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Forums - Sales Discussion - Q4 2012 Hardware Analysis (VGC Exclusive)

Michael-5 said:
Squilliam said:

Well from the perspective of Microsoft which would you prefer? Either $500M less in revenue and a 2nd place console or $500M to spend on the launch of the next console/profit but your console is in 3rd place? So why isn't the Xbox 360 $129? The division has a lot of loss leaders in it and the Xbox 360 is just paying back its' dividend I guess. They tried the 'semi' price cut by doing the subscription thing so what they do in the future is pretty uncertain simply because they have a lot more good options than Sony does so they don't have to make any moves until it comes down to the wire if they even intend to keep the PS3 in third place.

The problem with the people who buy consoles now is that they are really really sucky customers. Why should they take a loss in revenue in order to attract the worst people? If you've waited 8 years and won't pay more than $150 you can't really be that profitable to sell consoles to and you're probably not going to buy many/any full price games. In the end it may not even make up for the loss in revenue from the people who would have paid $200 because the extra customers, that 20-30% of people who will buy the console at $150 only aren't going to rush out and fill their cart on new $60 titles.

I prefer honorable buisness edicuit, and a devotion to quality. First of all Microsoft should admit to defects in original marker 360's, replace consoles to those who have replaced their console with their own money more then once. This keeps consumers devoted, this is one reason why Toyota and Valkswagen are the two largest car industries in the world, they make reliable products (Note VW's in USA are outsources so reliability is crap in this region specifically)

Second, I prefer MS sell a system at a reasonable rate, not scale up the price to maximize profits. MS can afford not to do this, if people start to abandon MS, then MS could just throw money on the X-Box and fix it, but at least if you're going to make the system so expensive, make some games which justify the price. Then they can generate 500 million and then some more.

Subscriptions were smart on MS's part, a lot of people are bad with saving money and can't save a large amount at once. This I think is a great buisness strategy, and a good idea. However I wish XBLG wasn't a forced subscription, I wish you could play per hour because I really don't play online much, but with the 360 I'm banned from it.

At the bold, you're 100% right, I didn't think about that. Then maybe MS should make a $200 bundle, with the 4GB 360, and two games. Not much of a loss, not much of a price cut, but real attractive to late generation gamers.

Also not all late generation gamers are sucky customers. I bought a Wii 2 years ago in 2011, and I have over 20 games for it. Several I bought new, and in the case of XenoBlade and Last Story, I bought them new day 1.

IMHO I think MS's policies will come and back lash at them. Making poor quality products will deter those who don't buy a 360 simply because it's domestic. Keeping a high price for a low quality product will really annoy the hardcore gamers, the type of people who buy consoles early in their life and go on forums to talk about it.

I mean, most people here know I'm a MS fan (because of the exclusives), but look how shitty I talk about 360. I tell everyone to go Sony instead, and next gen the MS console will be my third.

I doubt I'm alone in this, I know analogies suck, but the US car industry is the same. Chevy and Ford used to dominate the American car industry, and they did so with methods called "planned obselence" which is still practiced today. Basically they engineered the cars to work flawlessly for 3 years (Old cars aren't as reliable as current ones), and then have everything fall apart so it's not worth fixing. Then the Japanese came in with cars that could last 10 years and now Chevy/Ford compete for first place in their domestic region, with heavy taxes on foreign cars. WW Ford and Chevy aren't common names.

My point is, if you give people crap products, and keep a high price on it, people will notice and MS will loose loyal fans. You can't always attract new gamers and maintain a stable platform. You need to hold onto the hardcore, and if you're going to make expensive shitty consoles, then make games that people will play to make up for that.


However you are right, from a short term buisness standpoint, MS has no reason to make a price cut when the console sells moderatly well.

Microsoft already admitted their problem and put in a 3 year warranty and Sony likewise recognised their problems too and also replaced defective original PS3s.It wasn't so much poor quality as it was bad luck because a lot of companies got caught out by the transition to lead free solder.

Microsoft isn't trying to attract every person they can possibly attract, they want to attract people who value the services they offer not the people who want to pay as little as possible. Other companies can have different strategies but the way they have added value between Live, Kinect and their high selling exclusive games has been very good to them. Their top 4 franchises have sold better than the top 11 franchises of Sony which makes them the second best first party this generation.

