The Struggle for Console Supremacy

DFC Intelligence's David Cole believes Ken Kutaragi's strategy for PS3 has put the PlayStation brand in a tight spot, with little room for movement. He says Wii and Xbox 360 are likely to make huge gains. Full report - including stats, charts and strong opinions at next-gen.biz

[zypher]

i read this on gamespot.com close to a month ago. just another attempt by the anti-Sony loyalists to diminish the PS3's popularity.

[zypher]

my bad. different read. i was confusing this article with another anti-Sony DFC article i read about a month ago.

[THELANDSOFSAND]

yes, it's easy to confuse all the 'news' about the PS3...

[Jay da 2KBalla]

lol

[mikeeno7]

I hate PS3 but i think it will still sell, unfortunately, because of the strong brand name. In Europe, 360 is big but Sony is God.
Living in the UK myself, Sony is immensely more popular over here, including Germany and Italy. I think the 360 will lead the US market, Canada markets though.

[Islandkiwi]

This is no inquirer piece, a very interesting, well thought out read.

It's a pc, it's a blu-ray player...Sony, what I want is a game console.

[THELANDSOFSAND]

i wanted a top-notch game console with amazing games. i would have bought that.

PS3 is a tragedy.

[specialguest]

i think Sony is trying to bridge the gap between the video game consumers and the electronic media consumers with their PS3.

no longer will video game consoles be considered just a "toy". now it's a media center for everything. this is indeed a big risk, but this is where the future of video gaming should be in my opinion.

i know that not everyone will agree, but personally, this PS3 works well for me since i am a hometheater/media head. i spent a lot for my big screen hdtv, audio system, etc. and $600 for a "PC"/gaming-console/ blu-ray player is a bargain for me. i might be in the minority though.

[Islandkiwi]

I think you are in the minority. Truthfully, anyone posting on these boards is in the minority. Most people I know have yet to get an hdtv.

But an upgradeable console being a step in the right direction? Hell no! This is why I walked away from pc gaming.

[THELANDSOFSAND]

you probably are in the minority, but sony only need a few million of people like you to get their launch out of the way. it's after the early adopters, tech-heads and fanboys stop buying and the actual public start choosing that we will see how the PS3 fares in the new console market.

[Jak4ever]

This article seems to be right on the money. Nintendo is on its way back. This is really what this industry needs right now. A back to basics approach.

[THELANDSOFSAND]

yeah, i have been impressed by nintendo's attitude. i feel like the wii is the real successor to the Super Nintendo of the 1990's.

[frostbite06]

N64 was a good successor. Where would we be without a 3 dimensional mario.

[THELANDSOFSAND]

N64 was great, but it never gained the sales or developer support it deserved, plus the choice of cartridge over disc was a serious mistake... but yes, MARIO IN 3D!

:D

those were some amazing graphics for the time... (though I still prefer playing mario world on my SNES)

[Jak4ever]

Good point the only thing that makes me nervous is that, if NINTENDO does end up with a huge market share. Developers could be forced to start making less mature games and we would all be stuck with Mario Kart 9 and Booble Bobble 10, anyone disagree???

[THELANDSOFSAND]

well, the 360, pc's and what's left of PS3 will still make mature games. none of the developers have forgotten the success of GTA!

Capcom is putting serious effort into making sure the wii version of Resident Evil is extra special, and Call Of Duty 3 will do some extra stuff with the wiimote. these are both considered 'mature' games...

&&sh1t. i miss booble bobble. mhmhmhmh. god damn it then need that on XBLA!!! NOW! or is it only going to be on wii? i used to play that on a spectrum zx, with rubber keys. the games were on casette...

[Marriot VP]

how come nobody fixes that picture of the consoles. The PS3 is way bigger than the 360, and in this picture it makes the 360 look like a CPU tower.

[THELANDSOFSAND]

its true. though it does show off the design of the 360, which is infinately nicer than the grillstation3. PS3 is bigger than the original xbox!

or like thouse huge betamax players when they came out in the 1980's. oh wait. Betamax. blu-ray.

Betamax players. PS3 players.

i see a pattern developing here...

[gamerof360]

GrillStation3 hehe im using that

[Jak4ever]

Ohh man yeah!, but what about games like Contra and Double Dragon??..

Sounds like fun, just dont ask ThePart (Y), humble guy, dont u think?

[achira]

ps3 comes in four months and the pathetic xbox fanboys cant do anything. sony is a hardware god and a game god, when ps3 launches xbox360 is dead! hahahaaa.

