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

Toki767

Member
Iirc, bluray was the main thing driving the price up. People like to hate on the early PS3 but I'll be damned if it wasn't one heck of a great deal

Yeah. The PS3 was really expensive at the time but I don't think anyone can really deny that it wasn't basically bleeding edge technology for what it offered.
 

SFenton

Member
I thought the X1 had excellent pre-orders,
Did that happen after the DRM reversal?

They improved. I don't think they were ever super fantastic compared to PS4, but the DRM drop and subsequent reversals helped.

Iirc, bluray was the main thing driving the price up. People like to hate on the early PS3 but I'll be damned if it wasn't one heck of a great deal

This is absolutely the case, and why we started seeing PS3 bundles with movies- it was the best deal for a Blu-Ray player.
 
Iirc, bluray was the main thing driving the price up. People like to hate on the early PS3 but I'll be damned if it wasn't one heck of a great deal

Yeah, £425 for a blu-ray was pretty great value back in 2006. Same with the £299 DVD player when the PS2 launched.

Still, surprised BR was the main thing driving the price. Figured it would be CELL. That was hyped to hell and back. It was supposed to be in literally everything at one point.
 

joecanada

Member
How exactly is the Xbone catching up? To close the sales gap it would need to consistently sell more than the ps4 for several months, and it has yet to do so for a single month in almost a year.

yes there's always terrible math accompanying sales threads... xboxone has never "closed the gap" yet, and they won't until they consistently outsell ps4... even selling the same amount would only maintain the gap.
 

Trey

Member
Iirc, bluray was the main thing driving the price up. People like to hate on the early PS3 but I'll be damned if it wasn't one heck of a great deal

Yeah. The PS3 was really expensive at the time but I don't think anyone can really deny that it wasn't basically bleeding edge technology for what it offered.

What it was chiefly offering "at value" had barely anything to do with games. The thing that did have something to do with games (backwards compatibility) was excised to bring the price down.
 
That is too funny, I read the whole article, Gamespot is who said that, they run that they are "closing the gap" in the title, and that was never even said in the interview at all.

It's a shame that Gamespot ran with that headline and inserted that text, because Microsoft is doing some very interesting things very early in the cycle to try and compete worthy of discussion.

There was a $100 retail pricing gap at launch between the two boxes in the US. Since last March, however, the average pricing gap has been shrinking.

And In the last two months (Sept-Oct) the PS4 has actually had a very slight higher average retail price than the Xbox One.

This is what the guy is talking about. Closing that price gap is what MS has been doing to try and "catch up" with Sony's pricing strategy.

Gamespot really doing its readers a bit of a disservice here. Oh well. Would be cool to talk about if it's going to make any difference, or how low MS would have to go to gain traction.
 

Wynnebeck

Banned
People just need to accept that this is a very pro Sony board...anything negative towards ps4 is flamed or dismissed and anything pro xbox is dissected. ...squeezed and lit on fire

One you realize that things are peaches and cream and you look foward to the cool games

Seriously. Don't know why we haven't just replaced the NeoGAF logo as this:

50492_299355523130_2913993_n.jpg
 

nynt9

Member
yes there's always terrible math accompanying sales threads... xboxone has never "closed the gap" yet, and they won't until they consistently outsell ps4... even selling the same amount would only maintain the gap.

Yep, and this all also follows the fallacy of assuming Sony are sitting on their thumbs doing nothing - they are also doing things to improve their sales.
 
How? He's saying that PS2 led to Sony's start with PS3 and after losing market share with PS3 they revised their view and launched PS4

What led to the PS4 is the loses that occurred due to the PS3 and the company's bad financial issues.

Mark Cerny was the one that spearheaded the x86 CPU architecture. It took him a long time to convince Sony to switch architecture. Ease of development was the by product of that.

What has competition led us?

Pay to play online.
Exclusive dlc/timed exclusive dlc.
 

