Sony: PS5 price to increase in select markets due to global economic environment, including high inflation rates (UP: SEA price increases)

[enpleinjour]

Some serious stock movement. This is what happens when you have actual sources reporting on acquisition rumours of public companies.....or is it....the source is a relatively unknown Swedish gaming newsletter?

This is a somewhat naive approach. Microsoft clearly bought Activision to have their games day 1 on their subscription service. And Amazon happens to be another big cloud services provider.

See the link? If I was Sony, I would start watching very closely these revenue figures generated by third-parties.

Jury is still out whether regulators will allow that type of foreclosure.

Also Amazon Luna isn't really a threat to Playstation. Its a streaming only service and doesn't have a dedicated platform to compete with Playstation hardware.

 

[Aostia82]

Not really. The data kind of showed the opposite.

PS5 was actually outselling XSX by more than what PS4 did to XB1 in the US and UK at the end of 2021. We've already gotten word that the PS5 is now number 1 in revenue in US and UK.

You are mistaking several months where yes PS5 did lose marketshare versus the LTD where its ahead by quite a bit. Its a tiny loss in the marketshare that can easily be recouped, especially as PS5 supply increases to 18M-20M+, how is Xbox going to keep up?

We just got Ampere estimate PS5 at 21M, XSX 13.8M. Compared to PS4/XB1 its somewhere between a 1-2M "loss in marketshare".

We got data for which ps4 sold more than twice ujits compared to Xbox One
This is not happening for the gen so far

 

[fiendcode]

Jury is still out whether regulators will allow that type of foreclosure.

Also Amazon Luna isn't really a threat to Playstation. Its a streaming only service and doesn't have a dedicated platform to compete with Playstation hardware.

Isn't streaming platform the thrust of the foreclosure argument against MS acquiring COD (and thus Activision)? Why would it matter there and not here?

 

[enpleinjour]

We got data for which ps4 sold more than twice ujits compared to Xbox One
This is not happening for the gen so far

This is the wrong time frame. You are taking 6 year LTD figures versus year 2 figures. Here's a better comparison:

• PS4 20M, XB1 11-12M
• PS5 21M, XSX 13.8M

As you can see, its a small loss of 1-2M while having stock issues.

Isn't streaming platform the thrust of the foreclosure argument against MS acquiring COD (and thus Activision)? Why would it matter there and not here?

The first sentence is separate to the rest of the post you quoted.

From an ant-trust perspective, its foreclosure if EA can no longer offer games on GamePass or PS+.

The next bit was about why Amazon buying third parties is less threatening to Playstation than MS or Nintendo.

Microsoft has a relatively popular hardware platform, so GamePass can actively remove console players from Playstation. Luna only exists as streaming, something most of the console audience is not interested in right now.

Lets say if Luna has EA+, or Prime now includes free EA games. Where are the 100M+ Playstation console buyers going to move to to play EA games? Streaming PC, TV, smartphone are very different inputs to a console.

 

[hroerekr]

The US Dollar is the main reason for all of this... its strength is what makes these hikes in other markets necessary.

That is not true for Canadian Dollar, and we still got the hike here too.
CAD/USD Nov 2020: 0.76
CAD/USD Aug 2022: 0.77

Sounds like an excuse for Sony.

 

[SoonyXboneUhh]

This is the wrong time frame. You are taking 6 year LTD figures versus year 2 figures. Here's a better comparison:

• PS4 20M, XB1 11-12M
• PS5 21M, XSX 13.8M

That number is still way to low if you want to compare it to end of June second year sales.
PS4 was at
18.5m sold through as of 4th January 2015
(1.7m in 2 months)
20.2m sold through as of 1st March 2015
30.2 as of 22nd November 2015


PS4: 23m, XB1 11.5m
PS5: 21m, XSX 14m
That's a loss of 4.5m

 

[Tokuiten]

Would Amazon not release EA-games on consoles? Can't see that happen, so not much would change for Sony nor MS.

As for CoD, it's naive to believe it will stay on PlayStation forever, especially when the argument is 'regulators will make sure'. Regulators can't dictate a game developer's release schedule.

 

[awng782]

CNBC has decomfirmed the Amazon/EA rumor, so best to ignore that for now.

 

[Baobab]

That number is still way to low if you want to compare it to end of June second year sales.
PS4 was at
18.5m sold through as of 4th January 2015
(1.7m in 2 months)
20.2m sold through as of 1st March 2015
30.2 as of 22nd November 2015


PS4: 23m, XB1 11.5m
PS5: 21m, XSX 14m
That's a loss of 4.5m

I also think the context in which XBOX operated matters.
in 2013 XBOX was on the good side of consumers and then squandered that reputation in 2/3 years of folly.
they are now working hard to get that good will back, I personally think they are still lacking in exclusive games to reach that apex.
Playstation on the other hand…..well they are playing with that good will.

