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Forums - Gaming - Why Microsoft is afraid of Sony

We get articles like this once a month it seems.... They feel pretty regular now.

Anyone... decent article.



4 ≈ One

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MS is afraid of every competitor in every market they're in. It's called zero sum thinking and is why they're so ruthless... They believe that any competitor, no matter how small, can potentially come along with a game-changing product and crush them.

As far as a lot of the points you make, some are based on faulty assumptions (such as the idea that Sony could have released the same machine earlier), while others ignore that fact that Sony is bleeding red very badly and is probably more worries about staying viable as a company than about winning this round of the console war... If not, then they're crazy.



good article



    

Well MS should be

every company should be afraid of their competitor....its very very important

thats what makes you more competitive!



All hail the KING, Andrespetmonkey

Microsoft should be afraid of Sony as being a direct threat to its business due to being a competitor in the console wars.

The article has a lot of flaws in it. PS2 and PSP references were not really needed in it. PS3 free online well if you want a good free service PSN is good for gamers. If you want a much better online service you have to pay for it and XBox Live delivers and is one of the main selling points of XBox 360 that draws people in, especially in the USA.

The X360 games library is the main advantage X360 has over PS3. The PS3 has yet to see a huge block buster exclusive game that rivals Halo 3, Gears of War 1&2 in regards to popularity and 5 million+. GT IV is the only game on PS3 that has reached the 5 million game milestone. Gran Tursimo 5 and Final Fantasy XIII still are way off from launching on PS3. PS3 has MGS 4, Uncharted, Kill zone 2 and soon God of War 3 but none of them have a chance of notching 5 million sales ltd.

The main advantage the PS3 has over X360 is the hardware reliability. Reports indicate only 2 to 3% of PS3s breakdown. However X360 hardware reliability has significantly improved over time with new models failure rates reported to be under 10% failure rates.



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I agree with some of the points in that article, but I honestly think Sony is more afraid of Microsoft than anything.



Not a 360 fanboy, just a PS3 fanboy hater that likes putting them in their place ^.^

shinyuhadouken said:
I agree with some of the points in that article, but I honestly think Sony is more afraid of both Microsoft and Nintendo

Edited. Never forget how different this current console generation is from the last generation. Nintendo and Microsoft have improved dramatically in terms of market share upon last generation. Sony has dropped from 75% market share with PS2 generation to around 21.5% market share with PS3. 53.5% market share drop is huge.

Nintendo and Microsoft provide the perfect one-two punch at Sony. Sony's competitors have grown and became more competitive this console generation.



numonex said:

http://www.associatedcontent.com/article/1591496/why_microsoft_is_afraid_of_sony.html?cat=19

Why Microsoft is Afraid of Sony

 March 25, 2009 by Otter 

 The Xbox 360 is currently second place in the console wars race. Microsoft, however, seems more concern about the Playstation 3 than the leading Nintendo Wii. They even went so far to discredit the Nintendo Wii as not being in the same market. So why is Microsoft so afraid of Sony and the Playstation 3 despite the comfortable lead? Let's take a look at several factors.

Context

The Xbox 360 had a year head start on the Playstation 3. As a result on being on the market earlier, Microsoft was able to get a first-mover advantage and got a nice lead before the Playstation 3 launched. If Sony didn't delay the Playstation 3, the situation would have been a whole lot different. Sony's high-definition video game system would have outsold the Xbox 360 (even with the higher price tag) based on hype alone. Not to mention that many of the games the Xbox 360 is getting might have become Playstation 3 exclusives. In reality, the Playstation 3 is selling about even with the Xbox 360 if you don't account for the year head start (even more in Europe). Furthermore, the Playstation 3 cost a lot more and had to face stiffer competition than the Xbox 360 did when it launched. As much as Microsoft like to brag about beating Sony, the difference between the two isn't all that great if you take in the context of the situation.

Grand Scheme

The Xbox 360 is outselling the Playstation 3 handily. However, Sony has more than one video game system. The PSP is selling solidly while the Playstation 2 is maintaining a steady pace. Therefore, Sony actually has a bigger market share than Microsoft. So while Microsoft only likes to concentrate on winning the battle against the Playstation 3, they lack the punch to compete against Sony (and Nintendo) in the grand scheme of the gaming industry.

First-Party Support

Microsoft is growing heavily reliant on third-party support. They recently shut down Ensemble Studios (Halo Wars), let Bungie (Halo 3) go independent and did not attempt to buy Bioware (Mass Effect). Since third-party gaming companies can switch alliances at any time, Microsoft is walking a tight rope.

Sony, on the other hand, is quietly building up the biggest first-part development core in the gaming industry. Their studios span all three major regions (Japan, North America and Europe) and feature tremendous talent. First-party Playstation 3 games are gaining praise and popularity. With more third-party opting to release multiplatform games, exclusive games on the Xbox 360 and Playstation 3 may ultimately determined the battle between the two high-definition systems. With less fire power, Microsoft should definitely be concern about Sony.

Free Online

Finally, Xbox Live paid subscriptions are one of the biggest revenue streams on the Xbox 360. The Playstation 3 offers free online play over the Playstation Network. Since the differences between the two networks are superficial, Microsoft should fear for their pockets if the Playstation 3 ever caught up to the Xbox 360 in sales. Not only will they lose market share but they will also lose out on extra revenue since many people will rather pay online for free than pay for it.

The Xbox 360 is only dominating the Playstation 3 in North America. The two systems are just about even in Europe while the Playstation 3 is leading handily in Japan. Because of that and the above factors, Microsoft has every right to be concerned about the Xbox 360 lead over the Playstation 3.

Actually the PC says Hi. Technically M$ has the biggest market of all. And also about the years head start that the 360 had over the PS3 and how they said thats the only reason M$ is winning. Well actually the gap in consoles has increased since then so that argument is completly void. Well nice try for these fanboys this article is weak.

 



Long Live SHIO!

1337 Gamer said:

Actually the PC says Hi. Technically M$ has the biggest market of all. And also about the years head start that the 360 had over the PS3 and how they said thats the only reason M$ is winning. Well actually the gap in consoles has increased since then so that argument is completly void. Well nice try for these fanboys this article is weak.

 

Logical fallacy. If consoles sell more in their second and third year, then you can come up 14 months later, overtrack the first console and still see the gap increasing.

And you know what? It looks like it's what is happening.



"All you need in life is ignorance and confidence; then success is sure." - Mark Twain

"..." - Gordon Freeman

WereKitten, Except that does not take into account a console increasing its growth later in its lifecycle which is actually happen as the upturn you indicate by your graph has been over hauled which means at current trends the PS3 could never catch rather it will decline.



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