Agente42 said:
The key for understand this is: First, aggressive pricing. Sony loses a good profit margin chase install base. It´s happening with PSone, PS2, PS3, but no occurs with PS4. Sony launch a cheap version and lost a good margin with old consoles. PS4 has fews price cuts. Second, PS4 it´s not focusing on a multimedia center, Ps3 and PS2 was the multimedia center focus, so people buy the videogame because, beyond games, it´s a cheaper option and good multimedia center. Sony now focus on profiting ( PS5 beyond June, now making profiting per unit sale) |
And this is what I think Nintendo will do with the Switch. Why sell 15 million Switch 1's to a mostly tapped userbase with dwindling software sales and user engagements when you could sell 17-20 million Switch 2's to a brand new/excited userbase with increasing software sales and user engagements?
The smartest thing for Sony/MS/Nintendo to do is focus less on the generation numbers and more on the annual numbers.
Sony self-destruction ps4 lifetime potential is a strong case study for Nintendo to follow as it no doubt is more profitable for Sony to cut the legs out on PS4 so it can inject steroids into PS5.