The major problem they have is how to keep the subscription relevant for people who play only a few titles or who are really mostly interested in online content. This is the greatest failure of their strategy, it is with the marginal person who isn't that into online gaming for instance and who won't throw down $50 or subscribe for something they aren't sure about. They need to evolve their service in such a way that their offering justifies the money by somehow making their content delivery worth the added cost and if they include say 5-10 hours of free online with every new game purchase then they can easily give people the option of playing their titles online when they buy them whilst incentivising some new game purchases.

I think the echo chamber of the stuff said online has really clouded a lot of people as to what the real value of Microsofts offerings are. Whilst you may not appreciate it, things like effective moderation and skill ladders improves the experience a lot of people have online. Whilst the hardcore gamers on these forums who pwn noobs left and right have fun the people they pwn aren't so much and they make up a larger proportion of the population. So whilst it probably is less fun for a lot of people to always be matched with people near their level on these forums the wider population appreciates such things.



Tease.

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Squilliam said:

Microsoft already admitted their problem and put in a 3 year warranty and Sony likewise recognised their problems too and also replaced defective original PS3s.It wasn't so much poor quality as it was bad luck because a lot of companies got caught out by the transition to lead free solder.

Microsoft isn't trying to attract every person they can possibly attract, they want to attract people who value the services they offer not the people who want to pay as little as possible. Other companies can have different strategies but the way they have added value between Live, Kinect and their high selling exclusive games has been very good to them. Their top 4 franchises have sold better than the top 11 franchises of Sony which makes them the second best first party this generation.

The major problem they have is how to keep the subscription relevant for people who play only a few titles or who are really mostly interested in online content. This is the greatest failure of their strategy, it is with the marginal person who isn't that into online gaming for instance and who won't throw down $50 or subscribe for something they aren't sure about. They need to evolve their service in such a way that their offering justifies the money by somehow making their content delivery worth the added cost and if they include say 5-10 hours of free online with every new game purchase then they can easily give people the option of playing their titles online when they buy them whilst incentivising some new game purchases.

I think the echo chamber of the stuff said online has really clouded a lot of people as to what the real value of Microsofts offerings are. Whilst you may not appreciate it, things like effective moderation and skill ladders improves the experience a lot of people have online. Whilst the hardcore gamers on these forums who pwn noobs left and right have fun the people they pwn aren't so much and they make up a larger proportion of the population. So whilst it probably is less fun for a lot of people to always be matched with people near their level on these forums the wider population appreciates such things.

No they didn't, they replaced my 360 with another broken 360 at first, and refused to give me the significantly improved HDMI model to replace my 360.

360's don't malfunction because of lead free soder, they malfunction because under heat the motherboard sags. Microsoft cut corners and only clipped 2 ends on the motherboard when they should have clipped all 4 sides. A $2 manufacturing cut, is responsible for the entire first gen fail rate, and refubished 360's still don't have these $2 support clips.

I agree with you about Gold, MS has expanded the free service window from 2 days, to 2 weeks, but still. I want a pay per hour card so I can play 1 hour in one month, and then take a 5 month break and play 9 more hours online. I shouldn't have to pay $3 an hour for 6 months use.

As for experience ladders, games do a much better job then the XBL Gold service. I still think Gold is a waste of $$ and I just don't like MS as a console maker. As a game publsiher, they are great, but expensive, unreliable consoles which charge unreasonable fees for online? I'll pass, going back to Sony where customers are more then just bar codes.



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Michael-5 said:
Squilliam said:
 

Microsoft already admitted their problem and put in a 3 year warranty and Sony likewise recognised their problems too and also replaced defective original PS3s.It wasn't so much poor quality as it was bad luck because a lot of companies got caught out by the transition to lead free solder.

Microsoft isn't trying to attract every person they can possibly attract, they want to attract people who value the services they offer not the people who want to pay as little as possible. Other companies can have different strategies but the way they have added value between Live, Kinect and their high selling exclusive games has been very good to them. Their top 4 franchises have sold better than the top 11 franchises of Sony which makes them the second best first party this generation.

The major problem they have is how to keep the subscription relevant for people who play only a few titles or who are really mostly interested in online content. This is the greatest failure of their strategy, it is with the marginal person who isn't that into online gaming for instance and who won't throw down $50 or subscribe for something they aren't sure about. They need to evolve their service in such a way that their offering justifies the money by somehow making their content delivery worth the added cost and if they include say 5-10 hours of free online with every new game purchase then they can easily give people the option of playing their titles online when they buy them whilst incentivising some new game purchases.

