ago

With all these sales from Sony PS4 and the console being so powerful how is that Microsoft is net worth is 364 billion dollars while Sony is 12 billion dollars worth. Can someone explain how that make sense. I always hear Sony I struggling financially while Microsoft is buy out thing like the NBA Clippers and Mine Craft.

Microsoft 364 billion dollars compared to Sonys 12 billion that's a huge gap.

Will winning the China crowed help the Sony net worth?

MrPink20131423d ago

The gaming division makes very little for Sony. So even if PS4 sales continue to do well it alone won't help Sony out of the situation they have been in since about 2006.

jebabcock1423d ago

Correction... The gaming division for MS barely breaks even.... The difference is that xbox is a tiny mostly unprofitable part of ms that is kept because it is seen as a Trojan horse for other plans ms has to control the living room and get a foothold into the mobile space...

I wish you xbox fans knew at least a little bit about the company you so fervently defend...

MrPink20131423d ago (Edited 1423d ago )

Sony lost most if not all of its profits from the PS2 era mostly on the costly PS3. It was why the PS4's main priority was to be profitable much earlier while also being able to cut manufacturing costs more rapidly.

Yes we all know Microsoft has never broke even from the huge losses they sustained from the first Xbox but Xbox 360 brought more profits to Microsoft than the PS3 did for Sony.

The thing is if you look at Sony's portfolio the last decade or so you soon realize the gaming division doesn't make a a whole lot of profits for them. Nintendo is also on the path of losses. The yen is hurting both companies and all three are not going to make the kind of money like Sony did during the PS2 era. Costs have risen dramatically which is why we now see things like PSNow and membership fees. They are trying to look for additional revenue streams. The days of games like Gran Turismo selling 10 million were highly profitable. Now we have games like Tomb Raider and Destiny selling millions but that isn't good enough. That's why so many studios are closing. The aaa sector is killing not only innovation but also sinking companies financially. Why do you think there is so much emphasis on indie games now while Sony keeps delaying big titles because they cannot afford for them to not sell well?

Sony as a company isn't doing well. Sure the PS4 is selling like gangbusters but how much of an overall impact will that have on Sony? Every year we keep hearing how they fall below expectations in overall profits/losses. Same with Nintendo.

So what exactly is the status on the WiiU and PS4 selling in China?

Edit for below comment,

Sure Sony is happy but only as far as PS4 sales are concerned. They don't seem to be too ecstatic about the Vita and I doubt all those who are going to be laid off during yet another restructing phase by Kaz us going to be joyous.

gootimes1423d ago

Resort to Sony's finances, lol. People are so desperate. I can guarantee you Sony are happy campers right now.

gootimes1423d ago

@MrPink2013

You do realize Microsoft just laid off more employees right? http://www.brecorder.com/co...

Sony's restructuring of their smartphone services will help bring them back to profit, like Sony's CEO wants in the next fiscal year.

Are you trying to take attention off the beat down Micro is receiving in the console business by any chance, lol.

revben1423d ago

@jebacock. what? have u looked msft sec filings? i bet u have not, because xbox has been profitable from 2008. please, next u want to sound smart, make sure ur info in correct. before u call me a troll, just search for microsoft sec filings.

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Eonjay1423d ago

Of course it will help Sony. China is the world's second largest economy. Thats why Microsoft wanted to be first.

ainTgoTTime2bleed1423d ago

An even better question will be: with all the money and net worth MS have how come is getting their butt kicked by a ''struggling company''.?...The truth is MS has never beaten Sony and never will, history should tell you something, unless MS come out with a new RROD 2.0, that will give MS a ''better'' chance at...2ND place.....maybe...lol

WilDRangeRfc1423d ago

MS replaced 360 free of charge so inflated sales BS is getting old,a lot of sources point to the 360 being ahead in worldwide sales,more money made from Live than PSN,more software sold on 360 ( a lot more ),PS2-120 million PS3-80 million,Xbox-10 million 360-80 million,yep 360 kicked arse last gen

hkgamer1423d ago

sony has basically been relegated to concentrate on the console and digital entertainment market.

their hardware doesnt sell anymore, walkmans and cameras have become less popular, tvs have been taken over by the south korean companies, vaio computers were sold off to some other company.

ms however makes billions of dollars on licenses, just think how many companies in the world and then what os they actualy use.

rainslacker1423d ago

Guess it depends on if you're buying stock or buying video games. Which do you care more about?

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