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Forums - Sales Discussion - Looks like X1 will get November

ijustlikegames:) on 25 November 2014
Angelv577 said:
Don't feel bad about it, ps4 has done a wonderful job with just the regular SKU. it has been consistently charting at position 15th or less on amazon even with the super value xbox one bundle. Microsoft threw already everything it had for a while so let see how ps4 would perform once sony do their own move including price cut.

I do find it impressive that despite MS practically trying to give X1s away PS4 sales haven't been hurt at all. Should be interesting once the PS4 holiday deals start coming out. Not gonna feel bad if it doesn't but it would still be awesome to see PS4 take November away from X1 and continue its streak to 11 months while reaching the 50% market share mark. With Nov 18th results, Black Friday, and Cyber Monday all to come in still PS4 still has a good chance to take it.



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ijustlikegames:) on 25 November 2014
Landguy said:
method114 said:
Landguy said:
ethomaz said:

Landguy said:

Only if price does not matter to any of the buyers.  THose buyers would have bought the PS4 anyway.

It is the best deal... what MS have to counter attack?

What is big than PS4 + GTAV + TLOUS at $399?

Wal Mart has a XB1 with 2 games for $329 and they give you a $30 gift card.  So, it is essentially $100 less than the Sony deal.

Yea XB1 deals have seriously been insane even have me wanting to pick one up but it's just so pointless to have both consoles right now (IMO). Neither console maker has any exclusives that really interest me the only games I'm looking forward to are multiplat games. I'll admit Sony's games have me slightly interested simply because any new IP has my interest (throw quantum break into that mix). Overall though exclusives just don't matter to me on either side. Even the new IP's don't scream must have but who knows until you actually play them.

What I really wonder is how much is MS losing on all these deals? Target had a similar deal to walmart but they were giving away a $50 gift card on top of that.

Not sure if they are really losing on them or not or atleast not much.  I was thinking that both Sony and M$ were in the profit zone by $50 or more at the $399 price point.  It doesn't say that anywhere on the net, just my opinion.  I was also thinking that it may be more than that by $30-50.  I think M$ just wrote off the cost of Kinect 2.0 and moved on.  By just ignoring the money invested, the cost to produce the system would go down along with the actual cost of not including it.  The truth is that we will never really know.

M$ clearly decided that if they didn't get mindshare and actual market share in the US this holiday, they would be so far gone that this gen would have been a total loss.  So, even if they are losing $20-$50 per unit at the pint of sale, they can make that back with a XBL sub/renewal or a few games purchased.  Also, M$ is really looking for a whole home ecosystem with the launch of Windows 10(which is excellent) next year, a new Windows 10 compatible phone OS and a system update next year that makes the XB1 Windows 10 compatible.  It's a long view for them.  THey don't mind losing the Console War, but they are more concerned about being blown out the door like what was happening.

PS4 has sold enough where they are making profit now but X1 is not. MS was taking a loss on consoles before these drops, they have to be taking rather significant losses on them these holidays.



ijustlikegames:) on 25 November 2014
krippaz said:
Ok 100 thread about xbox beting ps4 in november confirmed. Well I think its good if they win.


Nope, its terrible!:p



Manlytears on 25 November 2014
ijustlikegames:) said:
Angelv577 said:
Don't feel bad about it, ps4 has done a wonderful job with just the regular SKU. it has been consistently charting at position 15th or less on amazon even with the super value xbox one bundle. Microsoft threw already everything it had for a while so let see how ps4 would perform once sony do their own move including price cut.

I do find it impressive that despite MS practically trying to give X1s away PS4 sales haven't been hurt at all. Should be interesting once the PS4 holiday deals start coming out. Not gonna feel bad if it doesn't but it would still be awesome to see PS4 take November away from X1 and continue its streak to 11 months while reaching the 50% market share mark. With Nov 18th results, Black Friday, and Cyber Monday all to come in still PS4 still has a good chance to take it.

sorry, but I do not agree with you and I think the X1 really needs to win in November in the US to maintain minimal competition. Competition is good for the market, and if one company has too much slack she begins to explore the users and developers.



Landguy on 25 November 2014
ijustlikegames:) said:
Landguy said:

Not sure if they are really losing on them or not or atleast not much.  I was thinking that both Sony and M$ were in the profit zone by $50 or more at the $399 price point.  It doesn't say that anywhere on the net, just my opinion.  I was also thinking that it may be more than that by $30-50.  I think M$ just wrote off the cost of Kinect 2.0 and moved on.  By just ignoring the money invested, the cost to produce the system would go down along with the actual cost of not including it.  The truth is that we will never really know.

M$ clearly decided that if they didn't get mindshare and actual market share in the US this holiday, they would be so far gone that this gen would have been a total loss.  So, even if they are losing $20-$50 per unit at the pint of sale, they can make that back with a XBL sub/renewal or a few games purchased.  Also, M$ is really looking for a whole home ecosystem with the launch of Windows 10(which is excellent) next year, a new Windows 10 compatible phone OS and a system update next year that makes the XB1 Windows 10 compatible.  It's a long view for them.  THey don't mind losing the Console War, but they are more concerned about being blown out the door like what was happening.

