Quantcast
Why Sony's Take-Two Aquisition RUMOR seems possible now?

Forums - Sony Discussion - Why Sony's Take-Two Aquisition RUMOR seems possible now?

Exclusives

Exclusives used to be a part of the PS1-PS2 era,it was not just because of Console manufactures both Sony and Microsoft money-hatting the 3rd Party Publishers but also with relation to exclusives on PS1-PS2,it was because PS2 sold far far better than its competitor that it was no point making software for the others.

But those days ended in the PS360 era when Sony Dropped the ball and in its arrogance didn't Sign Exclusives and their expensive PS3 console also cost them exclusives as they lost the lead.But Here Microsoft was more aggressive as they signed up 3rd party exclusives in order to makeup for their lack of brand power compared to the PlayStation brand and also snatch PlayStation's formerly exclusives like GTA,Metal Gear and Final Fantasy franchises.

Sony was in a tough position in the PS3 era,high console price,losing exclusives and close to 10 years of billion Dollar losses - the only way Sony could compete is reduce PS3's price which they did and bolster its games lineup with first party exclusives which they did,although one of the biggest points PS3 was able to fight back was the stronger PlayStation brand name worldwide thanks to the success of PS1 & PS2

Apart from first party exclusives,most 3rd Party games were on both PS360 by the end of the gen,thus ending PlayStation's 3rd Party Exclusives era.

Now came the PS4 & Xbox One generation,this went to Sony & PS4 thanks to its stronger brand name worldwide and Sony's first party exclusives.Also,Sony because of its dominance was able to secure 3rd Party Marketing rights for Call of Duty,Star Wars,Assassins Creed,GTA,Red Dead Redemption comparable to what Microsoft had done with X360.

After losing the PS4 & Xbox One gen,Microsoft has now like Sony started building up its First Party Exclusives offering for next gen.

Note

The downfall of 3rd Party exclusives ERA was not because 3rd Party Publisher's suddenly wanted to appease all gamers of because of Microsoft Big Wallets(though it was part of the phenomena) but because of Sony's decisions.

Sony launched PS3 a holiday later than X360 and at a ridiculous price which resulted in low sales by which time it made no sense of 3rd Party publisher's to put exclusives on PS3 because they would sell less.By this time,even if Sony wanted to money hat the Publisher's,they would have to pay a ridiculous prices which was not affordable.

Even the exclusives like GTA which SONY had signed at the start of the PS3 generation,they had to let go due to publisher's backlash because of low sales,They had to exchange this for multiple Marketing Deal's like GTA5's exclusive marketing deal for PS3.

Had Sony released PS3 at $299-399 with X360 in 2005,with their stronger brand name and exclusive signings.3rd Party Exclusives would still be the norm today

Competition

A thing to look for is Competition from multiple sources

Microsoft after their Acquisition of 10 new studios

Apple as you all know have the brand power,money power and platform power of the App Store so it is the biggest competitor aside from Microsoft and Nintendo that Sony's gonna face.

Google is the second one,it doesn't have what Apple has in brand power and money power but it is still very rich and globally known brand but it has the Android platform.

Amazon is the last one,it also has the money power but it lacks brand name compared to Apple and Google and has lacks platform like App Store and Google Play Store

 

I did not mention Nintendo as it doesn't directly compete with Sony,nonetheless it is a competitor

Grand Theft Auto

It is the biggest gaming franchise in the world by far.GTA5 sold 100million copies.

Even if they sell 50million copies on PS5,it will be a huge system seller and guarantee PS5 to be by far the best selling console,probably also beating PS2

Finance

Sony atm has a market Cap of $60billion,its has cash on hand of about $25billion and has assets of $170billion so Financially this deal is viable

Also GTA5 itself earned $6billion in revenue,Future sales could easily pay for this deal

Changing Industry and Future

Alot of people are do not want a game like GTA or other big 3rd Party games to be exclusives but the world doesn't always function by what you want or don't want but through the laws of nature.

And every industry goes though cycles of contraction and expansion and the gaming industry atm is in transition.

New competitors like Amazon,Google and Apple are entering the industry and all of them will be in for signing big exclusives.Competition will be tough and Sony needs a big exclusives other than its first party offering.

