have you heard if there might be any info before this event, or will this be a big blowout type event?
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Jason Schreier: something PS5 related will be happening by early-mid June
- Thread starter Kolx
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have you heard if there might be any info before this event, or will this be a big blowout type event?
I feel they definitely should show the box at the next reveal. It should be finalized and is something substantial they can show off if they are needing extra time to show off software.
You are both correct! It's just so funny to see the stark difference in "strategy" (if you wanna call it that with all the COVID19 disruptions).
I'm with ya both, I really wanna see what Sony and their studios are up to, as I'm very interested in a new Playstation! However I'm not as hungry for a new console as others because my PS4 is still getting heavy use nowadays...
Here's to June, hopefully!
I haven't heard anything concrete, or I would report it. Only reason I said anything at all was because I was asked about it on a podcast, but of course now that it's a ResetEra thread every bottom-feeding gaming website will quote me saying this too. I hate this vague rumormongering stuff.
I honestly couldn't even begin to imagine how frustrating this is
lol sorry, I didn't mean to put you in an uncomfortable position. Thanks for the info!I'm enjoying the new podcast btw, nice work!
ah, makes sense.
I do think they are deffo waiting, as it worked so well for them last Gen. Having the last word is a strong position but I don't think they can undercut ms on price this time. It's all so interesting to me.
RE: BOM debate.
Didn't Tom Warren indicate that he'd be surprised if Series X is $499 given the BOM on it? Seems like MS will already be taking a bit of a loss to hit the $499 price point, let alone go lower.
Didn't Tom Warren indicate that he'd be surprised if Series X is $499 given the BOM on it? Seems like MS will already be taking a bit of a loss to hit the $499 price point, let alone go lower.
Sony also want to be competitive, Cerny already mentioned that in the unveilling.. That doesn't mean both have to have the same price, both can be competitive even if they differ in price. What we know so far is that almost every 'important' component on XSX seems to be more expensive than equivalent on PS4: APU/GPU is bigger , RAM is partially faster, SSD(capacity) is bigger. Sony has quite a bit of extra customization which we don't know if it will cost them less equal or more than the difference that the extra 'raw' power elements on XSX may cost over their PS5 equivalents.
And if MS has two SKUs, that equation may even be more complicated, why would you manufacture a 'cheap' console if you plan to 'eat' losses on the more expensive one? (on top of current GP sales that sure aren't cheap either)
I think both will be close to 499, but seems logical that with that in mind, PS5 seems to be the one with lower cost (apparently, unless their customization is expensive, that wouldn't make much sense).
No rush. You can't hasten greatness, after all. I just want to hear at least something before then. Not a big blowout but some additional information that sustains hype. Like a portion of the final console design a week in advance? A tease from one of their first-party games? A studio acquisition?
I appreciate you commenting on this. Sony has been pretty quiet and I suppose that has only increased the hunger for info.
Do you really see this genius approach of taking a loss just to undercut competition you're proposing anywhere, like phones, laptops, games etc? I know that consoles have been sold at a loss before, but it has more to do with market research and customers not willing to pay any more than a certain amount. It's definitely the last resort to cut the price just for the competition. This hasn't really happened before, so why would it now?
Sony has a much more profitable gaming division than MS and that is what counts the most. MS has already made sizeable losses with Game Pass for sure. It makes absolutely more sense for Sony to take a loss with how they have handled their business. Neither Sony's or MS's gaming division will have unlimited resources of the whole company available from the operating income or profits just because they are that wealthy. This isn't how a successful business works or can work. There has to be a very clear plan for a certain profit margin for either Sony or MS to sell the consoles at a loss.
These things have to be based on cash flow calculations and accurate market research. If the division itself can't take the loss, in your proposal someone would have to take the hit instead whether it's shareholders, some other division etc, and it just doesn't work like that. There can be some group contributions inside the conglomerate, but If MS can sell their console with the same price as Sony, they definitely will.
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Nobody said it would be "cheap" per se, but it is a home grown solution, and unless we have other information contradicting this it is also likely self-produced, as they are likely to use it in other electronics they manufacture such as video or photo cameras. Which is why, at least on this and maybe a few other components, they have 'probably' a lot more leeway than some tend to give them credit for.
But we shall see, as there is much that will influence the final price.
Not my "genius approach" simply what was mentioned in the video I posted.
This is quite specific to the console space - closed ecosystems where the bulk of profit is coming from their online game store, their services etc. If they felt it was necessary (as Peter Moore said happened with 360), they can undercut the cost of the machine to get customers onboard at a competitive price. Then make up money later. Build cost goes down over time, so it would only be a temporary measure.
Lets hypothetically say XSX cost $559 to build and PS5 cost $499 to build. Ideally they'd want to make a profit, but no one wants to spend that amount on a console, so they'd ideally then want to sell at cost. This would be controversial. Depending on how each see it, they could make an early loss till build cost goes down, but how far down can they go. MS according to Peter Moore, can definitely go a fair way if they need to, and he doesn't think Sony would be able to go as far (his opinion from the vid I posted earlier). He also suggested MS will want to push Sony to announce price first. They'd want to change the narrative after Xbox One and be more price competitive. So for all we know PS5 may end up at $449 and XSX might also be at $449, with MS taking a bigger hit to be competitive with the arguable "more powerful system". Maybe it goes the other way, and PS5 gets a $499 tag and MS go lower or the same, who knows
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Weird how COVID-19 only changes Sony plans.
To Sony..
I would like to inform you that the internet is a thing and your competitor just had an event and more events planned.
To Sony..
I would like to inform you that the internet is a thing and your competitor just had an event and more events planned.
God this wait is gonna suck. Nothing to look forward to or even get invested in for yet another month. Woof.
