The PS4 is a MAJOR flop in Japan - we need to talk about it

[Soundwave]

Honestly game machines are in tough versus phones for a number of reasons, for one they can't really compete as an overall entertainment device.

Phones play games, maybe not the greatest ones, but they are easy to pick up and play and get the job done for eating up some free time on the bus/train/lunch break/airport for 99 cents or even free.

But on top of that phones are incredible social networking devices, they are the center of most people's electronic social life from Facebook/Twitter/Instagram use to email to web browsing to essential day to day needs like Google Maps/navigation. And they have Youtube and music and video and all that jazz.

A game platform that really basically only plays games (and maybe movies) for $40-$60 a pop seems antiquated.

Because the US is a less mobile market that still values the concept of the big screen TV, home consoles still have a future here, but Japan is looking ugly even for dedicated handhelds.

That 3DS drop off year over year is a disaster and for all the tire pumping Vita is selling no where close to the PSP, it's a niche device if there ever was one. PS4's launch has been underwhelming and its a situation that's predictably going to get really ugly looking at its release docket for Japan, and the Wii U is a bomb there too.