Also,the future is not just the battle of games exclusivity but of hardware platforms.Google and Apple are kings of this with their Apple's App Store and Google Play Store.Phones,Tablets and now TV's sell not based on software or hardware but based on the Operating System and the platform.

Apple's App Store and Google's Play Store have every advantage from Movies to Apps the Games which PlayStation Store or Windows Store or Nintendo Store,so i eventually gaming future will be dominated by platforms and Microsoft,Sony,Nintendo like other 3rd Party Publishers will be like Film Studios and Distributors selling games on App Store or Google Play Store.

Another new area is streaming again where Microsoft,Sony and Nintendo will just become publishers eventually not console manufacturers.

 

So in an Event Sony becomes only a publisher,GTA is a great brand name acquisition

Last edited by lightningfunk - on 14 March 2019

Around the Network

Google (Alphabet) are always among the top, quite sure they have more wealth than Apple.



Random_Matt said:
Google (Alphabet) are always among the top, quite sure they have more wealth than Apple.

Google profits are almost half of what Apple earns



lightningfunk said:
Random_Matt said:
Google (Alphabet) are always among the top, quite sure they have more wealth than Apple.

Google profits are almost half of what Apple earns

No idea where you are getting your info from then, it was only at most two years ago they were the wealthiest company in the world.



Take-Two Aquisition would be a HUGE move.



Around the Network

This could very well be what some have been worried about. PS getting full of themselves and going overboard again like with PS3. Except this time they've learned their lesson, so instead of an insanely powerful, complex, and expensive console with lack of games because of it, they create a strong enough, established, affordable console, and blow their investment on a sure thing in terms of quality gaming franchises.

Not only would this be a much smarter single big move in comparison to PS3, but everything MS has done in terms of building up their first party would all be instantly overshadowed by this one PS announcement.



The Canadian National Anthem According To Justin Trudeau

 

Oh planet Earth! The home of native lands, 
True social law, in all of us demand.
With cattle farts, we view sea rise,
Our North sinking slowly.
From far and snide, oh planet Earth, 
Our healthcare is yours free!
Science save our land, harnessing the breeze,
Oh planet Earth, smoke weed and ferment yeast.
Oh planet Earth, ell gee bee queue and tee.

Random_Matt said:
lightningfunk said:

Google profits are almost half of what Apple earns

No idea where you are getting your info from then, it was only at most two years ago they were the wealthiest company in the world.

i don't remember google being the most valuable company 2 years ago

but Apple has been the the most wealthiest company for the last few years



lightningfunk said:
Random_Matt said:

No idea where you are getting your info from then, it was only at most two years ago they were the wealthiest company in the world.

i don't remember google being the most valuable company 2 years ago

but Apple has been the the most wealthiest company for the last few years

Not anymore, that goes to Microsoft.



Random_Matt said:
lightningfunk said:

i don't remember google being the most valuable company 2 years ago

but Apple has been the the most wealthiest company for the last few years

Not anymore, that goes to Microsoft.

you're confusing wealthiest with most valued

Apple is by far the wealthiest company in terms that it has the most cash on hand.

 

Most valued means you have the biggest market cap,Apple just 3 months ago was the the most valuable company in the the world with a market cap of $1TRILLION



So you would want Sony to spend almost half there Cash on hand for a Publisher/Developers that has the promise of making $6b in however long GTAV has been on the market for? (6 years) Small detail, that $6b is made from GTAV selling over 90m copies, and sorry to say that's not all on Sony's platform.
Google "GTA 5 has now sold over 90 million copies and generated over $6 billion in revenue since its initial release."

What's in it for Take-Two exactly here? With MS investing heavily in Xbox and its eco-system and PC and Nintendo's Switch being the hottest device on the market, you think Take Two don't see the possible venue on the other platforms? They make a fortune selling there games on everything not just 1 platform. So not only will Sony waste almost half there Cash on hand in just there gaming division, the income will be a lot less than what Take Two is making now so it will probably take 10 years for Sony to make there money back on Take Two's purchase.

Also Take-Two wont have to share there profits on there games.

So basically I am just asking the question here, What's in it for Take-Two?

If they were brought out the negatives are..

They have to cross there fingers that Sony's next platform is incredibly successful
The Income they make gets more divided
They limit there games to 1 or 2 platforms
They could possibly lose development freedom

Last edited by Azzanation - on 14 March 2019