MDSLKTR

Member
That is too funny, I read the whole article, Gamespot is who said that, they run that they are "closing the gap" in the title, and that was never even said in the interview at all. "Close the gap" was what the author of the article said, but EA's CEO never said that.
Once again more proof that western and uk media don't want to go along with sony etc etc
Will be intersting to see if the "no games" bullshit goes away by march... oh who am I kidding, it doesn't matter since it's post-season!
 

GhaleonEB

Member
So the quote in the Gamespot article comes in about 2 and a half minutes into the conference. Registration may be required to listen. Gamestop took the quote more or less verbatim from him so there's not a lot to add. I came away from both the text and audio as the CFO talking about pricing strategy catch up, not raw sales catch up.
 
That is too funny, I read the whole article, Gamespot is who said that, they run that they are "closing the gap" in the title, and that was never even said in the interview at all. "Close the gap" was what the author of the article said, but EA's CEO never said that.

He said "catching up." But when he said that, he was talking about pricing strategy not worldwide sales (it's in the mod edit in the OP). Gamespot just turned it into FUD for some clickbait trash (perhaps unintentionally).
 

Inuhanyou

Believes Dragon Quest is a franchise managed by Sony
Seriously. Don't know why we haven't just replaced the NeoGAF logo as this:

50492_299355523130_2913993_n.jpg

The victimization complex needs to stop. The facts are Gamespot made a patently misleading statement to fuel console wars. PS4 has a 2:1 lead over XB1 worldwide, and that is not up for discussion.

What you feel personally about their value proposition is irrelevant. For me personally, i have no interest in an X1 because the exclusives alone are not worth double owning with a PS4 if one prefers Sony's output.
 
What is EA's connection with the xbone? they seem to heavily favor it.

Well, I am sure a small part of it is all the money they are missing out by EA Access not being on PS4. It is the global leader in console sales, and would have probably doubled the money they are currently making with EA Access on Xbox One. So they probably are favoring it a bit.
 

Trey

Member
What led to the PS4 is the loses that occurred due to the PS3 and the company's bad financial issues.

Mark Cerny was the one that spearheaded the x86 CPU architecture. It took him a long time to convince Sony to switch architecture. Ease of development was the by product of that.

What has competition led us?

Pay to play online.
Exclusive dlc/timed exclusive dlc.

Hard drive in the Xbox influenced the PS3 to have one. Xbox Live's many features caused PSN to be created and continually improved. The competition between the two services led to the PS+ service to be implemented, which is beloved by many gamers. The relatively simple architecture of the 360 became preferred by developers (evidenced by multiplatform games generally performing better on the 360 as opposed to the PS3), which caused Sony to forego their proprietary architecture in order to be more developer friendly and foster more good will.

Just like how the runaway success of the Wii at the time prompted Microsoft to shift focus to "casual" gamers, which led to them including Kinect in the Xbox One and driving its price up. Many point to this decision being the primary reason Microsoft finds itself in second place this generation.

You and others have an extremely narrow view of how these companies interact and influence each other. Sony owes a lot of its position today to MS, and vice versa. These companies aren't in a vacuum.
 

Doukou

Member
What led to the PS4 is the loses that occurred due to the PS3 and the company's bad financial issues.

Mark Cerny was the one that spearheaded the x86 CPU architecture. It took him a long time to convince Sony to switch architecture. Ease of development was the by product of that.

What has competition led us?

Pay to play online.
Exclusive dlc/timed exclusive dlc.

That is a lot different than your first point.

PS3's losses were made up by multiple things one big factor( I assume) was the giant loss of expected marketshare to competitors. Bedsides competiton would lead to Xbox's poor market which would lead to them putting a focus On Things Sony didn't have like Online. This focus on online would allow them to put a working digital marketplace on 360, which would allow smaller developers to publish games without risk to retail and therefore helped indies out. The focus on online would lead to Xbox bettering its online servers and therefore forcing Sony to put competent online services on PS3 after 3(?) years of piss poor online. There are a few examples.
 
So the quote in the Gamespot article comes in about 2 and a half minutes into the conference. Registration may be required to listen. Gamestop took the quote more or less verbatim from him so there's not a lot to add. I came away from both the text and audio as the CFO talking about pricing strategy catch up, not raw sales catch up.