 

[fiendcode]

Would Amazon not release EA-games on consoles? Can't see that happen, so not much would change for Sony nor MS.

As for CoD, it's naive to believe it will stay on PlayStation forever, especially when the argument is 'regulators will make sure'. Regulators can't dictate a game developer's release schedule.

I mean, people said this about Minecraft too but it only ended up expanding platforms thanks to the MS acquisition and continuing that approach with an even more crossplatform engine change and several multiplatform spinoffs.

I could definitely see COD following that formula.

 

[enpleinjour]

Would Amazon not release EA-games on consoles? Can't see that happen, so not much would change for Sony nor MS.

As for CoD, it's naive to believe it will stay on PlayStation forever, especially when the argument is 'regulators will make sure'. Regulators can't dictate a game developer's release schedule.

Yes they can. Regulators have the power, either through agreement or court, to force terms of business and even cause divesture.

 

[Agent42]

So I'm going to assume Sony couldn't move the PS5 down to that rumored 6nm revision.

This certainly adds some mystery over what future devices will cost. I fully expect the Switch 2 to be $399

I mean, people said this about Minecraft too but it only ended up expanding platforms thanks to the MS acquisition and continuing that approach with an even more crossplatform engine change and several multiplatform spinoffs.

I could definitely see COD following that formula.

multiplatform without Sony's influence, this is a big point. Sony tries to control the market with leverage and influence. Now, with Bethesda and Activision, it´s not working more.

 

[Tokuiten]

Yes they can. Regulators have the power, either through agreement or court, to force terms of business and even cause divesture.

So if MS doesn't want to make new CoD-games at all, regulators can force them to continue making them? I doubt that.

 

[Rainy]

It'll be fun to see how much FF16 sells first week in Japan.

 

[enpleinjour]

So if MS doesn't want to make new CoD-games at all, regulators can force them to continue making them? I doubt that.

Your initial post was COD staying on PS, which definitely can and will be enforced by regulators. Did you forget that regulators are with law enforcement?

A company can't operate without obeying the law, and if you do some silly stuff like deliberately mess with regulators, then your entire company will have an even harder time in the future.

Furthermore, US,UK and EU regulators all work in tandem for these multi-national companies, good luck trying to evade jurisdiction then.

People and companies have grown up in a time (last 20 years) where regulators had little power. It is completely different with the Biden administration and EU commission. An example of whats to come:

• Apple - DOJ investigation, lawsuit rumoured to come
• MS - 2 EU commission investigations, not including possible ATVI investigation
• Amazon - 2 FTC/DOJ investigations, 1 EU commission investigation, 1 Washington AG suit settled, not including their 2 new acquisitions.
• Facebook - 2 FTC lawsuits, 1 UK commission block/lawsuit, 1 DOJ block
• Google - 2 DOJ investigations,

 

[reksveks]

People and companies have grown up in a time (last 20 years) where regulators had little power. It is completely different with the Biden administration and EU commission. An example of whats to come:

• Apple - DOJ investigation, lawsuit rumoured to come
• MS - 2 EU commission investigations, not including possible ATVI investigation
• Amazon - 2 FTC/DOJ investigations, 1 EU commission investigation, 1 Washington AG suit settled, not including their 2 new acquisitions.
• Facebook - 2 FTC lawsuits, 1 UK commission block/lawsuit, 1 DOJ block
• Google - 2 DOJ investigations,

I know your list isn't meant to be comprehensive but Apple and especially Google has many more investigations.

A cheat sheet to all of the antitrust cases against Big Tech in 2021

The list of antitrust cases against Amazon, Apple, Facebook, and Google is getting quite long.

qz.com

 

[calm_mongoose]

That number is still way to low if you want to compare it to end of June second year sales.
PS4 was at
18.5m sold through as of 4th January 2015
(1.7m in 2 months)
20.2m sold through as of 1st March 2015
30.2 as of 22nd November 2015


PS4: 23m, XB1 11.5m
PS5: 21m, XSX 14m
That's a loss of 4.5m

Wow, that's a big loss! I'm thrilled Microsoft has had such the turnaround. I hadn't owned an Xbox console since the OG Xbox, but with Game Pass, XSX being the better designed console and being more powerful I made the move to the Xbox ecosystem and I haven't regretted it at all!

