sales2099 said:
Jereel Hunter said:
Hiku said:
deskpro2k3 said:
The superior version of Titanfall will most likely be on PC. |
^This
Kyuu said:
People keep mentioning price cut as a potential Xbox advantage. Why are you assuming Sony can't respond with a price cut of their own?
Unless Microsoft pulls another 180 by ditching Kinect, price cut will never be an advantage for them. |
^And this.
If there's one thing Sony obviously learned from their mistakes of the PS3 launch, it was the price of the console.
They now have a technically more powerful console than Microsofts, and at a lower price. Who's to say they are willing to let go of this advantage if Microsoft cut the price of their machine? Sony may very well follow suit.
As for Titanfall, plenty of people will no doubt go for the PC version. Not just because it may be the best version, but also because they already own a PC, etc. When it comes to the long term, I'm not sure if Microsoft will still own the console exclusive rights to it. From the sound of it, it may be a time exclusive deal.
In conclusion, I think Titanfall will certainly boost Xbox One's sales. But whether it'll outsell PS4 or not I can't really say.
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It's unlikely that Sony would follow suit on a price cut if they didnt' HAVE to. The reason MS has room to make a price cut is because MS has money. Loads of it. Every division prints money. MS makes more profit, per quarter, than Sony, as an entire company, has made in the last 10 years. If they sell their next 8 million units for $100 less, their profit margin for the year goes from $27 Billion to $26.2 Billion. To even match half that price cut on an equal number of units, sony stands to risk going from in the black for the year (not something they even do consistently) to in the red.
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As much as I would like MS to just dump a cool billion into the Xbox division to fund a price cut, it will just look bad to the shareholders and show up as red ink on a otherwise black quarterly report. For better or for worse, they want to be profitable with their current funding. Good news is 360 is still as expensive as ever with their 2008 prices........ugh. It should help pad the X1s first couple years.
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Oooh it won't happen like that, the numbers I talk were purely an example of the economic strength of MS. Not that they'd kiss goodbye to $800M as if it was nothing. But rather, dropping price in order to induce sales over the year on par with PS4 (instead of selling way less) is financially viable for them. Obviously what I said didn't go into true numbers, as the lost revenue per unit would be made up for by
1) far more volume. If they made 8M sales with a $100 price drop, they'd probably be looking at 5-6M without
2) software sales volume - obviously each of those sales would buy some games, and those profits would mitigate the loss.
My example was purely to show that MS could risk the financial shift of a sudden, big price drop. It would be very dangerous for Sony to attempt even a more meager drop (until it was NEEDED to stimulate sales)
