Sony feeling the strain - Bach
MS man says focus too broad.
Robbie Bach, the president of Microsoft's entertainment and devices division, has said that he believes Sony is focusing on too many different areas - and is feeling the strain as a result.
Speaking to the San Jose Mercury News, Bach defended Microsoft's decision to introduce new music player Zune to market, rather than a new gaming handheld.
At present, he said, the company's priority is to make sure that, "The second holiday for Xbox 360 is set up right, that we've got the quantities we need, that we've got the games we need, and anything I do to distract those guys is probably a bad thing.
"I think Sony, frankly, suffers a little bit from this problem, which is they're spread really thin across all these areas. And trying to do PSP, competing with Nintendo, PSP to DS; competing with us, 360 to PS3, I think it does strain - it would naturally strain any organisation," he added.
When it comes to competing with the PlayStation 3, "Right now we are thinking about how to cost reduce the Xbox 360. That seems to be the first order of business," Bach said.
"You have to ask the question, over the life cycle, who has the cost advantage? Who can price most effectively? Who can reach the price points quicker? That has a huge impact on what gets driven.
"Most publishers are doing their initial development work on the Xbox 360. That plays to our benefit. Because we are out there first, we have a bigger installed base of consoles. We can drive down the manufacturing curve sooner and faster. And because we designed a box that was fundamentally easier to manage on costs, we’re going to have that advantage," he concluded.
According to Bach, Xbox 360 will be "a great logical choice" for gamers who want to buy a new console this Christmas season, particularly as PS3 shortages continue - adding, "Our value proposition is just better."
He said that Microsoft's decision not to introduce a 2006 holiday price cut for Xbox 360 "was not that hard", explaining, "When your competitor is supply constrained, it’s not clear what price buys you.
"Sony is going to sell as many units as they can ship in the US. I don’t know that a lower price would make a difference in the outcome. As you go out into later years, cost and price are both important issues."
When asked how long it will be before Microsoft starts making money on Xbox, Bach replied, "To be clear, we have said that in fiscal 08, entertainment and devices makes money. That’s not exactly Xbox. We don’t break profit down by business. And there are parts of entertainment and devices that make money. Xbox doesn’t. Xbox has to make significant progress to enable E&D to get there."
However, Bach added, "We feel we are on track."
You may also like...
-
Happy Action Theater Review
-
Call of Duty: Black Ops has best game ending ever, says Guinness World Records
-
Mass Effect 3 Demo: The First 20 Minutes
-
Why Devs Owe You Nothing
-
Tim Schafer: publishers aren't evil
-
Sony confirms PS Vita 1st Party digital only game prices
-
Halo 4 Master Chief action figure flaunts new suit design
-
Face-Off: Final Fantasy 13-2
-
App of the Day: Monkey Bump
-
Sony's $50m Vita marketing campaign targets PS3 owners
-
ModNation Racers: Road Trip Review
-
UK Top 40: Kingdoms of Amalur: Reckoning beats Darkness 2
-
EGTV: Eurogamer playtests PlayStation Vita
-
Fallout: New Vegas dev asks fans what game they would like it to Kickstart
-
Retrospective: Star Wars Episode I Racer
-
Metal Gear Solid 3D demo on eShop this week
-
Metal Gear Solid 5 expected between April 2013 and May 2014
-
Digital Foundry: PS3 Skyrim Lag Fixed?
-
DICE working on multiple Battlefield 3 fixes
-
Making FIFA Street in the FIFA engine's image
-
Activision: games are relationships, "brands in people's lives"
-
FIFA Street footage pits France vs. Germany
-
Ridge Racer Unbounded delayed by four weeks
-
No plans for Journey PlayStation Vita version
-
Gotham City Impostors Review









Comments (77) Latest comment 5 years ago
Comments threads automatically close after 30 days, but please feel free to continue chatting on the forum!
Comment below viewing threshold Show
Comment below viewing threshold Show
/gets scared by title bar.
