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Soundwave said:

I don't really see the point in "replacing" consoles. You can sell the PS4 for another 4-5 years at $150-$199 alongside the PS5 with little to no problem.

The reason manufacturers create this artificial "replacement paradox" is to force people to only buy the newer system.

People still want the SNES and NES even today, sneaker manufacturers have no problem selling popular sneaker models that are 20-25 years old as current releases.

There's no reason with digital storefronts nowadays that consoles can't be kept on storeshelves for many, many years after "successive" consoles are released. 

The 2DS XL could be sold for many more years if Nintendo wanted to sell it for $99.99 and made a digital storefront where you could select from hundreds of GBA, DS, and 3DS games for $20-$25 a pop (no retail overhead), but they likely don't want to do that. 

Market saturation, demand and cost of scale.

It comes a point where it isn't profitable to keep selling the console. Even with Vita, Sony only stopped manufacturing and selling a console when it reaches a point of very little sales.



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

http://gamrconnect.vgchartz.com/post.php?id=8808363

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"

http://gamrconnect.vgchartz.com/post.php?id=9008994

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