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💸 Console Wars: Microsoft All-in on Game Pass, Is This Game Over?
Market dynamics, strategy, and outlook for Sony vs. Microsoft vs. Nintendo. Is this the last generation for XBOX? What does the future hold for console makers?
Part 2 of The Console Wars is an open discussion about Sony vs. Microsoft vs. Nintendo.
For those of you who missed it, check out:
Game Over Microsoft?
Some interesting points that came up during the latest Pixels & Profits discussion on The Console Wars:
Microsoft is going all-in on Game Pass and may not even care about the hardware business if they can make Game Pass successful. Was this a failed McKinsey & Co. strategy, or can this work?
If Microsoft fails at Game Pass, this may be the beginning of the end of gaming for the company.
The success of Starfield by Bethesda may be an important milestone in the potential success of Game Pass.
Live services and F2P may disproportionately impact the existing gaming ecosystem; live services extend the lifetime of games, and F2P may steal share from premium experiences in the future.
IMHO, Microsoft’s biggest mistake with Xbox was ceding the FPS market to PC. I would argue that the console wars of 2023 has shifted to Sony vs. Nintendo vs. PC. Each console had dominant genres and titles in previous generations, making buying it worth it. With the decline of Halo and no strong exclusive titles, why does anyone have to buy an Xbox?
New play patterns have emerged for competitive multiplayer games involving groups of players playing together on PC using Discord. This is harder to replicate on a console.
Despite the PR from console makers, we do not believe mobile growth strategies from them are meaningfully relevant.
I believe that video game IP are the new comic books. Welcome to the new age of the Sony Games Universe (SGU)
Watch and then join the discussion in the comments below!
▶️ Pixels & Profits: The Console Wars (Part 2 of 2), Microsoft Game Over?
Brian Peganoff. Founder at Timber Advisors.
0:56 Impact of PC gaming to console gaming market
4:51 Why Microsoft's console business is in danger
10:12 Impact of live services and F2P to console gaming
16:14 Does live service concentrate the market?
19:00 How important is mobile gaming to console makers - come on!
25:49 Primary growth drivers for console market
30:10 Outlook for console wars - the potential impending doom of Microsoft