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Will the Xbox have a Merry Christmas? | |
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| Time: 15:20 EST/20:20 GMT | News Source: ActiveXbox.com | Posted By: Byron Hinson | ||
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There is one thing that no one in the console fraternity can deny; the Microsoft Xbox is the most powerful console available today and for the foreseeable future. The Xbox will be one year old in November in the United States while the console only launched in March around Europe, while sales in these two areas have on the whole been ok, in Japan the Xbox is still a big flop. Microsoft is estimated to lose anywhere from $76 to $150 on each Xbox which retails for $199 in the U.S. and around 249 euros (157 pounds) in Europe. It is very hard to pinpoint exactly what is going wrong with sales in Japan, there are quite a few games out there that aim directly to the Japanese consumer but clearly something is lacking. | ||
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| #1 By 3339 (65.198.47.10) at 9/23/2002 5:52:59 PM |
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Byron, just curious if there's a connection between your little write up and the one on cnet today? Or is it just a coincidence?
It's starting to look hairy, ain't it? I'm beginning to think that it'll be hard for MS to get to 10 million units before the PS3 comes out. The clear fact is: Microsoft has already all but locked themselves out of new exclusive game relationships with developers; there only hope now is to release a superior, revolutionary XBox2 in advance of of the PS3 in order to jump out on the 4th gen... otherwise the 40:5.5:4.5 ratio is just going to get worse. I do not see anything that could provide them a boost to a solid second place--Net Games, New Titles, Buying/Killing other Developers... none of these strategies are going to change that 45.5:4.5 ratio enough to shift the climate back towards MS's way. At some point investors will ask why it's worth losing a bill or two a year. This post was edited by sodajerk on Monday, September 23, 2002 at 18:03. |
| #2 By 3339 (65.198.47.10) at 9/23/2002 6:08:06 PM |
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gt, Americans prefer Sony and Nintendo 10 to 1 over Microsoft. The rest of the non-Japanese world too. The Japanese love/hate Sony and Nintendo. A lot of people, Americans, Britishers, Frenchies, Germans, Asians, et al, hate Microsoft. Simple.
Or... Maybe it has more to do with game play, game content, price, desired features versus undesired features, corporate identity, an established history, a loyal fan base, and a million other more relevent factors than your jingoistic and retarded summation. Simple. |
| #3 By 1868 (141.133.144.220) at 9/23/2002 6:08:26 PM |
| I know this much, I just ordered my X-box because the price fell to $140 dollars, I hope this helps MS have a happier christmas because I now know that I am going to be needing to have my aunt, uncle, cousin, brother,sister, and anyone else I can find buy me games for Christmas |
| #4 By 3 (62.253.128.4) at 9/23/2002 6:08:41 PM |
| #1 - No coincidence - Was working on it this morning (Uk time) when the news first came out, I think the Cnet story is basically the one on Reuters. |
| #5 By 3 (62.253.128.4) at 9/23/2002 6:12:15 PM |
| I don't believe it has anything to do with hating Microsoft/Sony/Nintendo - it's simply down to better games, bette exclusives, better hardware and better marketing...Microsoft wins there on only one account. |
| #6 By 3339 (65.198.47.10) at 9/23/2002 6:41:02 PM |
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"Mind you all these techy and non-techy people I know that hates Microsoft with such passion, they all use Windows as their OS and [...] ... go figure... " Makes perfect sense--if you aren't exposed to Windows, you probably don't hate it. Finally, a softy who's willing to admit that most people hate Microsoft (even the non-techies, even the non-zealots).
"For them it is just a passion to hate Microsoft and to deny the fact of all the good that Microsoft brough to this industry... " Too bad you think this is just hate for hate's sake though; they also do this to restrain, temper Microsoft. |
| #7 By 3339 (65.198.47.10) at 9/23/2002 6:49:55 PM |
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Byron, I would disagree with your criteria... and that MS leads in all but one category. I would say Microsoft loses in all of them. "Better" hardware being the completely wrong sort of criteria (but the only area where MS leads)... Substitute the "right" hardware, and you realize most people find the "better" hardware completely useless... and if it's useless, than it's not better.