[THELANDSOFSAND]

"DFC Intelligence's David Cole believes Ken Kutaragi's strategy for PS3 has put the PlayStation brand in a tight spot, with little room for movement. He says Wii and Xbox 360 are likely to make huge gains"

[Jak4ever]

Im hoping that Sony dominates again, but you dont really believe that its going to happen again do you? Sony has really been pushing it this time. And it does seem like it will end up a 33-40% split between the big three this time around.

[MissAubrey]

just look at what you type. you're pathetic....in life.

[gnothe1]

I think the reason sony wanted to put so much into their box is because even though they outsold all the other consoles, they were the weaker of the 3.they knew going into the next-generation they couldnt let that happen again.the problem is, history has shown that the stronger system has never won the console war.but sony just insisted that they wernt going to be pick on for being the weaker system this generation!!

[Tempo]

It's nothing but a '1 up' on its competitors

[Jay da 2KBalla]

lol

[kingboy]

lol i`ll see all kinds of things ,people callin names any how..it`s easy to seat on ur pc and say sh*t .why not try infront him,u`ll probably pass to mute mode.. who`s the pathetic one now heh!

[Jay da 2KBalla]

yea dats exactly how da sony fanboys be actin.

[Jak4ever]

Youre an idiot, dam.

[Xtrm L1481L1TY]

Don't you just love how they show the 360 as the biggest console. In actuality, the PS3 is physically larger then the 360 and it weighs about 4 pounds heavier as well.

[REDMOND BOYZZ]

The scale of the consoles has more to do with the places in the next-gen race. lol

[REDMOND BOYZZ]

The 360 is finally in front of the PS3 and people still wine. PS3 isn't even out yet and its always in front, be happy jeesh.

[Marriot VP]

if you mean by the picture some would argue the center console is more important than the one on the left.

[Bishop]

Sega Dreamcast was in the lead at first too and it sill managed to get wiped out because of an add on DVD drive and lack of games over an extended period of time. I don't care what any analysts say or what anyone’s’ personal opinion is the fact is that Sony still has more fans then the MS in the console market. Nintendo has yet to grow up and has lost many of the companies that made it the greatest console brand between 85-94. The Nintendo controller is nice but the graphics lag and most older gamers don't want the hassle of having to stand up and waive there arms around after they have worked 8-12 hrs during the day. No matter how you look at it Xbox sold 24 or so million consoles worldwide until 360 passes this mark any lead they have now is only from the people who were going to purchase an 360 anyway so they haven't in all actuality gained any ground yet so all we can do is speculate.

I will purchase all of the consoles like I always have but Sony seems to place all of there faith in there fans and to be honest if earlier consoles are any indication there faith is in good hands.

[TMoney]

Comparing the Dreamcast to the Xbox/360 consoles is ridiculous. Bottom line: Sega ultimately failed in their console war with Sony was because they didn't have a sufficient war chest for a protracted conflict. The losses over years of mismanagement and failed console attempts prior to the Dreamcast launch was the cause of their ultimate fate. In other words...they simply ran out of money.

I doubt Microsoft has any such problem. They knew that the Xbox was just the opening salvo in this war. They clearly did not expect to overtake the overwhelming dominance of the Playstation/PS2 marketshare lead. However, they did plan on biting off a nice chunck...which they did. To the tune of taking 2nd place in the three-horse race. With the 360, Microsoft is poised to be the leader in the next gen console lead. That doesn't mean they will overtake Sony for the overall lead...since the PS2 has such a formidable install base.

[gamerof360]

the 360 is no Dreamcast

[Marriot VP]

I found a good link

http://www.aeropause.com/ar...

[Islandkiwi]

I think you're making too much out of nothing. They are both similar in size.

[Marriot VP]

yah I know it really doesn't matter but some people weren't real clear on the size. Just helping.

[TMoney]

As the "convergence of technologies" enters a new phase in the home entertainment market, I can't see how Sony will dominate in a worldwide market that is both price conscious and necessity driven. The eventual push toward interconnectivity between divergent technologies is what will win the day.

Blue Ray offers absolutely no compelling reason to purchase a $600 console (outside of the tech heads, fanboys and early adopters) especially in a market that will not fully utilize its features for at least another six, seven or even ten years. By that time, the next generation of consoles will be in development. Timing is as important as the technology. On the gaming side, the power core of the PS3 is impressive but unproven. Will the PS3 be so far superior to the 360 that it will be clearly noticeable to the average consumer? I think not.

