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vivster said:

Fewer people getting the console is a projection you make, there is no assurance (but yes we could say it is a bigger risk) less people would buy it, it all depends on how you explain the concept to the customer to make he see that they are not paying more for less, they are paying it differently. One way to sweeten the pill was already gave, that you have monthly payment together with the sub. Let's say you make a contract for PS+ and a PS5 for 5 year, so you pay 10 per month on the HW plus 5 for the PS+ so a 15 bucks on the HW and a cheaper game to purchase (15 is close to what stadia is charging without you having the HW).

The consumer is too stupid to do math and those who will do the math are the ones the manufacturer will lose a shit ton of money on. This is a massive lose situation for the manufacturer. And if the manufacturer loses, everyone who bought the console will lose because of held back investment. To make this a win for the manufacturer you'd have to pay a lot more up front which makes everything even worse. Lowing the general price of games is also a terrible idea because it gives publishers room to increase the price again.

It's just overall really really terrible. Stores make their money off of game sales and there is nothing wrong with that.

Don't think the console maker would lose money (first because they wouldn't be selling the console at a loss at any point, and second because they would be making the average royalties profit on the HW already), but yes it probably would be met with a lot of struggle.

I haven't said or implied that making money of game sales is bad. What I said is that this could reduce second hand and price dropping.

duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

Azzanation: "PS5 wouldn't sold out at launch without scalpers."