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EA CFO: XBO Pricing Strategy Catching up to PS4, expects 25M PS4+XB1 after holidays

mike4001_

Member
I just don´t understand why they are doing nothing in Europe.

Yes, we often get cheaper bundles from retailers, but an official price drop is something extremely different.

The US is not Microsofts Problem, Europe is.
 

GhaleonEB

Member
Based on the conversation, yes.

An interesting conversation can be had on pricing strategies between the two boxes, as MS has indeed tried to catch up.

As it is, however...

Let's see if this helps. Added some clarification (specifically, yours) to the OP as well.

This is one of Gamespot's more spectacular fails when it comes to reporting, at least recently.
 

NickFire

Member
Huh? There's no "method" to that. The federal government is not trying to imply that our national debt is decreasing. They never were and there's no special accounting to attribute towards our falling deficit.

There's a clear distinction between deficit and total debt and there's no deception on the governments part about it.

Obviously you and I get the distinction, but plenty of people don't. And I believe (opinion here) that politicians know that to be true, and continue touting the shrinking deficit to give off the allusion to the misinformed that they are helping shrink the debt. You are free to disagree with the final word, as I don't want to go any further down this path.
 

daveo42

Banned
Not in Japan.

Then again, the PS4 might have the largest % share of the market of a region in Japan relative to the XB1.

Of the 2 next gen consoles, the PS4 had over 95% of total hardware sales in Japan last week.

But that pie has gotten a lot smaller over there.

No one counts Japan for console hardware sales anyway unless you're a 3DS.
 

orochi91

Member
That's still a better ratio than what people think it is currently. I'm pretty sure there are a lot of people who still think the Xbone hasn't passed the 6 million sold mark.

I have them pegged at 6 million going into November/December.

8.25-8.5 million sold by the end of 2014.

I'm guessing we'll see updated numbers from Sony at their conference in December since Sony isn't one to give out their numbers outside of hitting benchmarks.

I was hoping they'd at least ship 20 million before the end of the year, but October's decline from the previous month probably means PS4 will sell ~17 million by the end of 2014.

How can you catch up, let alone quickly, when you're still being outsold? That means the gap is widening...

This partnership.

It's seriously unprecedented :D
 

Josman

Member
*PS4 outsells Xbone in october
*Xbone cuts price and gives free games only in the US
*Xbone outsells PS4 for two weeks only in the US
-XBONE CATCHES UP-

I'm not that gullible to believe that, sorry.
 

BadWolf

Member
I just don´t understand why they are doing nothing in Europe.

Yes, we often get cheaper bundles from retailers, but an official price drop is something extremely different.

The US is not Microsofts Problem, Europe is.

Europe is Sony land, there is nothing they can do to sway the tide there.
 

Etnos

Banned
I think this is pretty great news and shows that the console market is as healthy as ever.

People keep talking about "The End of Consoles" but we're about one year in and we're seeing pretty great numbers and will most likely see continued growth in 2015.

I think folks should stop thinking of themselves as console warriors and more of industry advocates, because this just means we'll see more growth in the industry.

Fuck UBISOFT.

Exactly! what should be news to celebrate as fans of console gaming, rapidly turned into a console warz conpiracy-bashing assumption fest.
 

KoopaTheCasual

Junior Member
again, that 13.5M is sold in. Realistically sold-through is maybe 12M right now. They basically have to sell 2.5M a month to hit your numbers. Unlikely.

edit - lol... if by "months" ago you mean 3 weeks... it was PR from the end of October :p
No, the quarter report ends in September 30th. That's where the 13.5 Million figure comes from. Even if we go by your conservative estimate, I believe in one of the early sales thread is was gleaned that the US makes up for less than 40% of Sony's market sales. 2.5M (world-wide) for November and December is very very likely.

We'll see, when Sony announces their figures next. But, I do think you'll be very surprised.
 

THRILLH0

Banned
He's being misquoted, badly.

He was talking specifically about how the consoles are PRICED, not how they are SELLING.



You're not speaking CFO. Sony's "pricing strategy" in this case is its launch pricing and its bundling. He's saying the Microsoft is catching up to Sony's leadership in pricing quickly by dropping the price and doing its bundling.

Please stop saying this because you're wrong. Compare the pricing strategies of each console and it makes no sense to say that MS is catching up to Sony in that context.

He's talking unit sales.

Whether it's true or not, I don't know but that's what he's talking about.
 
This is getting sickening now. Why is it the gaming media are constantly bowing down to MS and mitigating the X1 situation while playing down the PS4?

Why don't we get any articles obfuscating and misinforming everyone of the PS4's position and prospects in a positive light?
 

BadWolf

Member
That´s my point.