I think the echo chamber of the stuff said online has really clouded a lot of people as to what the real value of Microsofts offerings are. Whilst you may not appreciate it, things like effective moderation and skill ladders improves the experience a lot of people have online. Whilst the hardcore gamers on these forums who pwn noobs left and right have fun the people they pwn aren't so much and they make up a larger proportion of the population. So whilst it probably is less fun for a lot of people to always be matched with people near their level on these forums the wider population appreciates such things.

No they didn't, they replaced my 360 with another broken 360 at first, and refused to give me the significantly improved HDMI model to replace my 360.

360's don't malfunction because of lead free soder, they malfunction because under heat the motherboard sags. Microsoft cut corners and only clipped 2 ends on the motherboard when they should have clipped all 4 sides. A $2 manufacturing cut, is responsible for the entire first gen fail rate, and refubished 360's still don't have these $2 support clips.


I agree with you about Gold, MS has expanded the free service window from 2 days, to 2 weeks, but still. I want a pay per hour card so I can play 1 hour in one month, and then take a 5 month break and play 9 more hours online. I shouldn't have to pay $3 an hour for 6 months use.

As for experience ladders, games do a much better job then the XBL Gold service. I still think Gold is a waste of $$ and I just don't like MS as a console maker. As a game publsiher, they are great, but expensive, unreliable consoles which charge unreasonable fees for online? I'll pass, going back to Sony where customers are more then just bar codes.

@ Bold: Given the fact that semi conductor companies like nVidia have 100% failure rates on parts produced around the same time I would give them the benefit of the doubt. Had it been as simple as putting an extra clip or two they would have done it they are not that incompetent. My PS3 was repaired twice for free as well so I don't think you can ignore the mitigating circumstances at the time. They really had the first high powered device designed with lead free solder and a lot of electrical equipment at the time are duds because of it.

@ Live window: What do you mean? It's been ages since I've played with a 360 online do they give you 'free online' when you buy a game? But absolutely they should give better options for people who don't play online that much.

What does gold give you? Well it gives you good voice chat, active moderation with real consequences, universal ladders and parties off the top of my head. Is it worth the $60 USD? Well its a pretty great service to everyone aside from the hardcore gamers who come here and complain regularly. I don't know why but the latency is pretty good connected to the U.S. from New Zealand, better than PSN anyway so your mileage on connection may vary.



Tease.

Squilliam said:
Michael-5 said:

No they didn't, they replaced my 360 with another broken 360 at first, and refused to give me the significantly improved HDMI model to replace my 360.

360's don't malfunction because of lead free soder, they malfunction because under heat the motherboard sags. Microsoft cut corners and only clipped 2 ends on the motherboard when they should have clipped all 4 sides. A $2 manufacturing cut, is responsible for the entire first gen fail rate, and refubished 360's still don't have these $2 support clips.


I agree with you about Gold, MS has expanded the free service window from 2 days, to 2 weeks, but still. I want a pay per hour card so I can play 1 hour in one month, and then take a 5 month break and play 9 more hours online. I shouldn't have to pay $3 an hour for 6 months use.

As for experience ladders, games do a much better job then the XBL Gold service. I still think Gold is a waste of $$ and I just don't like MS as a console maker. As a game publsiher, they are great, but expensive, unreliable consoles which charge unreasonable fees for online? I'll pass, going back to Sony where customers are more then just bar codes.

@ Bold: Given the fact that semi conductor companies like nVidia have 100% failure rates on parts produced around the same time I would give them the benefit of the doubt. Had it been as simple as putting an extra clip or two they would have done it they are not that incompetent. My PS3 was repaired twice for free as well so I don't think you can ignore the mitigating circumstances at the time. They really had the first high powered device designed with lead free solder and a lot of electrical equipment at the time are duds because of it.

@ Live window: What do you mean? It's been ages since I've played with a 360 online do they give you 'free online' when you buy a game? But absolutely they should give better options for people who don't play online that much.