PS4 has sold enough where they are making profit now but X1 is not. MS was taking a loss on consoles before these drops, they have to be taking rather significant losses on them these holidays.

I doubt that M$ is losing anything at $349.  When you add in the gaems, then you see them losing some, but they are just didgital copies on most of these bundles.  I am sure they are only paying $25-$30 a piece for the games to 3rd parties.  Almost all of the games require gold Live to make them matter so they break even if they have that.  Not much real loss.  

If the common thought of practice is true, they will sell a crapload of systems to the friends and family of the buyers at some point.  In the US, the ratio will be close to 1.1-1.2 to 1 (PS4to XB1)at the most at the end of the holidays if not even.  Mission accomplished from M$ perspective.  They will focus on keeping the US balanced or in their favor going forward.  M$ and Sony (Everyone really)knows that there really is no chance for M$ to win WW.  M$ isn't only after console sales.  The console is just a piece of the Windows 10 puzzle.



It is near the end of the end....

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arcaneguyver on 25 November 2014
Landguy said:

I doubt that M$ is losing anything at $349...

I'm fairly certain (but not 100% positive) MS is taking a loss at $349. The reason MS is putting the basic system price back up to $399 in January is either an attempt to put pressure on people to buy now rather than later (further buffing up their 2014 holiday sales), or they really are taking a loss on these systems and are only willing to eat that loss for the holiday season.

Not that MS couldn't just shrug off a $50 loss per system sold, but the Xbox loses enough each year that they probably don't want to add much more onto it for the 2014 fiscal than they have to.

(Just my take on the situation - could be entirely wrong, but I don't think I'm too far off.)



ijustlikegames:) on 25 November 2014
arcaneguyver said:
Landguy said:

I doubt that M$ is losing anything at $349...

I'm fairly certain (but not 100% positive) MS is taking a loss at $349. The reason MS is putting the basic system price back up to $399 in January is either an attempt to put pressure on people to buy now rather than later (further buffing up their 2014 holiday sales), or they really are taking a loss on these systems and are only willing to eat that loss for the holiday season.

Not that MS couldn't just shrug off a $50 loss per system sold, but the Xbox loses enough each year that they probably don't want to add much more onto it for the 2014 fiscal than they have to.

(Just my take on the situation - could be entirely wrong, but I don't think I'm too far off.)

They've said they're taking a loss on the systems. But some people just don't wanna listen



ijustlikegames:) on 25 November 2014
Manlytears said:
ijustlikegames:) said:
Angelv577 said:
Don't feel bad about it, ps4 has done a wonderful job with just the regular SKU. it has been consistently charting at position 15th or less on amazon even with the super value xbox one bundle. Microsoft threw already everything it had for a while so let see how ps4 would perform once sony do their own move including price cut.

I do find it impressive that despite MS practically trying to give X1s away PS4 sales haven't been hurt at all. Should be interesting once the PS4 holiday deals start coming out. Not gonna feel bad if it doesn't but it would still be awesome to see PS4 take November away from X1 and continue its streak to 11 months while reaching the 50% market share mark. With Nov 18th results, Black Friday, and Cyber Monday all to come in still PS4 still has a good chance to take it.

sorry, but I do not agree with you and I think the X1 really needs to win in November in the US to maintain minimal competition. Competition is good for the market, and if one company has too much slack she begins to explore the users and developers.

If it was a system worth being competitive I would agree but I think MS needs to get their ass handed to them. I would much rather someone new step up and join the competition than see Xbox continue. They lost me after the 360:(



Landguy on 25 November 2014
arcaneguyver said:
Landguy said:

I doubt that M$ is losing anything at $349...

I'm fairly certain (but not 100% positive) MS is taking a loss at $349. The reason MS is putting the basic system price back up to $399 in January is either an attempt to put pressure on people to buy now rather than later (further buffing up their 2014 holiday sales), or they really are taking a loss on these systems and are only willing to eat that loss for the holiday season.

Not that MS couldn't just shrug off a $50 loss per system sold, but the Xbox loses enough each year that they probably don't want to add much more onto it for the 2014 fiscal than they have to.

(Just my take on the situation - could be entirely wrong, but I don't think I'm too far off.)

Problem is, the first article you quoted is from a year ago and it included the Kinect at that price.  Even then, they claim the cost to be $350 at that point for the system and a cntroller.  It is still a guess, because no one outside of M$ really knows what they are paying to have TENS of millions of something made.

The second article (also a year old) is just an analyst guess.  It is not based on any actual facts released my M$.

Add to that, M$ fiscal years don't match the calendar.  I think theirs ends at the end of Feb or March or even June.

I agree that they are trying to push the sales into the holiday quarter, but I disagree that the price will go back up.  It is common to say that a product is "on sale" for a certain time, it creates a sens of urgency and forces people to make a decision to take advantage of the "deal".  After the holidays, you will see M$ release a statement that because of the great consumer feedback or some other BS, they have decided to keep the price at $349 going forward. 



It is near the end of the end....

tiffac on 25 November 2014
ijustlikegames:) said:


It hasn't given any reason to have faith...its an inferior console, only sells well in short bursts and really just has nothing that has convinced me I need to buy one...


You  guys are so mean to the X1 :(