Jason, you know triple click is brilliant. So happy you're on Maximum Fun. Thank you.
Considering they are supposedly going with a stratified model, ie, more and less powerful models, I don't see how that would factor into their strategy. And I also, don't think that is the way MS rolls. Peter Moore left MS a long time ago, but he it seems he is looking at it from MS perspective, rather than looking at a situation where both players are dynamic. You could flip it anyway, and say Sony has more leeway in the console space since they have generated much higher profit in that space which they can reinvest. Ultimately, I think though that if you look at the approach both seem to be taking, there is a much higher probability that PS5 is somewhat cheaper than XSX, than the reverse. But also pretty possible that they will be priced the same. We live in uncertain times.
But like... one of the big things for Xbox that's come out was that many partners aren't ready for a show. Their FP show case is in July (after Sony). The Inside Xbox yesterday wasn't exactly heavy on gameplay, nor did it feature many of the big developers or publishers, largely due to COVID-19.
So... yea, COVID-19 affects everyone. We can plainly see that in Sony's plans and in Microsofts plans. You might have a point if Sony's next gen reveal wasn't currently rumored to be scheduled ahead of MS's big reveal.
Of course, but the same principles still apply. The sales margin of consoles at the normal price point is very low already and much lower than usually in electronics, and this is precisely because it's so essential to get people inside the ecosystem like you said. Still, both current consoles just would be sold at a much lower rate if a proposal like this would actually be the best one. Either MS or Sony won't take a long term loss if they don't absolutely have to.
Ms spefically has Lockhart for this reason. Why would they even need the whole Series S model if they could just achieve total dominance by lowering the price of Series X?
Yeah, I'm just reiterating what is in the video. Peter's perspective is based on both companies overall circumstance, so it makes some sense at least. The whole situation is fascinating to see unfold.
I believe he said that would be an aggressive price based on the BOM...
Gimme dat model code
Please be CUH-b8202!!!!111
7 million Instagram likes.
I have more confidence in Sony's event be satisfying because they've held out for so long. They likely are waiting to have a big blow out with first party next gen games. Especially since their teams are far more likely to have next-gen only stuff to show, i think we will see more of what next gen can do than xbox can since their first party stuff is going to be cross gen for a while
Not sure how that "event" should encourage Sony to do something soon when it was an perfect example of the current challenges of marketing.
I mean you're not far off, you could def. infer from his post that he would be surprised at a $499 price.
I guess the thing you have to remember is that taking a loss is going to be more expensive for Sony, as they will sell more units.
In one of the other threads people were suggesting that a $150 hit is feasible because of X,Y and Z
Sony are expecting to sell 6-7million to begin with.
That is a 1billion dollar loss just to make that happen.
So you have to ask yourself, if they didn't take that loss, how many would they sell anyway?
We know that the price isn't the be all and end all of things and Sony are a strong enough presence to sell for pretty much what they want.
As it turned out it didn't even hurt the PS3 in the long run when it was as expensive as it was and they had other problems to contend with.
That makes sense. No reason to rush anything when you don't have to.
Also, WB potentially doing something in August! Man that seems late. jschreier does this mean Batman might not be coming out this year?
"A delayed conference is eventually good, but a rushed one is forever bad"
But PS3 was sold at over 200 $ loss/ unit? They had to put an insane price because the BOM was totally out of control.
Sony has always been very aggressive with the pricing, even with the PS3 ( considering the cost ).
Well, MS had a much better financial position when PS4 and XBO were revealed, with much better mindshare, since they technically sold the same amount of consoles (PS3 vs 360) , and the internet claiming they would wipe out Sony easily. Yet they priced their console higher. So many are kind of repeating the same tale. Yes MS will probably have learned from mistakes in the past, and sony also has learned a few things too. Both can eat costs, but that is a bet that , if you lose, it will hit you hard for quite a long time. So while i expect both to be as cheap as possible, that has to be within reason. MS already could've done that with XBX and didn't.
I think the difference in pricing will be at most 50€/$ btw, with Sony being the cheaper console.
If sony will sell more, they can also have better deals with providers and every part of production, than MS. So that would lead to lower cost.
MS were also making diabolically stupid decisions for Xbox. I don't think that matters now. They want to push to be price competitive. In that sense, it seems plausible they will push to be at a similar if not identical price to PS5. Again, as per the video, no one wants to be the one in controversy over a high price, nor do they want to relive being priced higher than the competitor (in their opinion)
Ah, the Warchest Theory.
If that was true and they could deliver a $400 Series X, what would be the point of the Series S?
And why didn't they do it for the Xbox One or the most recent Xbox One X and Xbox SAD?
I'm very doubtful
New generation. A new trajectory, not one that is on inevitable downward slope, where your trying to limit damage. It's not even a question, MS have much more room to lose money then Sony, as the video discussed. MS are stronger in terms of financial might then they were previously when XBX launched, not to mention Xbox being a core pillar for investment by Satya.
They do, especially when it comes to current gen hardware like the PS4 and PS4 Pro that will be selling with the PS5. They also sell more software. Those things mitigate the losses, next gen isn't some clean start for a gaming business.
This argument has been made each gen. And of course it is going to make sense to those who want to believe it. MS are of course a more profitable company, but that doesn't mean they are willing to operate at a greater loss in any given sector. They haven't shown that propensity in the past nor in their other operations. Perhaps that could change, I doubt it will. I suppose we will see over the course of the year.
No I am not - I don't know what your game is, but you need to stop this bullshit attribution of arguments to people who aren't even making them.
It's a wash since both companies are really health and have a ton of cash on hand.
But all these reasons don't match Microsft's actions, they are more theoretical and have no basis in reality.
Waking up and just seeing PS5 news was a fantastic feeling, not gonna lie