Comment below viewing threshold Show
How about thinking about how to make a reliable Xbox 360 first that doesn't keep breaking down, eh? /wink
Comment below viewing threshold Show
SO lucky for Microsoft it wasn't quite THAT important to them apparently.
Comment below viewing threshold Show
microsoft competing with sony and apple
tomatoes, tomatoes
Comment below viewing threshold Show
"I think Sony, frankly, suffers a little bit from this problem, which is they're spread really thin across all these areas. And trying to do PSP, competing with Nintendo, PSP to DS; competing with us, 360 to PS3, I think it does strain - it would naturally strain any organisation,"
are just pure sniping, and seem even more insincere because he tries to sound all rational about it by saying anyone would have problems. He's also trying to make up for the fact that MS is the only console platform with no handheld console counterpart.
Couldn't they just shut up about their rivals and concentrate on what they themselves have to offer?
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
Wow, yet another new verb concocted by some American exec. And there was I thinking "to reduce the costs of the Xbox 360" was perfectly acceptable English.
Leveraging the synergies FTW!
Comment below viewing threshold Show
MS Windows vs OSX
MS Windows vs Linux
MS OFfice vs Open Office vs WordPerfect Office
MS Internet Explorer vs Mozilla Firefox
MS Windows Media Player vs Itunes vs infinity....
MS Zune vs IPod
MS Keyboard and Mice vs a trillion others
MS Sidewinder vs....
MS Money vs Quicken
MSN vs AOL & trillion others
MSNBC vs every other cable channel ever
Notice the MS in all of this?? Then again, to be fair, they have a bottomless pile of cash while Sony have a bottomless pile of bust batteries.
That said, his comments to me sound surprisingly reasonable and controlled. Maybe its just me!
Comment below viewing threshold Show
Comment below viewing threshold Show
"It turns out that [Sony] are losing $307 for every 20GB PS3 and $241 for every 60GB PS3, and that's before before marketing and distribution costs. Compare this to the Xbox, where initially Microsoft was losing $153 per unit a year ago but who are now making $75.70 on each one sold. When it comes to the Wii, Nintendo is making a profit from the outset"
Seems a bit odd the 20GB loses more than the 60GB but there you go.
http://blogs.z dnet.com/hardware/?p=152
Comment below viewing threshold Show
Comment below viewing threshold Show
because the only thing different is that it has a bigger hard drive, the extra cost for the consumer far outweighs the cost of upping a 20GB drive to a 60GB one.
Comment below viewing threshold Show
And yes, PS3 is in a bit of trouble.. Because besides having a standard Blu-ray drive and being more quiet in operation it offers nothing over the Xbox 360.. Both systems have the same graphical power, but Xbox 360 is available everywhere in stores right now, is a lot cheaper (especially after the pricedrop), and has more games available for the coming 1-2 years orso.. In the US and especially Europe the PS3 will lose a lot of sales to the Xbox 360 this holiday, it will probably run into the millions..
As for the Wii, despite probably costing as much as a Xbox 360 core in March/April next year, I think the Wii will not really suffer because it has it's own special market with it's 1st party Nintendo games that are totally different from Xbox 360 or PS3 games.. Although it's a clear sign again why (imho) the Wii is overpriced in Europe with 249,99 euro.. It's just a little bit more powerfull then the 5 year old Gamecube, and (after the Xbox 360 pricedrop) it costs the same as a much more powerfull Xbox 360..
Comment below viewing threshold Show
But Sony have earned themselves some of that harted, there's no denying that. The only thing that can erase the bitter launch atmosphere would be a year of good releases - maybe.
Comment below viewing threshold Show
yep and Sony's first party buzz, Singstar or Eye-toy will not make it's way onto the PS3?
Comment below viewing threshold Show
Comment below viewing threshold Show
The problem is that it's NOT early days for the Xbox 360, it's been around for over a year now and is available in every games shop in the world. The PS3 isn't even available in Europe and is virtually impossible to get in the countries where it has "launched". And the Wii is so easy to manufacture, it too will be far more widely available than the PS3 for the next year or so.
