Otter said:
Sephiran said:
But now we know the truth, the discounts was never about trying to supercharge growth, it was all about preventing sales from falling of a cliff. If the discounts lead to PS5 having a small decline or stagnant sales in Europe, without discounts the sales would be failling down a cliff.
PS5 can still be happy that they have built a massive captive audience on PS5 in Europe that only plays games like EA Sports FC, because the numbers still show that Switch 2 will have enormous issues in Europe. But PS5 can only keep on selling good numbers in Europe by constant price cuts the coming years, which will hit their profit margins hard. So no one will get by easily the coming years from the heavily declining console market. |
Didn't PS5 Pro launch early November last year? That would of definitely offset what otherwise would of been a natural declining point for the system. |
In recent weeks, Nintendo's market cap has been imploding, because investors don't look at unit sales, they know that if Nintendo needs to make price cuts to have any good unit sales next year, their profit margins will implode and there is no reason to be an investor of that company. We are looking at an era where only permanent or regular discounts will move console sales, which means these console companies will not be attractive investment targets anymore.
