Slimebeast said:
numonex said:
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.
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This is circular reasoning. Who came first, the chicken or the egg?
MS closing first party studios should be interpreted as evidence that MS is not afraid of Sony! Not the other way around. (and btw, Sony built it's first party dev empire before the PS3 generation. Sonyso ain't "quietly building up" anything, not anymore)
That was a terrible blog post.
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Studios eat through profit margins. MS's game division would have an even harder time profitting from quarter to quarter with 1st party studios needing checks for all their employees and supplies. MS want to compete in price arena. Their business model is built around that thinking. Plus, MS still has over $5 billion to $6 billion to make up for. It's almost certain that MS nor Sony will be able to climb of the hole this console generation. However, Sony spent all that money to be recouped over, AT LEAST, 2 console generations with Cell and Blu-ray.
Also, Sony isn't "building" the world's largest 1st party. They've had that title for quite some time now. It's just becoming even larger.