If there had been no stock issues with the PS5 or XSX I don't know that the split would be much different.

 

[cejuilla]

These are only the beginnings I think, sorta of amuse bouche, let's see what it's all about when the Chinese party puts his noose in the Tsmc plant and redefin what are the goals and priority in order to fit their National Interest.
Semi conductor and Terre Rares might want to gonna speak too. Not only gas and oil stuff

 

[Tokuiten]

Your initial post was COD staying on PS, which definitely can and will be enforced by regulators. Did you forget that regulators are with law enforcement?

And I expand that initial post by giving an example of a situation where I'm sure regulators would have zero say in. Assuming MS stops making CoD-games for a couple year and then decides to re-start the franchise, would regulators then be able to demand that these new CoD have to release on PlayStation?

I really can't imagine that to be the case, so likewise I can't see regulators demand that current CoD stays on PS.

Just to be clear, I think it'd be smart of MS to keep CoD on PlayStation. There's lots of business tactics they could apply for their benefit, like early release on Xbox, exclusive DLC, or simply the fact that CoD will be "for free" on Xbox compared to 70 Dollars on PS5. If I were MS, I definitely wouldn't remove CoD from PS.

 

[BoktaiFan]

like early release on Xbox,

This is actually a very interesting though. What if they decide to do what many companies do with their Switch versions and just release it like 6 months later? Cod is still "on" PlayStation then right? So MS has technically kept their word.

No I don't think they will do this, but things are not as clear cut as some people might assume.

 

[Tbone5189]

It'll be fun to see how much FF16 sells first week in Japan.

More than XC3 that's for sure, probably by triple tbh

Spoiler

retail maybe but not overall

 

[enpleinjour]

And I expand that initial post by giving an example of a situation where I'm sure regulators would have zero say in. Assuming MS stops making CoD-games for a couple year and then decides to re-start the franchise, would regulators then be able to demand that these new CoD have to release on PlayStation?

I really can't imagine that to be the case, so likewise I can't see regulators demand that current CoD stays on PS.

Just to be clear, I think it'd be smart of MS to keep CoD on PlayStation. There's lots of business tactics they could apply for their benefit, like early release on Xbox, exclusive DLC, or simply the fact that CoD will be "for free" on Xbox compared to 70 Dollars on PS5. If I were MS, I definitely wouldn't remove CoD from PS.

You are completely wrong. Regulators do have the ability force MS to agree that COD stays multiplatform forever on both PSN and PS+.

I think you aren't aware of what anti-trust is. They literally have the ability (though rarely used) to break down companies regardless of size.

Amazon just agreed to close down their entire 1st party seller brands to appease regulators.

What you described, may also be anti-competitive, buying out a supplier and then forcing negative terms to competitors.

 

[enpleinjour]

I know your list isn't meant to be comprehensive but Apple and especially Google has many more investigations.

A cheat sheet to all of the antitrust cases against Big Tech in 2021

The list of antitrust cases against Amazon, Apple, Facebook, and Google is getting quite long.

qz.com

Haha yeah, its getting hard to keep track of all them. Amazon almost had 3 new acquisitions announced in a few weeks! They seem to not be tracking MS though?

 

[Halo4able]

Nah. They can excel by being the cheaper and better 3rd party gaming console on the market. That’s what sells the majority of 3rd party gaming consoles.

Sony 1st party software is not going to inhibit 3rd party gamers from eventually getting a Series S/X (or to continue to game on their pc or use gamepass or cloud game on their portables/tv, tbh)

I agree it would be ballsy to cut the price of Series S/X in the markets PlayStation is increasing prices in. They should do it. It’s good marketing and branding.

This also doesn't take into account that MS has clearly indicated their intentions to aquire more content.

EA or Take Two joining their first party roster would help them significantly, but I suspect they will look eastward this time.

 

[fiendcode]

Bethesda, Activision, Blizzard and King are already a lot to digest. I'm not sure if we see Xbox target another AAA publisher right away even after ATVI closes, though I do expect (many) more dev acquisitions.

I do feel like WBIE and Eidos were sort of missed opportunities for them though. Probably just bad timing as their hands are tied with the ATVI review process.

 

[enpleinjour]

This also doesn't take into account that MS has clearly indicated their intentions to aquire more content.

EA or Take Two joining their first party roster would help them significantly, but I suspect they will look eastward this time.

There is 0% chance any regulator (maybe Saudi Arabia lol) approves of MS buying another one of the Top 5 publishers.
You don't even know if regulators will approve of ATVI. What happens if it gets blocked? MS is completely blindsided.