Pachter Explains How Microsoft Is Following Sony’s Lead With Xbox One

Michael-Pachter

An interview with Michael Pachter on GameTrailers during E3, brought up the idea (an analogy) of that when releasing the PlayStation 3 in 2006 Sony made a big bet on blu-ray – a more expensive drive that was much less used back then. Sony took a leap of faith of future-proofing their console in saying that Blu-ray drives were the future, although it would add to the consoles price.

“We all thought – I like Blu-ray but I’m not paying an extra $200. The difference between the PlayStation 3 and Xbox 360.”

Essentially Pachter believes that Microsoft has designed the Xbox One with the vision of the world in 5-10 years time and their preparing for that now with the DRM and “always online” features, just like Sony did with Blu-ray when the PlayStation 3 was launched. The problem is Microsoft needs to communicate this better with consumers and convince them that their console is really worth the $100 more than the PlayStation 4.

You can check out the full interview here, however below we’ve embedded the part of the video regarding the topic discussed above;

E3 2013: Pachter Interview

So, was Sony right in saying Blu-ray was the future back in 2006? Let us know your thoughts in the comment section below…

 

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  • Daniel Lawson

    Digital is the future… it’s not going to be 15 years… If MS starts pulling massive sales on the level of Steam you can expect that the value of the system to skyrocket

    • Carl

      That’s a mighty big if right there. There is no indication that MS will follow the path trod by Steam and Sony (playstation plus offers massive discounts, along with games that work out at 67p (based on a £3.33 per month subscription and five free games per month) each), especially not given their past attitude towards consumers.

      And they are still going to be hammered by the once per 24 hour Internet check in requirement. Although we do live in an increasingly connected world, not all users have stable internet and there are many occasions why someone might be unable to access the net for a prolonged period (moving house, building work, work place – military, oil rigs etc). Making it mandatory is a very, very bad move – optional but highly recommended is the way forward (as Sony is offering), offering the best experience when connected but still being an exceptional gaming experience when you cannot access the net. Microsoft are essentially telling a substantial portion of their customer base that they don’t matter – and that is Bad Business.

      I called into my local gaming store today to enquire if they were doing PS4 bundles and learned something interesting – they have had hundreds of PS4 pre-orders and ONE Xbox One pre-order. Just one. That says everything – customers are already speaking with their wallets and will continue to do so.

      • Lemondish

        “Although we do live in an increasingly connected world, not all users have stable internet…”

        Everybody seems to be mentioning this, but let’s look at the history of check in systems. A brief history, of course.

        > Ubisoft DRM
        > Sim City
        > Diablo 3

        These titles requires an always online or constant check ins. They were crippled not by the stability of the users internet, but by the stability of the providers servers.

        As a result, I’m not worried whatsoever as to whether the average user’s connection will support this. I’m more worried that Microsoft’s servers don’t go down or get attacked (anybody remember OpSony?)

        • Daniel Lawson

          I don’t think you’re going to have to worry about a few Kilobytes of data crippling a server from Microsoft… if one server does happen to go down another one will just take it’s place from another server farm… that’s one of the reasons they’ve gone with Azure and if you want to hear more listen to the bombcast with CliffyB and JBlow… it’s the second part where they talk about Azure server farms and how they will dynamically spawn

          • Lemondish

            I thought the whole point of the connection was to harness the ‘infinite power of the cloud’. You can’t tell me that cloud processing will only result in kilobytes of data.

            If that’s all it is, a few kilobytes, then why have it in the first place?

        • Carl

          I agree with Daniel, the servers won’t be the problem this time, it will be the users. Many don’t mind being online all the time when It’s Their Choice and optional (and the machine will still work if they lose their connection for a while), but they react badly when being forced to do so.

