Microsoft recently announced their price cuts on the Xbox 360, effective today, but what is motivating them? Microsoft’s not going to make much additional money by passing off the savings to the customer but they will, more than likely, sell a bunch of great new Xbox 360‘s to a new crowd of gamer.
Motivation? Sony.
“I’m not at a point where I can say we’re going to beat Nintendo,” says Don Mattrick, senior vice-president of Microsoft’s Interactive Entertainment Business. Indeed, Nintendo is likely to run away with the lead in the current generation of console gaming, leaving Microsoft and Sony to battle for second place. (businessweek)
Who would have thought Sony and Microsoft would be battling out this generation for second place while Nintendo breezes through with their Wii console and a handful of games with mediocre game reviews? Don’t answer that, it’s a rhetorical question. If you saw this coming and you’re not on the marketing or project planning for one of these console makers you better prep your resume!
The battle isn’t cooling, Microsoft drops their price to compete with their big competitor Sony which also brings it closer to the price tag on the Wii getting two bird with one stone. The reason Wii is winning is clearly due to its broad demographic of grandpa and grandma non-gamers along with hardcore gamers who have to collect all the consoles and younger gamers that want to fit the trend.
Microsoft’s clearly shooting for second place by installing more units into the consumers home as possible. They’ve got a great library of first person shooter titles, a few RPG’s and RTS titles and the typical contraversial titles like GTA and Saints Row with more hot blockbusters (read: Gears of War 2) arriving soon.
I see this as a great opportunity for casual game developers to get into the Xbox Live Arcade market and start making themselves (and Microsoft) some money off the new gamers that will buy their first Xbox 360 for $199 and up. Microsoft’s getting closer to the low-budget gamer crowd with their price cuts so it would be great if they can take advantage of that market with lower cost titles as well.
If you’re a game developer looking for console stick time and you want to grab the attention of a large pool of gamers, the Xbox 360 isn’t a bad start!
While Microsoft isn’t aiming at Nintendo just yet, there is no doubt Nintendo will be in their sights if they can smoke the pants off Sony in the near future (by this holiday).
Ensemble Studios, owned and operated by Microsoft or, Microsoft Games Studios, has been targed to be dissolved. All employees will find new homes, a large quantity will start a new studio and continue maintaining the later released Halo Wars franchise.
Hey guys,
I just finished reading ‘Racing the Beam’, a semi-technical, semi-historical book on the Atari VCS and I’m currently reading ‘The Ultimate History of Video Games’ so your Gaming History segment was timed perfectly. I never had the Atari VCS but I did have the Atari 800XL machine and I did play most of the classic games. It’s certainly one of the most important companies in the history of video gaming and it’s a really fun and interesting story to read and listen about.
@Kinect
I never used the Kinect but the PS4 also has the voice command support and I never use it. I feel silly talking to a machine when I know I can do most of the stuff faster and easier with the controller. I am not suprised that the Kinect has been unbundled from the XBone. Those who think they spent too much money will just as easily sell their Kinects to those who want them. I don’t think it’s an issue. Overall, it seems to me that motion controls are vastly underused but there’s probably a reason for it. Other than party games I don’t really find them that fun. Having said that, I played through Heavy Rain using the PS Move and it wasn’t all that bad. Still, it’s a unique game, which attempts to be as immersive as possible.
@Philips versus Nintendo
This is so bizarre I don’t even know where to start… Why the Wii U and not the Move or the Kinect, which seem to infringe on the patent even more? Does it have to do with the scanner you talked about or the nunchucks because that’s still not clear to me? Didn’t Philips sue Nintendo over a different patent many years ago? Something about CD-i?
@QOTW
I don’t believe I played that many educational games back in the day. I remember a math game featuring Disney characters and butterfly nets but I don’t even remember what platform that was on. Atari or Commodore… Need For Speed didn’t teach me how to drive, Killzone didn’t teach me how to kill and Spelunky didn’t teach me about exploring caves. I prefer games for their entertainment value although I will have to look into the education genres when I have my own kids…