Wii will no doubt increase its overall marketshare however continue to languish in the "gaming only" realm. The innovations by Nintendo are impressive but not far reaching. It's "old school" but not truly forward thinking. Can you spell "dinosaur"?

Microsoft, however, has invested billions in developing a convergence between their console and home theatre, internet pc and mobile technologies.
The full out development of Xbox Live, Xbox Live Arcade and Xbox Live Anywhere have and will bring all these once divergent interest and technologes together. Microsoft has the best forward thinking plan. The eventual winner of this current crop of next gen consoles will be awarded to Microsoft.

[Bishop]

MS is so famous for their horrible OS that most people who have had a PC and have experienced problems with Microsoft's OS will stay away from the 360 just out of principle. Now blu-ray is receiving more support from the movie industry because of its safeguard watermark included on the disks. Also there are more blu-ray movies currently scheduled for release the hd-dvd.

It doesn't matter what format is better the winner will be determined by the studio support just like the VHS vs. Betamax. Betamax was better but VHS received support and won the war because of this. More blu-ray movies on shelves will cause people to want a blu-ray player because their favorite movies may not be coming out on hd-dvd.

But again not matter how you look at it Sony consoles have more fans then Microsoft consoles and the fans will determine who controls the market and I am sure that Sony will not lose the estimated 50 million fans that it would take MS to be number 1.

[TMoney]

The infamous Microsoft OS is so horrible that it is the dominant, de facto standard of operating systems in the world. Yeah, people are staying away in droves.

And the Blue Ray studio support is shaky at best. Every studio is currently in a "wait and see" mode. If the cost of providing their films is significantly lowered, the Blue Ray has a chance.

Also, the HD DVD vs. Blue Ray format war is almost a non-issue for most people. The real penetration of either technology into the consumer mass market is at least six to ten years away. Guess what...by that time we will all be arguing over the next iteration of next gen consoles.

[gnothe1]

you say blue ray has more support, well thats not because it looks better or is a superior format. its because it will be way more harder for people to crack the code an put it online for download.the know pc's using hd-dvd, it will only be a matter of time before we start downloading them movies!! at its current position blue ray has the best potential NOT to be cracked!!quick thought!! would you put a bank in a neighbor hood with a 90% chance of getting robbed or in a neighbor hood with a 10% chance.

[joemutt]

Its what hackers do. Who will be the first to Crack HD? Who will be the first to crack Blu-Ray?

As soon as they are, the whole Studio Backing so and so, will not even be an issue, studios will support both formats.

Just like they supported both VHS and DVD, they cant choose one side, because they loose all the money coming from the other side.

Multiformat readers and writers will be the winner, not one or the other.

[gamerof360]

the 360 will rule the "console war" or the Wii will because of its funky remote (touching is very good =)...the PS3 will be competition because of the stong name-brand but the 200$ more will be Sony's downfall in the end and i think the Blue-Ray will be the next UMD it will fail in the end (just my opinion)

[gamerof360]

the PS3 should partner up wit Gary Coleman i bet they could make a really good portable-grill/ game station/with some [email protected] games

[shotty]

The reason dreamcast failed was because Sega didn't have the resources to secure exclusives and keep some of the third party titles. Obviously sony has more cash than Sega so sony obviously threw more money to get the exclusives. Now sony is in the same position the dreamcast was, microsoft threw tons at money inreturn ruined almost all of sonys third party exclusives and even bought out some of the developers like Bungie, Rare, Lion Head and etc. They also have alot of "second party" companies that are not owned by Microsoft but only make games for the xbox live Bizzare (Project Gotham) and Team Ninja (DOA, Xtreme beach volley ball, Ninja Gaiden) and etc. As of right now microsoft greatly out numbers sony in terms of first party titles. All microsoft has to keep doing what they are doing to get the largest install base. According to EA they divide their resources depending on the install base, last gen ps3 got 70% of EA resource with xbox 1 and GC splitting the 30%. Now EA is predicting that once all next gen consoles are selling in a few years it will be split 40% xbox 360, 40% ps3 and 20% wii. As of right now EA is primarily focused on xbox 360 since it will have 10 million x360 by november before the competitors even release a console.

[Bishop]

MS is in the same position that the Dreamcast was. Dreamcast and 360, first to market, both will have add on disk drives that will allow them to play games and both are cheaper then Sony's consoles.

[Bishop]

You are right EA supported Sony in the past and now they have evend out however noone bought a Playstation for EA games.