          And MS’s attitude is offending people too, as when asked about people without regular or stable internet, a MS rep dismissively said “Fortunately we have a product for people who aren’t able to get some form of connectivity: it’s called Xbox 360.” I know if I hadn’t already made my choice based on the mandatory check-in, restrictions on used games (and could MS have been *any* more confusing on this topic, issuing multiple contradictory statements), mandatory complete installs et al, his comment would have made me pick the PS4 instantly, it’s that offensive to consumers.

      • Dave

        I talked to a Gamestop rep at a store and they said the have sold nearly 100 Xbox One preorders and only have had one PS4 preorder.
        Also, people who are preordering right now are people that have their head all the way up the internet’s ass and E3, myself included. What you fail to see is that Momma bear will be in line trying to buy one when Black Friday rolls around and I guarantee you the Casual Gamers aren’t preordering.
        Talk to me in a year when you have numbers and graphs :P

        • datdude

          What you don’t realize is the horror of the uniformed masses when they realize just what they have signed up for with the Xbox Done. That system will have the highest rate of returns in the history of electronic devices. Good luck with that.

        • Carl

          How about some recent numbers and a poll from Amazon:

          In it’s post-E3 pre-order chart, PS4 was at number one, The Last of Us – a Current Gen game – was in second place and the One was in third. It placed behind a current gen game, this all new, all powerful, all singing and all dancing console with a freshly announced price and release date couldn’t surpass a current gen game. That’s woeful and not a good indicator for the coming months.

          And Amazon conducted a survey and the results do not bode well for the One: 94.7% voted for the Ps4 over the Xbox One. That’s frightening. Since it was conducted over facebook, it’s scarcely 100% accurate or reliable, but does provide a strong indicator of public opinion regarding the two machines.

          http://www.cinemablend.com/games/PS4-Grabs-95-Consumer-Votes-Amazon-Ends-Poll-Early-56766.html

          Of course, the One will sell well, I think it will outsell the WiiU easily. But I think it is going to come a distant second to Sony this time, not an only just second as it has this generation (globally, obviously. In America the 360 is dominant, no one would argue that, but global figures favour the PS3).

        • Axe99

          Haha, I call bulldust unless you live around the corner from MS HQ in Redmond ;). Call it how you like, but right now there’s no question that the pre-order momentum is strongly in favour of the PS4, even in the US (I wouldn’t like to think what it’s like over in Europe).

          This is a good thing – hopefully it’ll get MS to re-think their policies. It’s perfectly possible to change their system to not have the mandatory check-in, and not force digital registration of disk-based games (just like it’s perfectly possible for Sony to introduce these features later in the PS4′s life – the XB1 is hardly more future-proofed).

      • Daniel Lawson

        it’s not an if it’s a when.. unlike sales of regular medium you have a infinite amount of sales… so you can sell you game for 8 bucks and still make out gang busters when you sell 250k copies in a few days

        • Carl

          No, it’s not a “when” – a when means it’s inevitable. I agree, it’s likely but it is *not* inevitable. And I just don’t see MS as willing to put on the same number of sales that Steam does, they simply won’t do it: it’s not a part of the business model that they operate under.

          You’re pinning your hopes on a series of massive if’s – IF Microsoft run sales, IF those sales massive discounts (something they have never done before), IF they run them on a regular basis, IF gamers are willing to accept the frankly draconian limitations MS are intent on imposing.

          And many will take the 24 hour check in restriction into account when buying, it’s naive to think that it won’t have an impact. It will. It already is. The One has been sat at number 3 in Amazon’s pre-order charts, behind the PS4 and The Last of Us – a current gen game, no less: although since LoU is now out, I expect that the One will be in second place.

          But I do find it very telling that a next gen machine with it’s price and launch window just announced languished behind a current gen game at all. That’s a Very Bad Sign for MS. If your super-hyped, super-powerful next gen console can’t even beat out a current gen game then you’re in serious trouble.

    • datdude

      Digital is the future, huh? Heh, I’ve got a digital car here for you to purchase. It comes with a digital bridge to drive off of into some digital water into your digital coffin. Enjoy your digital death.

