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Gaming - Who WON E3? - View Post

Ka-pi96 said:
VideoGameAccountant said:

First, to Ka-pi, why did Sony do well this generation? If you compare 2016 to 2009 (about 3 years in to their respective generations) both hardward and software sales are DOWN. Every system is doing poorly except the 3DS and the PS4. Almost all the increase in PS4 hardware and software can be explained by the decline in Microsoft's hardware and software. This mean's the PS4's success is due not to some fabulous business maneuver but due to consolidation. Sony would have been in dire straights if Microsoft didn't create a DMR Kinect machine. A lot of people who think Sony is doing so well seem to ignore this fact.

As to your comment: Playstation is tethered to the TV with no way out. Sony needs to escape the shrinking box (this isn't an issue for Microsoft as they are turning their consoles into entertainment PCs). Fewer and fewer people are buying or watching TV. So any system tethered to a TV will suffer. The Switch is a transition. It can easily become just a mobile console once the bottom falls out. But Sony doesn't have any kind of plan. Sony is basically sticking with the PS4 and hoping it works out. For comparison, this would be like having factories in a warring South American country, and instead of getting the hell out, you double down your investment. 

Sony hasn't been able to compete in a handheld space with Nintendo. The PSP lost to the DS and the Vita crashed and burned. However, the market is moving towards mobile gaming. Since Sony can't compete, what are their options? Stay on the sinking ship or try to get into portables again? Even if Sony makes a Switch like system, would their core accept that? This would mean the PS5 wouldn't be much stronger than the PS4, which would leave Sony fans very upset. 

Sony is a lot like Sega in the last legs of its console run. Sega was living in a time long gone. They wanted to make arcade games in the home. The Dreamcast is still an awesome system for arcade games. Nevertheless, the market didn't accept it. Now Sony is doing the same thing. They are making "cinematic" games, but the market is moving away from that. The arcades were absorbed by the home console (which started the "war for the living room." ). Now, the home console is being absorbed by the handheld console as performance has hit its peak. Sony wants to keep making cinametic games of Gen 5,6 and 7, but the market is moving away from that. Even if they do release a Switch clone, will Sony have the right games? Probably not.

Why would your average consumer want a PS4 or a PS5 when they can buy a Switch they can play anywhere? Why buy a PS4 or PS5 when you don't really need a TV anyway (which is where we are going based on the data). So how does Sony compete? Too many analysis look at the present. "Sony is doing well now so they will do well in the future." Kind of like "The Wii U did bad so the Switch will do bad" And we all know how that turned out.

TL;DR - TVs are dying and Sony is tethered to the TV. Consoles are being absorbed by handhelds and Sony has never been able to compete in this space. Sony will struggle to make a Switch clone as their core wont accept a minimal upgrade in power. Sony is like Sega in they are in the wrong generation. 

I still find it absolutely hilarious that somebody actually thinks that

Yeah, because unlike you, I can operate Google

https://www.fool.com/investing/2016/08/13/its-official-the-tv-industry-is-dying.aspx

According to data from The Acumen Report from DEFY Media, 90% of consumers aged 22 to 24 use social media as a top source of video content, 86% of the respondents go with YouTube, and 67% of them consider Netflix to be one of their main video sources. Cable and satellite TV came in fourth position in the survey, with 59% of consumers choosing it as one of their leading sources of video. 

http://adage.com/article/digitalnext/tv-die-stay-tuned/308618/

 

For today: Advertisers are spending, traditional networks are making money and all of this sounds like stuff you've heard before. But we're only talking about timing. Traditional (linear) TV audiences are declining at a significant rate, and they are practically aged out of key demographics. Cable customers are also declining. So, the question is when this shift will make a difference, not if.

http://www.multichannel.com/news/content/tv-ownership-declines-2009/411192

The average number of TVs in homes is on the decline, according to the Department of Energy's U.S. Energy Information Administration's most recent figures, while younger households have higher concentrations of broadband content-access devices.

According to its latest Residential Energy Consumption Survey, there are an average of 2.3 TVs per home in 2015, down from 2.6 in 2009.

 

In addition, a larger share of homes reported not using a TV set at all. In fact, the percentage doubled from 1.3% in 2009 to 2.6% in 2015.

Emphasis is mine. I point this out because someone was claiming "The decline of TV is due to a correction as it rose with HD TV purchases." This is wrong as there are more households without TVs. 

http://www.cnbc.com/2017/04/24/television-sets-dying-accenture-study.html

Instead, more than four out of 10 people said they would rather watch on a laptop or desktop computer, while 13 percent opted for their smartphone. The survey also found just 19 percent of survey takers used their TVs as the go-to device when watching sports games.

U.S. sales of TV sets during the back-to-school period between June and September have fallen 9% to $4.1 billion in the last three years alone, according to market research firm NPD Group. Large-screen TVs comprise much of the ongoing sales, noted Stephen Baker, VP-industry analysis at NPD.
"Sales of smaller-size TVs are declining because people aren't replacing the ones they have with televisions, they're replacing them with mobile devices," Mr. Baker said.
If you looked up for a minute, you'd see that TVs are fading out. The next generation is not buying TVs. As I said before, the iPhone generation is growing up. If they buy games, where do you think they'll gravitate. To play a PS4, you need a TV, and most Millennials don't want to lug it around. They don't need it if they are watching everything on their phone. Or will they buy a Switch which is cheaper than a PS4+TV and fits better into their lives? The new generation is going to want mobility. Sony isn't offering that. And Vue isn't going to save them as everyone is getting into streaming. Sony has shown they aren't able to keep up with other major companies. Apple and Samsung have been kicking their asses for years. Do you really think Sony can get that off the ground? 
I find it funny how everyone who disagreed with my post didn't have any reasons. No one had an argument. Just plug your ears, say LALALALA and hope everything will turn out fine. 


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