There, they need to gain the market share .. even if it´s hard.

They are focusing on the market that they still have a glimmer of hope in. Even Canada isn't getting the deals iirc.

Europe and Japan are pointless to pursue, no amount of money will change anything there.
 

ethomaz

Banned
again, that 13.5M is sold in. Realistically sold-through is maybe 12M right now. They basically have to sell 2.5M a month to hit your numbers. Unlikely.

edit - lol... if by "months" ago you mean 3 weeks... it was PR from the end of October :p
Even after your edit...

It is 13.5m shipped at the end of September... that means 7 weeks ago.
 

daveo42

Banned
I have them pegged at 6 million going into November/December.

8.25-8.5 million sold by the end of 2014.

I was hoping they'd at least ship 20 million before the end of the year, but October's decline from the previous month probably means PS4 will sell ~17 million by the end of 2014.

I agree with the numbers, though we might see an nice uptick in sales during the holidays to push those predictions higher for EoY sales. I think we'll have a better picture just how well the bundles and price cuts will turn out for both consoles mid December.
 

ethomaz

Banned
I disagree with his numbers by at least 4 million.

I expect this scenario after the holidays:

PS4: ~19m
Xbone: ~10m

So close to 30m than 25m.
 

Figments

Member
How can you catch up, let alone quickly, when you're still being outsold? That means the gap is widening...

Depends on the pace that you're being outsold. If your selling pace is faster, you'll catch up, regardless of the pace you're currently being outsold.

In fable terms: a turtle can keep trucking to the finish line, but a hare with the same goal will outpace him, no matter how far the turtle's ahead.
 

NickFire

Member
This is getting sickening now. Why is it the gaming media are constantly bowing down to MS and mitigating the X1 situation while playing down the PS4?

Why don't we get any articles obfuscating and misinforming everyone of the PS4's position and prospects in a positive light?

If the guy was really talking solely about pricing strategies then the author and editor of that article should be fired from GS if GS has any interest in its own credibility. Not only is it grossly misleading, but it almost guarantees that we will now have to listen to Major Nelson and crew touting how they have heard the gap is rapidly closing.
 

On Demand

Banned
This is getting sickening now. Why is it the gaming media are constantly bowing down to MS and mitigating the X1 situation while playing down the PS4?

Why don't we get any articles obfuscating and misinforming everyone of the PS4's position and prospects in a positive light?

It's so much constant misinformation. Look how many sites are saying XB1 shipped or sold 10 million consoles. These people get paid to do this.

again, that 13.5M is sold in. Realistically sold-through is maybe 12M right now. They basically have to sell 2.5M a month to hit your numbers. Unlikely.

edit - lol... if by "months" ago you mean 3 weeks... it was PR from the end of October :p

Realistically they sold 14 million by now.
 
Even on the conservative side 25+ mil would be great; should be a strong holiday season for both consoles.

That´s my point.

There, they need to gain the market share .. even if it´s hard.

Not really, the Xbox isn't really that important in the grand scheme of things in terms of what drives Microsoft's bottom line. For them it should be about focusing their efforts (i.e. making the most money) from the market most receptive to their product and that audience has always been NA.
 

nynt9

Member
This is getting sickening now. Why is it the gaming media are constantly bowing down to MS and mitigating the X1 situation while playing down the PS4?

Why don't we get any articles obfuscating and misinforming everyone of the PS4's position and prospects in a positive light?

I don't think I'd call it sickening but it is pretty amusing to watch sites bend over backwards and contort to spin certain numbers in MSs way, and then seeing certain posters do the same thing.

"The ps4 continues to win" isn't good clickbait. It's an obvious fact at this point. "Xbone might not be such a loser after all" gets knee jerk clicks from both hopeful Xbone warriors and angry ps4 warriors.

It is the nature of games blogging, sprinkled with a little bit of not being able to let go the dominant hold MS had last gen on PR.
 

THEF3AR

Member
I hope the Xbox One does outsell the PS4.

This is my opinion. I shouldn't be attacked for it or criticized for it. But I will be.
And here we go...
 

John Harker

Definitely doesn't make things up as he goes along.
Well, I've said again and again, most publishers are pretty pleased with adoption rate of both consoles and the overall ecosystem developing.

These kind of 'console war' scenarios are really just at this level of the consumer chain. Or used in 1st party PR to energize their userbase. Anything that moves consoles, publishers are going to be happy about.

And Xbox is monetizing well, considering it has a higher software attach ratio.
So at least in the US, the talk of doomsday for one or the other just seems crazy. The bigger the pie, the more people have to eat.
 
*PS4 outsells Xbone in october
*Xbone cuts price and gives free games only in the US
*Xbone outsells PS4 for two weeks only in the US
-XBONE CATCHES UP-

I'm not that gullible to believe that, sorry.