  • SONY

    Commercial Break

    • Axe99

      Bloke who designed the PS4 is an American, just sayin’. Killzone Shadowfall is developed in Amsterdam, Drive Club in the UK and The Order: 1886 in the US. Indeed, the XB1 has more exclusive games being developed in Japan than the PS4 at the moment. Both Microsoft and Sony are large, multi-national corporations with significant contributors across the developed world. Sounds like you’re still living in the 19th century lad.

  • Shawn Pearson

    Sony will sale more consoles in the beginning but once that xb1 infrastructure is set it’s over for sony pack ur shit and take your asian ass over sea’s. It;s obvious the gaming industry needs a change to stay relevant and sustainable, The console market atleast, and thats exactly why microsoft is making the move it is making, next xmas we will prolly be having steam sales on the xb1 and poss even be able to rent games off the cloud can’t wait i have been gaming for a long time and couldn’t be more excited for the future with xb1

    • http://mfdawes.com Mixel

      Renting games off the cloud.. Direct from MS. As much as I like the idea, it doesn’t make a lot of sense for MS to give people access to a game for peanuts when otherwise they’d spend $60. Most people only play a game for a week or two and move on. MS aren’t manoeuvring to have the customer pay less.

      Nobody does sales like Steam does, so I’ll believe that when I see it. You’re putting a lot of faith into speculation, and getting excited for a future you’ve made up.

    • Lemondish

      None of what you said has any basis in reality. There’s not a single benefit that has been clearly outlined to the consumer as to why I should give up the value of selling my games to friends and strangers on eBay. The only thing they’ve shown as to the ‘infinite power of the cloud’ is the silly Drivetar. Yeah, that won’t be worth a $100 premium any day.

    • datdude

      Heh, genius, the PS3 is the leading console sale’s wise in the world. Despite launching a full year after the 360 and not being able to count replacement consoles as new sales as the red ring prone 360 has. All Microsoft has done is damage their dominance in the U.S. and the U.K. while the rest of the world was already going to purchase a PS4. Good luck with that.

    • Axe99

      Ya do realise the PS4 was designed by an American, and has more Game developers in the US and Europe than Japan? Mindless racism is dumb in any case, but mindless racism that’s misplaced is even sillier. Sony and Microsoft are both multinational corporations, and the XB1 has more exclusives being developed in Japan than the PS4 at this stage (ie, if you really are racist, you should probably roll with the PS4, but seriously, racism is just plain dumb – time to grow up already).

  • senpai

    Maybe you should stop “GAMING” Shawn Pearson and work on your spelling and grammar O_O
    Holy crap I have not seen such bad spelling since…..yeah ever, If that’s what 360-gaming did to ones communication capabilities then I don’t want any of it.
    Me thinks you’re nothing but a pubescent child whom thinks his voice is BIG and intimidating over the internet protecting a company that doesn’t really care about these console wars.
    I for one am happy your a xbone gamer as my chance of running into you online is 0, a major win since i’d rather game with intelligence than a dictionary-less blabbering “fanboy” !!!

    • Dave

      My God, you’re obnoxious and pretentious. Get over yourself, it’s the internet. If you have a problem with grammar and spelling on the internet, then you should probably turn off your computer.

      No offense, but your argument is the one that reeks of no intelligence. Just name calling and being offensive, you win “0″ internet points, congratulations. Now go outside and brag about your internet battle and see if your neighbors give a damn…lol.

      #getoutsidemore

  • senpai

    @ senpai from senpai:
    practice what you preach: please replace your with you’re :) still aimed @ Shawn though.

  • The end is near

    Pachter was wrong when he said Microsoft would come out ahead prior to E3, Pachter was wrong when he said Microsoft would subsidize the XBox One through cable operators, Pachter is wrong again on this point. Microsoft is just plain greedy, want to milk the launch price for all itw worth to recoup the $$$ paid for “timed” launch exclusives