NewlyRetired
Footballguy
Sony has been doing this for many many years. I am sure they have access to financial models and historical sales that we don't that would change anyones mind on things like this.Consoles are loss leaders. They don't start making a dime on consoles for 2-3 years. All the profit is in the software from day one. So cutting out millions of players is an expensive proposition.IvanKaramazov said:Just to add a little more. For game developers, it's all about volume. If you have the resources to develop for both consoles -- and all but the smallest indie developers do -- it's insane to make an exclusive unless you're getting a huge check from one of the console-makers, enough to cover the sales that you lose by going exclusive.NCCommish said:On the topic of exclusives. I understand timed exclusives. You know 6 months later it's on PC and the other console. But I don't understand complete exclusives. Why not sell as many copies as you can? Why not make more money? This a volume business after all.
I mean as much as I'd like to play Bloodborne I am not spending 400 for the privilege.
For Sony and Microsoft, though, things are different. Obviously they want to sell a large volume of consoles, but they also want to avoid competing on price as much as possible -- both firms benefit from not fighting tooth and nail on price. That's where product differentiation comes into play. If all games were available on both platforms, how would Sony and Microsoft compete with one another? They have some differences in terms of specs, online functionality, etc., but they're not massive enough to prevent strongly downward pressure on price. Exclusives mean that some consumers are going to be willing to pay more for their console of choice, and both firms are happy with that. I'm a Sony guy, in the sense that Sony just has a tendency to make the kind of games that I happen to like. I would be willing to pay more for a PS4 than an Xbox. Steadymobbin is the other way around -- he likes Gears, and this all just comes down to personal preferences. The main thing is that Sony doesn't have to cut its prices to get my business, and Microsoft doesn't have to offer a lower price to attract guys like Steady. Both firms benefit from this arrangement compared to a world where consumers make their buying decisions entirely on price.
I am not saying they always make the right decision but they certainly have all the data to make those choices where we have almost none to make our opinions.
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