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Forums - Microsoft - I think the Next Xbox should be a premium price console

only777 said:
only777 said:

I know most people don't want to see an Xbox cost $1000, but I think it's for the best; here's why.

I have a theory about the next Xbox console with Microsoft say they are making. First lets add up what we know for sure:

1) They have said it'll be the biggest leap ever in tech terms
2) They are putting their games on PS5/Switch 2 as well
3) Sales for Xbox hardware has fallen off a cliff
4) Some 3rd parties (like Capcom) are starting to skip releasing Xbox versions of games because of the low sales numbers.
and
5) A rather long point, but important. Sony/Nintendo/Xbox sell their consoles at a loss or break even because they make the money back on game sales. This is the current business model and why consoles are cheap to buy considering the bill of materials to make them.

If Microsoft release yet another console, same sort of Spec as PS5 Pro/PS6 we know its going to bomb hard, and I'm sure Microsoft know this.

I really doubt a handheld device is really a viable business for Microsoft. If they can't get people to buy their home console, why would someone buy their handheld over a Switch 2 or Steamdeck? Also it's worth noting that even the Steamdeck has only sold around 5 million units.

So what market if left for Xbox to sell in?

I think if they are smart they will create a new market; a premium console market.
They could create a very high powered box and sell for around $1000-$1200.
Now clearly this is not a mass market device, but they have alread failed in that market so why try again?

No, I think the only viable business Xbox hardware can be in is a premium market. A high powered box, that gives users access to Gamepass, but also Steam.
Hopefully they could cut some sort of deal with Valve, to get an "Xbox certified" tag added to Steam games much in the same way you have "Steam Deck certified".

This way, they can make a profit on the hardware sold rather than on games, because lets face it, they are not making money on Xbox games.

I'm just saying.....

Funny how to repost this tweet while in your prediction you say the next Xbox should include Steam. Are you this easily swayed? 



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I think Jez Corden said Microsoft intends to lower their platform tax from the standard 30% to just 12%. This should entice publishers to keep supporting them, as they will be making more money per copy sold than on any other platform.

I don't know if this will be enough to stop their own players from switching to Steam, but it's a good move.



smroadkill15 said:
only777 said:

I'm just saying.....

Funny how to repost this tweet while in your prediction you say the next Xbox should include Steam. Are you this easily swayed? 

You miss my point.  My point is that the next Xbox home console will be a $1000 machine.



Sony want to make money by selling art, Nintendo want to make money by selling fun, Microsoft want to make money.

Kyuu said:

I think Jez Corden said Microsoft intends to lower their platform tax from the standard 30% to just 12%. This should entice publishers to keep supporting them, as they will be making more money per copy sold than on any other platform.

I don't know if this will be enough to stop their own players from switching to Steam, but it's a good move.

How is that working out for Epic?

0% Store Fee For First $1,000,000 in Revenue Per App Per Year
Starting in June 2025, for any Epic Games Store payments we process, developers will pay a 0% revenue share on their first $1,000,000 in revenue per app per year, and then our regular 88%/12% revenue share when they earn more than that.


Too early to tell, but I doubt it will move people from Steam to the Epic games store.

Where does all the money Steam makes go? I have no idea.



I could see maybe $700, but $1000 would price too many people out and make Xbox consoles strictly an enthusiast product for higher earners. While MS is trying to fill a niche between first-party and third-party, offering their games on most if not all platforms, there are still several tens of millions of people loyal enough to the Xbox brand to keep buying those consoles. I know plenty of people that play on Xbox and have no interest at all in moving to PlayStation. If MS charged too much for the next-gen Xbox, that would evaporate a lot of goodwill among those loyalists who might not be able to afford such an expensive system. $1000 would be well beyond even the historical high end for a mainstream console even if you account for inflation (the PS3's $500 U.S. launch price is just under $800 in today's dollars).



