• Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.

Rumor: Amazon's new game console is core oriented, Amazon snapping up game devs

jcm

Member
What's interesting here is that Amazon operates with 0 net profit. So all of its value is really in its stock.

They generate lots of cash, and have negative net working capital. They put all of the profits back into the company. They are extraordinarily opaque regarding performance, strategy and operations, but have made it crystal clear that they don't give a shit about eps. They're really peculiar, and competing against them is a terrible place to be. Having a second console manufacturer who doesn't care about making money should scare the shit out of Sony and Nintendo.
 

numble

Member
If you're going to compare companies then revenue is probably the worst way to do it. Who cares if you can generate $100 billion a year if you have costs of $102 billion.

A slightly better way would be to compare actual profits:

3qO5.png
Amazon manages their money deliberately for zero profit though, everything is geared towards increasing revenue and increasing expenditures, building market with rock bottom prices, and they have gotten investors to buy into this philosophy (IE, if Microsoft drops in earnings per share, the stock price will take a hit, while Amazon investors are happy with revenue growth):
Screen%20Shot%202013-08-08%20at%2010.22.01%20pm.png
 

Maulik

Member
Amazon has the store, content (think movies, tv and music) and the distribution (both physical and digital) to really disrupt the market. You think Amazon would need to bow to Gamestop's demands or any other retailers? Also, remember the extensive server farm infrastructure that Amazon has and a streaming service like Galkai or Onlive is not out of the question either.
 

Dipswitch

Member
Very interesting stuff going on. I wonder if they'll be focusing on a pure streaming experience (ala Gaikai), using a low powered set top box type deal. They've got the backend to support it. Their streaming app is on most consoles/devices already, but it wouldn't hurt their bottom line to have a dedicated box that points solely to their wares.

Combine that with original content on both the TV and game sides of the spectrum and this might be a game changer. God knows I watch more content and buy more stuff through them than ever.
 

elohel

Member
strangely enough, I think amazon has managed to be given the least amount of shit over being their own platform

and yet similarly they receive no praise for really creating a fantastic platform and products

this kinda makes their whole story even more interesting

that and i cant help but love the fact that we have so many viable platforms now
 
We desperately need a console to take the Wii's spot. Motion controls honestly offered an alternative that was badly needed and is now missing in the gaming world. However, I don't think this console is aiming for that. It's aiming for a traditional gaming console, and thus it will fail. Everything else rumored about this thing seems to scream failure.

I'm waiting for a serious combination of Wii, Roku, and Chromecast. Shame noone is aiming for that.
 

Quasar

Member
Combine that with original content on both the TV and game sides of the spectrum and this might be a game changer. God knows I watch more content and buy more stuff through them than ever.

Until they have decent international support I couldn't ever consider them as anything like a gamechanger.
 
Top Bottom