What does gold give you? Well it gives you good voice chat, active moderation with real consequences, universal ladders and parties off the top of my head. Is it worth the $60 USD? Well its a pretty great service to everyone aside from the hardcore gamers who come here and complain regularly. I don't know why but the latency is pretty good connected to the U.S. from New Zealand, better than PSN anyway so your mileage on connection may vary.

@Bold, they aren't incompitent, but by adding those two clips they admit that they cut corners, which lead to high failure rates. Maybe there is also an issue with the lead free soder, but one of my friends fixed RRoD 360's and knows how to mod them. He said when he adds in 2 extra clips it fixes the RRoD problem every time, and his first gen 360 is still working perfectly fine with this modification. So if soder is an issue, it's secondary compared to sagging motherboards/$2 clips.


My PS3 broke and Sony didn't repair it lol! However this is what happens when you get a used first gen model. I've never had a good experience with first gen non-Nintendo consoles (PS1 and PS2 broke near the end of life for that gen, and my PS3 lasted like a year and a half, and I replaced it with a Wii. 360, 1st gen broke 3 times, but I got an extended Best Buy Warrenty and now I have an HDMI model because of excellent customer service).

When you buy 360 games new, they used to come with 48 hour "trial" cards. So you could try out your new game online, and this would incourage people to buy XBL Gold subscriptions. When I bought Halo 4, it came with a 2 week Gold "Trial." So I assume, MS has upped the scope of free Gold subscriptions. MS also ocassionally does a free XBL Gold weekend, usually during a holiday weekend (like Black Friday weekend).

I agree XBL Gold is good, and I don't mind paying for it, but the subscription based policy doesn't work for me. I play games online randomly, and usually not for very long at a time. So with a subscription, I will be throwing out $5 a month on most months since I don't play online much. A 3 Month card works a lot better for me because usually I get bored of online after a month or two, but a 3 month car cost $25, which is half the price of a 12 month card (You can easily find 12 month cards for $40-$50 in Canada and USA).

My point is, cell phone companies offer pay as you go plans, which cost you something like 20 cents a minute and 15 cents a text to use. I would like that for 360 because even at 25 cents an hour, I would realistically probably only spend $5-10 a year for online play. That I can accept, but paying for a service when I don't use it, I can't.

Even if subscription was the only option, the ability to suspend my account for months would be nice. That way I can use a 12 month card for 3 months a year, for 4 years. $10-$15 a year (depends on what price I pay for the card) is fine.


Anyway next gen, 360 will be the last console I get, mainly because of subscription based online, extremely low reliability issues in first gen consoles, and poor customer relations in my experience. I don't trust either Sony or MS in their first gen consoles, so I'll probably get a WiiU first, and then a PS4. I'll get a NextBox as a cheap console late into it's life (Similar to buying a $130 Arcade on Black Friday last couple years, or how I bought my PSP for $90 last year and now have 20+ games).

P.S. Another rant. One reason I don't like 360 is because I bought 2 Microsoft branded Force Feedback wheels in 2008. In 2010 my dog chewed one cable, and broke it, so that wheel no longer gets Force Feedback. In only 2 years MS discontinued the wheel and didn't replaced it with anything until the Wireless Wheel in 2011. What pissses me off was that they did not stock parts for repairs, so I basically can't fix this wheel. I have to get a new/used one off ebay, but it's hard to find and expensive. I can't use aftermarket chargers because of some built in function which doesn't let you use 3rd party adaptors with the same votage/amps/connect. So MS to me has provided terrible, terrible customer service, and this is why I can't stand them. Nintendo on the other hand, their power adaptors, are backward compatible. I actually have my SNES plugged in using my Gamecube Power Adaptor, and I switch between them when I want to play a differenct console (Don't have enough wall sockets).



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Wow I didn't know about this at all! Increased respect along with Fire Emblem sitting in your list.



http://gamrconnect.vgchartz.com/profile/92109/nintendopie/ Nintendopie  Was obviously right and I was obviously wrong. I will forever be a lesser being than them. (6/16/13)

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Otakumegane said:
Wow I didn't know about this at all! Increased respect along with Fire Emblem sitting in your list.

LOL I'm working on the second Fire Emblem for DS, Hero's of Light and Shadow. It's amazing, much better then Shadow Dragon. I can't wait for Awakening, and an excuse to get a 3DS.



What is with all the hate? Don't read GamrReview Articles. Contact me to ADD games to the Database
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