"yep and Sony's first party buzz, Singstar or Eye-toy will not make it's way onto the PS3?"
Absolutely no one would buy a $600 / £450 console to play Buzz, Singstar or Eyetoy, especially when they can get exactly the same gameplay on the PS2 for $130 / £80.
They might sell well, but they won't be the games that sell the system.
Comment below viewing threshold Show
Comment below viewing threshold Show
Just asking.
Comment below viewing threshold Show
1. We are loosing money on each box just not nearly as much as sony.
2. Developers realise that they can make money selling 360 games to 7.5 million users rathere than 300,000 sony users (duh!)
3. PSP still makes the guys at Microsoft laugh. Sony thought they could muscle into the handheld market we trhink they are dopes and they know it!.
4. Yea we thought about handheld gaming but nintendo are just too big there so we went after apple who have saturated the market and started to make mistakes!
Comment below viewing threshold Show
Comment below viewing threshold Show
Microsoft should have had ten internal teams filling every genre with triple-A titles. The argument about whether to buy a PS3 or not should have been a non-issue by now. M$ - despite its billions in the bank - are tightwads and have dropped the ball.
Nintendo make a nice (though potentially novelty) machine but we still get over-charged in Europe. For that reason alone they get bite my shiny metal ass.
Sony... Christ what can you say about Sony that a million forum posters haven't done already. Overpriced, under-supported, and not in Europe. The latest rumour is that March won't happen for us because every unit needs to prop up sales in Japan and the US.
And in case you thnk I'm just scaremongering look at the facts: inital shipments are woeful. If you were a game stire in the US or Japan, could you be arsed to stock the rull range of games for a measly installed base? If Sony spreads itself thin over three major territories, it could really damage its high street support.
Think about it: on launch day most towns get a paltry handful of machines and so each store has a tiny potential user-base. I'd rather use my valuable shelf space for 360, DS or Wii titles which I know stand a much greater chance of selling.
In war you don't fight on two fronts, let alone three. If I was making a decision based on pure business, I'd leave troublesome multilingual Europe until next November and get a proper foothold in the NTSC territories first.
Comment below viewing threshold Show
It's most definitely not overpriced. And what do you mean by undersupported? It has alot of support...
Comment below viewing threshold Show
Sure it's very early for PS3, but that's really their own fault.. Sony could have launched the PS3 a year ago just as the Xbox 360 if it wasn't for them trying to use the PS3 to push Blu-ray onto the market.. Sony simply gave the advantage to MS themselfs.. And yes, *if* the 1st PS3 games looked as good as 2nd gen Xbox360 games.. But they don't, and current multiplatform games like CoD3 and NFS:C etc look and run slightly better on the Xbox 360, which also says something..
-------yep and Sony's first party buzz, Singstar or Eye-toy will not make it's way onto the PS3?------
Sure PS3 will have it's exclusive things and games, but so will the Xbox 360, and noone will have the 1st party Nintendo games like Zelda and all the Mario's etc except the Wii..
That's also why I said that the PS3 will probably be top again in 5-6 years time, because there's so many PS2 users outthere that want the same exclusive games again as they had on their PS2.. But for the coming years Xbox 360 will stay ahead as the PS3 is to way to expensive for most PS2 owners, and the cheaper Xbox 360 offer a good alternative.. PS3 also lost a few important exclusives like GTA for example, therefor Sony will not dominate again as they did with the PS2.. In the end it will be close to 50/50 between Xbox 360 and PS3 with a slight advantage for PS3 I think.. For MS that's already a victory..
Comment below viewing threshold Show
Nothing really offensive or anything...
Nice zune review indeed...I particularly sympathize with the windows 'antibodies'...
Comment below viewing threshold Show
hmmm...
because there's so many PS2 users out there that want the same exclusive games again as they had on their PS2
¬_¬
Comment below viewing threshold Show
Businessman says negative thing about direct competitor.
Comment below viewing threshold Show
Comment below viewing threshold Show
However I've played Motorstorm and it's pretty cool.
