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colafitte on 05 February 2020
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RolStoppable said:
colafitte said:

So those numbers you post, are forecasts for next fiscal year???, and what that has to do with that 2019 graph when in this Fiscal Year Sony and Microsoft have the costs of launching a next gen console?

I know those are revenue numbers, but the fact is that Sony still generates much more money than Nintendo, and that money can be spent in something else..., Just because Nintendo can or decides to have less costs doesn't mean it's more succesful and it definitively doesn't mean is better for us, the consumers. This is not just a race about who saves more money.

The thing that i want to say, is that more people want to spend money on a Sony ecosystem than in the other two, and that's just as good to consider as profits.

This means Sony  spends more in triple AAA 1st party games, 3rd party deals, better hardware, better game services and infraestructures, etc....I guess it works for Nintendo and their fans what they do, because people will always buy Marios, Zeldas and Pokemons, but i prefer what Sony, or Microsoft, does.

But i guess you can say profits is the most important thing and i would not be able to disagree with you because is the most rational thing to think so. Just giving my opinion on the matter.

Calendar year 2019 and fiscal year ending March 2020 have nine months that overlap. Like I said, I wasn't in the mood to open up a bunch of financial reports to align the periods perfectly.

Both Sony and Microsoft generate most of their profit from PS+ and Xbox Live subscriptions, respectively. It's a high margin business because subscriptions are first and foremost about making gamers pay a second time for something that they've already paid for.

Yeah, yeah i know how a FY works, like i said, for a moment i forgot we were in 2020....just a lapsus!!

And yes, most of the profit comes from that, but they attract people to spend on subcriptions because first, those companies have spent a lot on money in a service where people want to spend their money, and you can only spent money that you earn. And besides, Nintendo is trying to do the same with their online sub, they just can't compete in that regard yet, but the moment they can, they will put online and gaming services at 60$ per year like the other two.

The moment Nintendo will need to spend a lot in these things to not get that far behind the competion will see Nintendo having less profits too. I still think that what Nintendo is offering right now is going to become really obsolete in a year or two. We'll see what Nintendo will need to do then...

Edit: And one more thing, those profits are just for gaming section, but Sony and Microsoft must probably get a lot more of indirect profits that go for other sectors of their company thanks to what their gaming divisions are generating that we don't see here. That's another point to take into account. People that spentd money on PS and XB then probably spend more money too in better TV's, better PC's and other things from those companies have interests too.... Everything is connected.

Last edited by colafitte - on 05 February 2020