Sorry, I thought you said "all but one" not "only one." Disregard the part where I disagree with you. But, still, my point remains valid--even "better" hardware can be a "flaw". This post was edited by sodajerk on Monday, September 23, 2002 at 18:53. |
| #8 By 3 (62.253.128.4) at 9/23/2002 6:58:56 PM |
| Yeah I didn't word that comment too well. This was my first proper article on this site in about 3 years too! |
| #9 By 3339 (65.198.47.10) at 9/23/2002 7:04:04 PM |
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Good article... I found it a little remarkable the "coincidences" between yours and the Reuter's one though... And you might want to clean up all the "clearly"s and such after you've gotten some distance and have had some time... if you have time and if you care.
So what's your guess... how long before MS has to at least speak to some of the issues they are facing? This post was edited by sodajerk on Monday, September 23, 2002 at 19:07. |
| #10 By 3 (62.253.128.4) at 9/23/2002 7:07:30 PM |
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Yeah there were clearly too many of them!!! hohoho. I have cleaned them up as its likely to be my first and last article on the site unless I do one more before I part ways.
The coincidence is probably due to the fact that I was working on it because the Euro Xbox Live! annoucement is due tomorrow. I would guess at January if the sales of both games and consoles have suffered and if Xbox Live! gets off to the slow start that I expect it will. This post was edited by Byron_Hinson[AW] on Monday, September 23, 2002 at 19:11. |
| #11 By 3339 (65.198.47.10) at 9/23/2002 7:15:51 PM |
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Are you dedicating yourself to the design biz? Is that a good thing? If so, congrats (or rather--Cheers!) and Good Luck!
I, personally, am expecting them to gloss over their "success" through the first reporting period of 2003. Christmas will look horrible but they'll distract "us" with XBox Live like it was a shiny, new pot and we were one year olds... But then it gets murky--when would an XBox2 come out? Or a PS3? Maybe MS can get past XMas 2003, but if PS3 comes out in 2004 before an XBox2 and marketshare is something like 60 million vs. 12 million, it'll be over. |
| #12 By 3 (62.253.128.4) at 9/23/2002 7:17:01 PM |
| #14 - Nope dedicating myself to a degree lol, along with some other bits and pieces. |
| #13 By 3339 (65.198.47.10) at 9/23/2002 7:21:44 PM |
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Morindon, those seem like valid reasons to me. They jsut happened to be based on values rather than "features"... but you said these were non-geeks.
For some people, values, morals, emotions are legitimate reasons for making decisions. According to you, for example, we should buy AK-47s from Communist China because they are the better, cheaper gun. Screw the whole supporting Communism, evil regime, human rights violator issue! And if you try to bring how you feel about it, or your reaction to it, or some moral, ethical argument than you are just being biased or uninformed. |
| #14 By 3653 (65.190.70.73) at 9/23/2002 11:53:49 PM |
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Gentlemen, your view is much too short-term. Stretch out a few YEARS, not MONTHS. Microsoft is the most patient of companies. The success of XBox has little to do with profit, and has everything to do with strategy. They want in the living room, and they don't want to pay a Sony or Nintendo toll. If need be, they will give the consoles away before they would EVER abandon the console market.
You guys are discussing WEATHER, when you should be discussing CLIMATE. It was just a short time ago, that people were saying the same things about MSN. Remember? AOL played the part of Sony in the ISP market, having an "insurmountable" lead. Well, when looking short-term, AOL did win. But LONG TERM look what is happening. Each month, Microsoft's share of the ISP market grows a bit more... and AOL's share shrinks a bit more. Same story with database software, etc. The media is amazing in the way it neglects to commend Microsoft on a hell of a job. They came into a market, and created a product that didn't directly depend on its desktop OS monopoly (yes, I know Windows runs XBox, but it doesnt leverage the monopoly itself). And here we are a year later. XBox is OUTSELLING gamecube in the US. And from what I hear, they are doing AS WELL AS gamecube in Europe. Obviously, they are hurting in Japan... but a quarter million consoles is still significant there. Add all that up and you see that the newbie has held their own against a 20-year veteran of the market (Nintendo). And the innovation is just beginning. This Christmas, we get our FIRST look at real use of the hard disk and the ethernet port (the 2 largest differentiating features of the XBox). And do you really think MSFT is abandoning a market, where they spend a reported $400M just this week (purchasing RARE)? NO WAY! The wedge is in. Microsoft has pushed into the market and they are here to stay... LONG TERM. EDIT - spelling/grammar This post was edited by mooresa56 on Tuesday, September 24, 2002 at 00:06. |
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