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This also could have been titled: Why consoles sold at loss are a a lost cause.
Quite simple they are niche products even if they sell 100s of millions.
Why is it important they sell much, well so that they have a bigger userbase buying games.
But phones/pcs/tablets while 2 of the 3 aren't fully in that stage yet, they sooner or later all have enough power to play games developed for console or PC power.
that will mean without selling hardware they will have a multibillion userbase.
why sell hardware at a loss if your PS++ or Gamepass will shit money, like Netflix dumps theirs in viewporn like the witcher or lucifer.
that will mean they will only have to focus on the most important part develop games and lots of em.
So in the end they will all become 3rd party.

Everyone aside from Nintendo who actually sells its handhelds at a profit and gets a 30% cut from both PS++ and Gamepass



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