There's a history with the EA CFO not being particularly clear in his statements.

There's this beauty you might recall, where he stated that MTX would be in EA's games. Which was interpreted as ALL EA games, but turns out he was just talking about mobile:

"I made a statement in the conference along the lines of 'We'll have micro-transactions in our games' and the community read that to mean all our games, and that's really not true," he said. "All of our mobile games will have micro-transactions in them, because almost all of them are going to a world where they are play for free."

I recall another gem... I'll dig for it.

He tends to not be very clear and specific when he does these talks.
 
For everyone wondering why Sony isn't dropping their price: the standalone, non-bundle, $399 PS4 is currently the top selling hardware sku on Amazon.com, even though they've already announced the Black Friday bundles and deals. People just don't care.
 

jesu

Member
They improved. I don't think they were ever super fantastic compared to PS4, but the DRM drop and subsequent reversals helped.

I don't mean compared to the PS4.
Didn't the X1 have better pre-orders compared to any other xbox console?

Did those superior pre-orders only happen after the DRM reversal?
If so is there a link that details that?
 
For everyone wondering why Sony isn't dropping their price: the standalone, non-bundle, $399 PS4 is currently the top selling hardware sku on Amazon.com, even though they've already announced the Black Friday bundles and deals. People just don't care.

Weird. I wonder what made it jump up like 12 spots all of a sudden.
 

Toki767

Member
I don't mean compared to the PS4.
Didn't the X1 have better pre-orders compared to any other xbox console?

Did those superior pre-orders only happen after the DRM reversal?
If so is there a link that details that?

Pre-ordering in general wasn't even really a thing back when the Xbox and Xbox 360 launched. It's a silly measurement. Just like the number of zombies slain in Dead Rising 3 since launch.
 

semiconscious

Gold Member
everyone else says 'the xbone's currently cheaper than the ps4'...

ea cfo says 'pricing strategy catching up'...

see, this's why he makes the big bucks :) ...
 

SFenton

Member
No i did not, the fact that i am open about me disliking the XBO doesn't mean that i'm posting saying things like... MS gets their money from sugar pimping smelly toads in budapest or something similar... but i digress...

Dude, you come into this thread saying that it's funny that statham is posting a thread with your post history and readily apparent agenda against MS. There's irony there.

You can express your personal opinion, sure, but you go about it like you have a damn vendetta against a box of plastic and metal.

I don't mean compared to the PS4.
Didn't the X1 have better pre-orders compared to any other xbox console?

Did those superior pre-orders only happen after the DRM reversal?
If so is there a link that details that?

Yes, but I think it may have only hit that mark after the DRM reversal. I'll try and find something.
 

GhaleonEB

Member
There's a history with the EA CFO not being particularly clear in his statements.

There's this beauty you might recall, where he stated that MTX would be in EA's games. Which was interpreted as ALL EA games, but turns out he was just talking about mobile:

I recall another gem... I'll dig for it.

He tends to not be very clear and specific when he does these talks.

The format is probably worth noting as well. Rather than a presentation, it's a Q&A style format with a host asking him questions and him giving answers, with some follow up between them. Clearly planned topics but it's more informal than say an investor presentation.
 
everyone else says 'the xbone's currently cheaper than the ps4'...

ea cfo says 'pricing strategy catching up'...

see, this's why he makes the big bucks :) ...

It makes sense in a world where your strategic partners are all aware that the Xbone launched exclusively at $499 and struggled at that price point. So yes, $399 and below is catching up to what Sony was offering in the first place.
 
It may be that, but I think it's just more likely that the PS4 sells steadily whereas the Xbox One with all the different price cuts and bundles spikes in sales and then drops off.

Yup the SO bundle sold well for a bit before tailing off, and the XB1 skus did jump with Titanfall briefly. But they always seem to drop off after the initial boost
 
More than likely that but the Black Friday bundles are listed there as well.

or people read this article and collectively said "Oh no you don't" and ordered PS4's. :p

Yeah but those charts only track hourly sales, the BF bundles are on the page but not available for purchase until next week
 
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