Lol, good summary, and I'm not that gullible either..But anytime they outsell the PS4, no matter how long they are doing it, they are in some sense "catching up"
 

Welfare

Member
I disagree with his numbers by at least 4 million.

I expect this scenario after the holidays:

PS4: ~19m
Xbone: ~10m

So close to 30m than 25m.

Basically this. Being closer to 25m than 30m would include some potential shipment disappointments.
 

Isak_Borg

Member
I hope all consoles have success and produce great games. Poor Nintendo.

Nintendo will bounce back from it's current situation.

They've luckily developed a very specific segment of the market that will always support them. They just have to figure out how to shoot the HardCORE!

But like most industries this stuff is cyclical, MS was up, now Sony, next Nintendo.

It's kind of rare for a company to be the leader for two generations in a row.
 
I hope the Xbox One does outsell the PS4.

This is my opinion. I shouldn't be attacked for it or criticized for it. But I will be.
And here we go...

Hope whatever you want. It's the nonstop fanboyism and arguments that's the problem. I mean, this article is clearly garbage and wishful thinking but some people appear to believe it.

I'm not interested in arguing fairy tales. I'm all about the facts.
 
I hope the Xbox One does outsell the PS4.

This is my opinion. I shouldn't be attacked for it or criticized for it. But I will be.
And here we go...

I don't think you will be attacked for it. That's not what's happening here and you may have missed the point. Saying you want something to happen and spinning a statement into saying something that isn't happening is, are completely different.
 
Isn't that what happened after the SNES between the PS1 and N64?

The PS2 dominated as well and to this day has the best and most varied library of games ever with a huge install base and a shit ton of software sold.

Let's not forget that it was also much cheaper to develop games compared to now and market dynamics were entirely different with Japan still caring about console gaming, which in turn allowed the great variety that many people enjoyed.
 
I will say that hoping a console sells more is a bit odd though. I mean, do you hope your toaster sells a lot when you buy it? What about your TV? Your car? Your PC? Your phone?

Most people buy something, use it, and move on. I understand there are reasons to hope a system does well in terms of support but as long as you have an Xbox and PS4 and it has games on it then why care so much?
 
That's pretty funny.

So the X1 will outsell the PS4 by 3-4 million over the holidays?

That would still put them about 3m behind even then.
 

BadWolf

Member
Let's not forget that it was also much cheaper to develop games compared to now and market dynamics were entirely different with Japan still caring about console gaming, which in turn allowed the great variety that many people enjoyed.

At the same time western devs are a lot stronger now and there is the rise of indies as well.

Eitherway, the point is that one console dominating is not a bad thing.
 

THEF3AR

Member
I don't think you will be attacked for it. That's not what's happening here and you may have missed the point. Saying you want something to happen and spinning a statement into saying something that isn't happening is, are completely different.

I know the point. This article has a click bait title. It's taking the words of EA's CFO and spinning them into a way that makes it sound like the Xbox One is closing a ~ 10 million console sold gap to the PS4. It's shoddy journalism to drum up views for GameSpot.

Hope whatever you want. It's the nonstop fanboyism and arguments that's the problem. I mean, this article is clearly garbage and wishful thinking but some people appear to believe it.

I'm not interested in arguing fairy tales. I'm all about the facts.

I say I hope because yes, I do lean towards Xbox, but I realize the value of the Playstation brand, too. I own a PS4 and so far Sony has given the better reason to own there system over the competition.

But we all know... Arrogant Sony is a bad Sony. When I said hope to be outsold I wasn't being unrealistic as to say total, but in a month in the US NPD. Sony needs to start retorting back to Microsofts moves. People may say otherwise but in a home console landscape, you cannot just release a product and watch it sell. You need to give people a reason to. Eventually, the power difference won't be enough, and neither will the past be.
 
there's nothing to assume. he's saying that sony had a good pricing strategy with their $400 machine, and now MS has a good strategy with the $350 price and the packed in games. It's pretty clear cut.

Pretty much. There is nothing controversial about this statement.

I hope the Xbox One does outsell the PS4.

This is my opinion. I shouldn't be attacked for it or criticized for it. But I will be.
And here we go...

I'm legitimately shocked you would want this to happen

image.php
 
Why does it matter who posted it?
And I'm pretty sure "the EA guy"- you know, just some lowly CFO dude- knows way more about how the consoles are selling than you do.

1. I find it funny that whenever i see a thread title that paints the XBO in a positive light, the odds that Statham is the thread maker are likely. I find it funny that's all.

2. Right... because corporate people never lie right? *winks*

3. Chill out.
 
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