Comment below viewing threshold Show
Pardon?!?!
Comment below viewing threshold Show
Comment below viewing threshold Show
During the intermission at 'Video Games Live' on saturday I looked down at the 500 or so gamers I could see in the circle before me. There were about 50 DS's lit up. I saw one bloke huddled over by the aisle with a psp looking a bit ashamed. Mrs Wobble actually noticed this before me and said 'why does that one guy only have one screen when everyone else has two?' I lol'd.
Comment below viewing threshold Show
* Goes off to snort coke from hookers ass *
=)
Comment below viewing threshold Show
I'd agree if the PS3 was generally similar to its rivals, launch problems would be completely forgotten once manufacturing gets going properly.
The problem is the PS3 costs twice as much as the 360 and three times as much as the Wii, and the price difference isn't going to go away because MS and Nintendo will match every price drop (they're already making a profit on the hardware so if they took the same loss as Sony they could sell their consoles for about $100 each).
No successful console has ever had such a big price difference at launch, which makes potential PS3 customers even less likely to wait for it while the 360 and Wii look so inviting on the shop shelves. In fact the only console I can think of which was so hugely expensive compared to rivals is the 3DO, which died miserably at the hands of the much cheaper first PlayStation.
Comment below viewing threshold Show
Comment below viewing threshold Show
Microsoft XBOX 360 is going against Sony PLAYSTATION 3.
Microsoft ZUNE is going against Apple iPod.
Theres only 1 room for 1 top company in each country.
Japans got Sony.
Americas got Apple.
You need to beat Apple before you can go against any company.
I reckon the strains on you Softy.
The most succesful gaming company out there is Sony, PS one won, PS2 won, PS3 will win, Xbox flopped, Xbox 360 doing worst, it needs to beat PS2, PSP before it can go against PS3.
Comment below viewing threshold Show
And i have to say this but Halo 3's graphics looks like shit.
Comment below viewing threshold Show
##so by that reasoning the ps3 is also a flop as it needs to first beat the ps2
Comment below viewing threshold Show
Comment below viewing threshold Show
ouch! sounds disasterous.
Comment below viewing threshold Show
[link url=http: //www.isuppli.com/news/default.asp?id=6919
]http://ww w.isuppli.com/news/default.asp?...[/link]
Microsoft is now making money on each XBox 360 sold.
Comment below viewing threshold Show
IGN really liked the Zune - gave it a respectable 8 out of 10 if I'm not mistaken. Didnt mention many problems with it.
Strange that the guy who reviewed it in the review thats linked above seemed to hate it so much.
Comment below viewing threshold Show
Strange that the guy who reviewed it in the review thats linked above seemed to hate it so much."
theres many other reviews on the t'internet giving the zune a respecatble review, it might not be an apple killer ut it is still a good player non the less, it seems that review posted must have been from some apple fanboy or microsoft hater - not so different to people on forums really
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
Although I haven't heard 360 sales dropping, someone in the threads keeps saying they have actually risen...
No sources though...
Comment below viewing threshold Show
Although it's still early days and there's the rest of December left.
Comment below viewing threshold Show
With the wii launching in force in europe...
(Force...50000 units for Italy...Hope I can get one at launch)
Comment below viewing threshold Show
I have heard of 360s selling out all over the place in America and Canada on the launch weekend of the PS3 / Wii though. Probably just due to shortages of the other consoles and an increased amount of shoppers in stores generally.
Comment below viewing threshold Show
I did, and they seem way off the mark. Perhaps it's because it's in their PS3 suppliment. They say 4.7 million sold so far, but the figure I'm seeing on the net is 7.4 million. So I believe it's a typo.
Comment below viewing threshold Show
Particularly amusing was their comment about how both the Wii and the PS3 take console gaming in new directions. The Wii for obvious reasons, the PS3 seemingly because it can display photos in a novel way. Don't get me wrong, the PS3 is fine and all, but it hardly seems to represent the paradigm shift that the Wii offers.
Comment below viewing threshold Show
Microsoft doesn't seem to discern between "sold" and "shipped".
