310°

PlayStation Doesn't Need To Make A Big Acquisition To Counter Xbox

PlayStation doesn't need to make a massive acquisition to compete with Xbox. They need to continue building on what they already do well.

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lordsofgaming.net
PrimeVinister1320d ago

Agreed. Xbox only bought big to catch up with Sony, games-wise.

NecrumOddBoy1320d ago

This. If you look at the top games; there are very few in percentage to the consoles sold. 115 million PS5s but most exclusive only reach about 10% max on sales. I say this because this acquisition from Bethesda isn't news for the majority of consumers (still fairly casual) that will but a new system for Netflix and other games they see that might look appealing (the super popular titles and sports games for example). This news resonates almost exclusively within the hardcore community who follows the games industry more closely.

After a lot of further review on this, MS isn't going after Sony. They are going after "gaming in general." We are going to see MS in more publishing and service roles and to be honest, I would expect Game Pass to expand to the next Nintendo system and quite possibly, PS5 in the future. MS is trying to get consumers on their service, less than their consoles. If they have 100 million subscribers across PS5/Switch/PC with only 20 million on Series S/X, they still are winning. Services seem to be their goal and they are trying to still figure out Game Pass. It's not financially beneficial at the moment; also, in the end, console sales are not where the money is at, it's still about games and services...

Things are definitely changing.

umair_s511320d ago

Pressure is not on Xbox it's on Sony.

IRetrouk1320d ago

How do you figure that 🤔

umair_s511320d ago

It's about profit margins. MS is undercutting Sony.

1320d ago
NEXUS-61320d ago

umair_s51 - Sony destroyed ms in profit margins this gen, and next gen will continue that.

ms has to get back $7.5 BN before they even start turning a profit on that ludicrous investment.

Sony has to make back $400mn for Insomniac which they'll do before Christmas.

+ Show (2) more repliesLast reply 1320d ago
Bender65021320d ago

Which they have more than done. Watch this space.

NeoGamer2321320d ago

If Sony were to react with their own acquisition spree MS would again react and it would be a never ending cycle. MS felt they needed to do something and did. If Sony does the same it would just trigger MS to do the same. And everyone knows if this turns into a competition on buying studios/publishers it is obvious who will win that one.

Sony is best to just keep focused and doing what they do well. Make sure the PS5 is a great gaming console and make sure it has a great selection of games.

Darkborn1320d ago (Edited 1320d ago )

Nah I don't think so. There were tons of leaks and briefings stating the xbox investors were pissed at the revenue and stock of the Xbox most of this gen. I'm actually surprised they were able to get the OK to buy something this large. Since this happened I'm sure they have to actually turn a profit otherwise they won't do it again. They probably still haven't actually profited directly from the mojang acquisition yet.

NeoGamer2321320d ago

@Darkborn
Xbox Investors?

You think MS gives any time to the "Xbox Investors". Xbox is a zit in Microsoft's finances. MS has stated that the XB world is not a world that they make a ton of money on, but it drives innovation in Windows and other MS businesses so it is strategically important to be there.

umair_s511320d ago

It's not about the past it's about the future. If Sony will rest on it's laurels they will lose their customer base.

Master of Unlocking1320d ago

"Everyone knows if this turns into a competition on buying studios/publishers it is obvious who will win"

Maybe not so obvious. Having deep pockets is only part of the problem when you want to acquire studios. If that turned into a competition maybe MS could pull out the checkbook again, although even that is uncertain, as stockholders also have a say in this and could well veto that decision in a general meeting of shareholders until at least MS have recouped some of those ludicrous 7,5 billion dollars, which is gonna take a while... if ever. But there are only so many studios out there capable of developping AAA titles that are system sellers. Well, there are many still out there, like Capcom, Square-Enix, Sega, etc, but they're too big to sell to MS. And being japanese even if they were to sell to one or the other, my best bet would be they would sell to Sony.

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1320d ago
mark3214uk1320d ago

true but purchasing Bethesda does not even come close to catching up with sonys first-party studios games,if they had to get to 10 to catch up there at around 4 now after purchasing bethesda

+ Show (4) more repliesLast reply 1320d ago
FallenAngel19841320d ago

Are people not satisfied with the Insomniac acquisition from last year

NecrumOddBoy1320d ago (Edited 1320d ago )

I am not disagreeing with you but I don't think that is really valid in comparison. Insomniac is one studio that has a 9 to 1 track record of creating Sony exclusives anyway. That is like MS acquiring Playground Studios. It just made sense. MS just bought a publisher and took 3rd party studios within it. It's bigger than just Bethesda. If Sony bought Capcom or Square, for example, I would still think that would have been a dick move (although, I would really love it if Octopath Traveler came to PS5. I put 95 hours into the Switch game and really would have loved some trophies).

NEXUS-61320d ago

I'd like BlusPoint and Kojima under Sony - all the other big companies are heavily invested in multi-plat gaming and it wouldn't be right to chain them to a single platform.

Master of Unlocking1320d ago

Just like the studios under Bethesda's belt were. The Wolfenstein , Doom, Fallout or The Elder's Scrolls games have always been on Playstation consoles, but that didn't stop MS from acquiring them.

NEXUS-61320d ago

Bluepoint have been a dev for hire for various consoles. Although their best work has been done on PS consoles.

Koji is a new studio, and their one game is exclusive on console and available on PC. Even under Sony that probably won't change.

The studios I'm referring to are people like Capcom, and buying a parent company like SquareEnix is not good for the industry.

Even if Sony had the means to, I'm fairly sure they wouldn't.

Sitdown1320d ago

Had to double check the date, didn't we already have these articles already? It's simple, if Sony needed to, they would. Microsoft needed this move to try and level of playing field, and/or continue to cash in.

TheEnigma3131320d ago

Sony doesn't need to react to everything MS is doing; they're in an amazing position right now. MS has to clean up the mess from last gen.

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200°

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".

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spieltimes.com
Sonic18817h ago(Edited 7h 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.

sagapo3h ago(Edited 3h 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.

SonyStyled3h 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 😂

Ms3tjt1h ago

“ Xbox has to pay Microsoft back. ”

Aka

“I don’t know how business works”

jwillj2k46h 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.

franwex6h ago(Edited 6h 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.

-Foxtrot5h 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.

RNTody6h 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.

anast5h ago

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

glenn19794h ago

they cant do it right now they will get burned

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60°

Sega's Profits Are Up, But It's Mostly Down To Pachislots

Sega has released its financial statement for the 2023-24 fiscal year, and profits may be up, but it's mostly not down to video games.

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techraptor.net
60°

Activision VP Of Marketing Leaves Company, Joins Skybound Entertainment

Learn about Kaleb Ruel, the newest addition to Skybound Entertainment's executive team. Find out about his experience at Activision Blizzard and the launch of Diablo IV.

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gamersocialclub.ca