Final Fantasy XIII – Xbox 360

Yoichi Wada of Square Enix has let the cat out of the bag. The cat is Final Fantasy XIII for the Xbox 360 and it will be simultaneously released with the PlayStation 3 version. This may be an end to an exclusive era for Sony as all their big brands jump to non-exclusion.

This is probably a result of gamers slow adoption of the PlayStation 3 hardware for various issues, one being cost. Personally I think Sony’s move to say “no price cut” in our near future is a grand mistake. It is well understood that they want profitability over quantity but you’re losing your exclusives to a broader audience.

Each generation of consoles brings new industry trends and, for now, exclusive games from third party developers is too risky when you look at overall cost to produce a block buster title like Final Fantasy XIII. Consider the sales of GTA IV, although they were in the millions, imagine how low it would have been if they only released on the PS3. They’d might have actually lost money on the game.

Square Enix can see the writing on the wall, that writing says “ship on as many mediums as possible.” Gamers are split between consoles with a huge segment on Wii and Xbox 360, if you can at least ship on one of those consoles along with the PS3 you’ll do better financially.

(Thanks, Kotaku)

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Sony Responds To Crashing Sales with Management ShiftSony Responds To Crashing Sales with Management Shift

ps3Sony Computer Entertainment Europe has made some leadership changes in response to their in-ability to get things going in the sales department of the PlayStation 3. Gamer’s continue to refuse to believe the PlayStation 3 is in a bad situation by explaining how badly Microsoft’s Xbox 360 is doing in Japan and Europe compared to the Sony console. And, of course, the Wii isn’t competition to Sony.

“Andrew House, Chief Marketing Officer and Group Executive of Sony Corporation, has been named President, Chief Executive Officer (CEO) and Co-Chief Operating Officer (Co-COO) of Sony Computer Entertainment Europe (SCEE) as of May 1, 2009.” (smarthouse.au)

We’ve been told this is the year of the PS3, this is when they bring it all together. Nintendo’s losing some of their grip on the industry with slower sales, even in Japan. The economy isn’t playing nice with any of the consoles and sales continue to drop, reportedly 17% in March compared to last years numbers.

Australia isn’t proving to be any help to Sony, “for example in Australia a consumer can now buy the Xbox 360 for $299 and a separate Blu ray player and DVD upscale player for $199. Combined this is $200 under the recommended retail price for a Sony PS3.”

Here in the United States, we’ve bought more Wii balance boards than PlayStation 3 consoles. One can argue that the Wii is a novelty system but that really casts a dark shadow on the PlayStation 3. The PS3 is being beat out by a novelty item? Can the new SCEE management change the direction of Sony?

Sony, What Doesn’t Kill Them Makes Them StrongerSony, What Doesn’t Kill Them Makes Them Stronger

David Reeves, Sony Europe’s President said, “we simply have to suffer a little” when talking about the PS3, Europe and the competition. He was talking specifically about Sony’s loss of market share, mind-share and overall performance in the latest competitive console arena. While Sony’s president dismisses Nintendo as in a separate market, David Reeves said, “we’ve learned from Nintendo how to grow the market and move from hand-held device to device – they’ve done it brilliantly.”

Buster Douglas Takes Down Mike TysonWhat Sony may be dealing with is the fact that they’re not top dog in the latest battle for consoles. Europe has taken to the PlayStation 3 better than the United States and they’ve got plenty of fans in the region. There has been a recent upside to it all, some light at the end of the tunnel:

“PS3 games sales are up 53% and there’s a healthy 1.1m pre-order book for Killzone 2, the first of a new batch of IPs that Sony will be counting on.” (guardian.co.uk)

Although it’s reported the PSP says are down 15% and PS2 software sales are down 51%, at least the PlayStation 3 is filling in the gap for some of those losses. At some point you’d expect the PlayStation 2 to decline, gamers are probably migrating over to the new hardware.

They’ve got some things to be proud of:

  • PlayStation Network increases revenues by 200% in 2008
  • 55% of all PlayStation owners are on PSN
  • 17.5 million PSN subscribers
  • 53% rise in software sales on PS3
  • Won HD format war

Unfortunately PS3 sales were down last quarter by about 9%, perhaps a response to the harsh economic times. And, of course, the fact that Sony’s VP’s are constantly defending their position in the market is a bit disconcerting. As David Reeves said:

“It’s like Ali v Foreman – go eight or nine rounds and let him punch himself out. We’re still standing, we’re still profitable and there’s a lot of fight in us. I don’t say we will land a knockout blow, but we’re there and we’re fighting.” (guardian.co.uk)

Sony is playing the defensive, guarding themselves against the punches of the competition. Nintendo making headlines for sales, Microsoft coming out of nowhere to try to build market share, while Sony holds out for the tenth round to win it in the end? We’re not yet sure if it’s Ali vs. Foreman or if Microsoft is the next Buster Douglas.

(Thanks, Guardian)

Is This The Golden Age of Gaming?Is This The Golden Age of Gaming?

Entertainment Software Association (ESA) president Michael Gallagher called this the “Golden Age of Gaming” during his E3 keynote address. Calling out innovators like Nintendo who have “helped revolutionize our industry” and Sony’s Home initiative.

The keynote fell on the ears of fifty or so people who filled the large room awaiting his talk. Gallagher believes we’re in some of the best years of the gaming industries life based on… sales figures, technology and innovation?

If we’re in the Golden Age of Gaming we might as well pack it in now. Text book definitions of the phrase are defined as “the first and best of the four ages of humankind; an era of peace and innocence that finally yielded to the silver age.”  Or, “the most flourishing period in the history of a nation, literature, etc.” (dictionary.com)

By that definition, we’ve seen the best to come and everything from here is downhill. When a person retires from work they’re often said to have reach the “golden age” of their career. Is this the correct message to be sending to the industry? That we’ve done it all and now it’s time to sit and relax.

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