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
It is an argument, however, that will only really be settled this time next year.
But if XBox360 has really sold less at this point in its cycle compared to the XBox, I would imagine some of the MS execs are feeling a bit of a strain too, for that matter.
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
What the point of this latest dumb corporate mendacity is, is beyond me, it just puts me off putting money in these gits pockets. Every one I know IRL who's held off getting a 360 is very keen on getting a Wii. MS could get a serious bitch-slapping from an unexpected quarter this festive season.
LOL @ the Zune apologists, there's dedication to the corporate male chicken if ever I saw it. Zune points fufux-ache! Different day, same old ordure.
Comment below viewing threshold Show
[Edit - Dreamcast lifetime: November 1998 - March 2001]
Comment below viewing threshold Show
Comment below viewing threshold Show
Comment below viewing threshold Show
As you were.
Comment below viewing threshold Show
Y'know, the ones who own PC’s, Xbox’s and PS2’s and play their favorite titles, unconcerned with SALES FIGURES or memorizing all the names of Metal Gear Solid bosses.
Comment below viewing threshold Show
Comment below viewing threshold Show
Those people exsist i thought they were urban myths. lol! Am joking but seriously don't belittle people because they differ from you ok buddy. Thats called discrimination. besides if they wanna have an extended interest in there hobbies more power to them you dont have to read there comments if you dont want to.
I only have an issue when they become blinded by brand loyalty but for the most part they are intelligent and fun to talk to.
I know what i am but what are you for being here?
Comment below viewing threshold Show
Preach lol! This place is fun today lol!
Comment below viewing threshold Show
Oh, and wtf does Zune have to do with gaming?!?! Shall we pull apart Sony for their sub-standard car audio systems?
Comment below viewing threshold Show
We all fall under the proverbial banner of "Fanboy" sometimes but it's the smarter of us that are able to elevate and not allow any brand to blind us. I have been called a Sony fanboy and a Nintendo fanboy which i am if havin a prefference means that your a fanboy.
Yeah really come on what does Zune have to do with this? That Microsofts Mp3 player the only real tie in it has with gamin is that it was 1st thought to be a gaming handheld. Come on guys lets not grasp at straws here. The Xbox divison of Microsoft has enough going on that we dont need to bring in other parts of that corparation into our discussions do we?
Comment below viewing threshold Show
Can anyone help me out with this:
We just got a a new lcd tv for our new pc and im able to hook it up to an xbox 360 or a ps3 and i was wondering if these specifications of the lcd tv are any good??
Mirai 27 inch lcd tv
Flat Panel Type LCD Television
LCD Response Time: 8 ms
Screen Size: 27 inch
Contrast Ratio: 9 00:1
Display Resolution: 1366 x 768 pixels
Display Capabilities Broadcast Format Displayed:
-720p (HDTV)
-480p (EDTV)
-480i (SDTV)
Broadcast Format Supported
-1080i (HDTV)
-720p (HDTV)
-480p (EDTV)
-480i (SDTV)
-576p
-576i
Built-in Tuner
-NTSC
-PAL
-SECAM
Native Aspect Ratio 16:9
Image QualityDisplay Resolution: 1366 x 768 pixels
Brightness: 550 cd/m²
Output Color: 16.7 million colors
Viewing Angle: 176
Adjustable Color TemperatureWithout Adjustable Color Temperature
Would this lcd be good for an xbox 360 or ps3??
This probably sounds like a stupid question but i dont know much about lcd's
Any help would be great,
Thanks.
Comment below viewing threshold Show
Comment below viewing threshold Show
sounds like its a perfect tv for gaming, specs are good, but have you checked the connections? component, HDMI?
Comment below viewing threshold Show
Comment below viewing threshold Show
3 questions...
1st What makes Mr. Thurott opinion so official that he should have the final word?
2nd What does this have to do with this thread?
3nd Why are you happy about this?
Comment below viewing threshold Show
I dont know if it has component or hdmi. Is it bad if i dont???