[gamerof360]

So wat the 360 and Dreamcast r in the same postion...the 360 is VERY different than the Dreamcast alot of people like the MS brand they have MoRE kick-A$$ games like halo 3, G.O.W, Mass Effect, and Etc. there r also so many advantages that the 360 has...so therefore the 360 is nothing like the dreamcast

[Liverpool4ever]

Good to have xbox back in the lead again. Much better to pay for products that goes to Bill Gates company. He shares with the poor people, and what's better than that? When we buy a xbox 360, we help them in one way. Sony keep their money themselves and buy extra ordinary poop for them. Die Sony, please Die... we wont miss you. Long live MS and Nintendo.

[Bishop]

Being number one in sales doesn't mean you create the best product. Windows holds onto its market share not because it is better then Mac’s but because it is compatible.

If Panther could run everything Windows could then MS would go out of business.

[Boink]

I Love how people are saying the PS3 is so much better when it's not even out yet. Sony is now up against a competitor that could buy and sell them in a heartbeat, and if they try and sit around and let their name try and sell, they have already failed.

their first mistake is trying to force people who want a PS3 to be a pawn in their little format war with toshiba, I feel sorry for the sony fans for this, and now they believe it's a great deal because "IT COMES WITH BLU RAY". do that many folks have full HDMI/1020P tv's? NOPE! good marketing research sony.

fact is sony has a big fanbase of hardcore gamers, and a HUGE fanbase of casual gamers, who will NOT spend that much on a console. The harcore ones will be there, and that will probably sell them ~10 million units or so, but after that, who knows.

they need to figure out what they are selling, it doesn't have enough features to be a home entertainment system, it doesn't have enough to be a PC. which in the end makes it an overpriced console. good luck sony, competition is good for everyone, and I hope they can survive their mistakes...

[TMoney]

Sony has been backpeddling since Microsoft entered the console arena. Now Sony is tripping over themselves to catch up as Microsoft soars past.

I clearly remember the shift of power during the Nintendo to Sega conflict. And the shift of power from the Sega to Sony era. I had hopes for a Sega comeback with their excellent Dreamcast system but didn't realize how weak they were financially. Now I see the same shift of power happening between Sony and Microsoft with Nintendo hanging around to pick up the scraps.

This looks like a fun ride. Hang on tight...its gonna get wild.

[THELANDSOFSAND]

you are right, this is normal for the gaming industry.

[rexdriver]

Let's get out of the elite fanboy gamer mindset and look at things from a real world perspective.

Not nearly everyone who bought the PS2 are loyal fans of Final Fantasy, MGS or the Sony brand. In the current gen console war, the PS2 and Xbox were competitively priced, and in that context people wisely chose Sony over the newcomer. The fanbase factor is not as overwhelming as some of you think it to be.

To optimise one of the selling point of the PS3 (Blu ray), you need to have HDTV. For the many people out there in the real world who don't have a HDTV, buying a PS3 will mean dishing out that extra cash for HDTV as well. I don't think there'll be a legion of people willing to make that kind of cash commitment for a gaming console.

Consider also that for the existing HDTV owners or would be HDTV owners, probably 5 million of them already have a rather costly 360. What percentage of these people will also get the PS3?

If you look at the number of people who are only now buying the price reduced PS2, it gives an indication of how many people are not into cutting edge technology.

Consequently, all the reports predicting that the PS3 will not dominate in the near future are likely to be accurate. How PS3 will perform later will be dependent on too many variables to be a certainty imo.

[the_bebop]

WOW another anlyist talking about the same thing again. I am getting a HD Ready TV but I am not geting it for gaming, mainly because I am afraid my older then six years TV might one day berak down. Personaly I don't see a problem for the price and cann't see why people from america are complaining about but thats just me, In the European and Australasia areas it is understandable if people are upset about the Price. I would also like to give people an understanding of the Prices of things here in Australia.

NINTENDO
Nintendo DS Lite: $199.95
The Wii could cost from: $350 to $430 or more.

MICROSOFT
Xbox 360 Core System: $499.95
Xbox 360 Premium System: $649.95
Also we now have a 360 Wierless Fun pack which includes, Project Gotham Racing 3, Kameo Elements Of Power and a Wireless Controller
for 199.95 making it come up to $849.90

SONY
Sony PSP Unit - Value Pack: $399.95
PS3 20gig Version: $829
PS3 60gig Version: $999

A Cheap LCD 32" HDTV with HDMI,AV and Digital inputs capabile of running at 60HZ and Displaying HD picures at 720p to 1080i can cost $1990.