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DonFerrari said:

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I would say perhaps you have a very strong bias view based on your own life experiences.

PS: Not to take a potshot at you, but your line of thought is very similar to the one of the MS executives saying Xbox One could sell 1 Billion units. https://www.vg247.com/xbox-one-microsoft-aims-for-1-billion-lifetime-sales-100-million-xbox-360-units

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I have replied separately to the rest of your comments, and now will reply just to your 'non-potshot'.

You appear to have misunderstood Mehdi's comments in that article you linked to (in fairness, the article's author may have misunderstood them as well).  Mehdi suggested the entire market was about 300 million units, and with normal 30% growth that the entire market would grow to 400 million units.  He then suggested that the entire market might grow to a billion units if game consoles take off as set-top-box replacements, not that the Xbox One would sell a billion units.  100% of Mehdi's math appears to be discussing the entire home console market, none of it appears to be predicting Xbox One sales (just the size of the market that the Xbox One's opportunity may lie within).

I also disagree with you that Mehdi's comments about Microsoft's strategy then have any relevance to their strategy now.  Then they saw game consoles morphing into premium priced all-in-one media boxes (PS was also increasing their media capabilities in the timeframe that he was making his comments, though they promoted it far less than Microsoft did).  While both PS and Xbox have significant media capabilities, they're now doubling-down on marketing consoles primary as gaming machines.  In Microsoft's case, they see the growth opportunity as a combination of lower introductory prices and game streaming to consoles.  Other than speaking about each as opportunities to grow the market, I don't see any similarity in the strategy then vs. now.

Last edited by scrapking - on 07 December 2021