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SvennoJ said:
Kyuu said:

I think Jez Corden said Microsoft intends to lower their platform tax from the standard 30% to just 12%. This should entice publishers to keep supporting them, as they will be making more money per copy sold than on any other platform.

I don't know if this will be enough to stop their own players from switching to Steam, but it's a good move.

How is that working out for Epic?

0% Store Fee For First $1,000,000 in Revenue Per App Per Year
Starting in June 2025, for any Epic Games Store payments we process, developers will pay a 0% revenue share on their first $1,000,000 in revenue per app per year, and then our regular 88%/12% revenue share when they earn more than that.


Too early to tell, but I doubt it will move people from Steam to the Epic games store.

Where does all the money Steam makes go? I have no idea.

Had no idea Epic Games Store's regular cut is just 12%. This doesn't bode well for Xbox, but the brand power and the large-ish existent fanbase will help them remain more relevant than EGS.

MS should just sell a couple of publishers and try harder to get Steam lol.



Kyuu said:
SvennoJ said:

How is that working out for Epic?

0% Store Fee For First $1,000,000 in Revenue Per App Per Year
Starting in June 2025, for any Epic Games Store payments we process, developers will pay a 0% revenue share on their first $1,000,000 in revenue per app per year, and then our regular 88%/12% revenue share when they earn more than that.


Too early to tell, but I doubt it will move people from Steam to the Epic games store.

Where does all the money Steam makes go? I have no idea.

Had no idea Epic Games Store's regular cut is just 12%. This doesn't bode well for Xbox, but the brand power and the large-ish existent fanbase will help them remain more relevant than EGS.

MS should just sell a couple of publishers and try harder to get Steam lol.

Valve is a private company rolling in money, Steam's yearly revenue is estimated at $10.8 billion.

Valve only employs 330 people ish, about 70 work on Steam. That's about $32 million revenue per employee per year from game sales on Steam...

MS should try harder to make their Windows store functional. Last I used it it was still pos.



Shadow1980 said:

I could see maybe $700, but $1000 would price too many people out and make Xbox consoles strictly an enthusiast product for higher earners. While MS is trying to fill a niche between first-party and third-party, offering their games on most if not all platforms, there are still several tens of millions of people loyal enough to the Xbox brand to keep buying those consoles. I know plenty of people that play on Xbox and have no interest at all in moving to PlayStation. If MS charged too much for the next-gen Xbox, that would evaporate a lot of goodwill among those loyalists who might not be able to afford such an expensive system. $1000 would be well beyond even the historical high end for a mainstream console even if you account for inflation (the PS3's $500 U.S. launch price is just under $800 in today's dollars).

After seeing them license out the Xbox brand for Rog Ally & Meta Quest, I can see a future where they license out to a variety of configurations at different price points. Basically a better executed attempt at Steam Machines, Xbox branded hardware ranging from $400 to $1000 or more including an entry level home console, premium home console, portable console, VR headset, tablet, gaming laptop, gaming desktop, etc.

I feel like they are positioning themselves around 3 pillars. 

1. Publishing. The acquisitions of ZeniMax & Activision-Blizzard have made them one of the biggest publishers in the game.

2. Subscriptions. They have heavily pushed Game Pass and tried to get it on as many devices as possible.

3. Licensing. I believe they will license the Xbox brand and have a bunch of hardware configurations & form factors.



When the herd loses its way, the shepard must kill the bull that leads them astray.

only777 said:

I've complied all my thoughts into 6 minutes.

I don't expect anyone to agree with me, and that's fine.

But in 2027 I can come back and show I was right....again.

Source: https://www.vgchartz.com/article/466057/xbox-president-sarah-bond-next-gen-console-is-gonna-be-very-premium-and-high-end/

If you want to know the future, just ask me



Sony want to make money by selling art, Nintendo want to make money by selling fun, Microsoft want to make money.

$600 PS6 (Orion), $1200 Xbox (Magnus) is Kepler's guess lol. Personally I don't see it being less than $999 with those leaked specs.