The most intense of the hardcore of a market always become marginalized by a Blue Ocean Strategy. But this is usually because they bring it upon themselves. When the telephone replaced the telegraph, hardcore telegraph supporters refused to switch over. There was no reason to avoid it in the eyes of most people, but they made excuses anyway.
However, when the market is merged instead of eliminated, a portion of the hardcore userbase re-emerges later as product refinements occur. But only those who adapt to the new values.
As for the original PlayStation, yes, there was an element of Blue Ocean Strategy involved, but it was not what most people think of. They targeted an underserved market: countries without a market for video game systems yet. Being a large company, they were able to pull this off and made a name for themselves in video games for a lot of countries. But that was as far as their Blue Ocean went. The rest of their success boils down to lots of financial clout brought to bear, the secret of success in a Red Ocean.
Sky Render - Sanity is for the weak.
