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Will Sony Go The Same Path As Nvidia Now That They Will Longer Have Direct Competition As A Console Seller?

Mister Wolf

Member
This isn't a concern troll thread. I legit want to know what you guys think will happen now that Xbox consoles wont matter anymore. I don't consider Nintendo a direct competitor with Sony simply because there are performance limitations with them selling a portable in the type of gaming experiences they can provide. Will the Switch 2 be able to play GTA6? Possibly. Does anyone really want to experience that version limited by that hardware blown up on a big screen TV? Thats my point. We know how Nvidia treats us customers. We are at their mercy. Will Sony do the same?
 
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Bojji

Member
I don't think they will but there is always possibility for that. They have overpriced tvs but aside PS3 all consoles had decent prices at launch.

They are mostly making money on software so they would shoot themselves in the foot if they decide to go Nintendo/Apple route (sell hardware with good margins).
 

Crayon

Member
You realize they still want to sell more playstations. They're in the endless growth vortex like anyone else.

Try this logic out - If Nintendo doesn't count as direct competition, and therefore has no direct competition, how do they manage to keep the quality up and the customers happy?
 

Jigsaah

Gold Member
Nvidia is still smoking the same cigarette after I bought my 4090.

Let's say all we've heard in rumor is true and is going 3rd party and no longer doing consoles. If you're thinking Sony will start gouging prices like Nvidia...I mean it's possible if they are the only game in town.

Where else are folks gonna go? Switch 2? Sure if you want last generations power and no Playstation exclusives.

People cheer but I think it could happen. Consoles for 600+ again, games priced based on investment so AAA games might be 80 bucks for standard editions.

There's really no one to pick up the pieces either. You think Amazon is gonna drop a console....no. Apple...maybe.

My advice, get a PC ASAP. I don't really worry about it too much myself because I'm gonna be playing pretty much every game I want except for the Nintendo stuff. I will be getting a Switch 2.
 
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Mister Wolf

Member
Just because Xbox doesn't have exclusives (if that turns out to be true), that doesn't mean Microsoft can't make an awesome console too.

People aren't going to buy it if their premier games are on other consoles. They will effectively be AMD in the GPU space maybe even Intel.
 

T-0800

Member
Switch is on the verge of being the best selling console of all time but some reason doesn't count as competition.

s reactions jim GIF
 

Rentahamster

Rodent Whores
People aren't going to buy it if their premier games are on other consoles. They will effectively be AMD in the GPU space maybe even Intel.

People will buy it if it's a better proposition value than Sony's console, and they don't care about Sony exclusives enough to not be a dealbreaker for them.
 

Jigsaah

Gold Member
Switch is on the verge of being the best selling console of all time but some reason doesn't count as competition.

s reactions jim GIF
The reason why they don't consider Nintendo as competition is because a lot of players either only have Nintendo (kids I would presume) Or have an Xbox and Switch, Playstation and Switch or PC and Switch.

There also isn't the same tribalism. Nintendo doesn't compete within the same power bracket. They haven't even cracked 4k yet. They don't feel they need to...and it's pretty clear that they don't given the sales.
 

Mister Wolf

Member
You realize they still want to sell more playstations. They're in the endless growth vortex like anyone else.

Try this logic out - If Nintendo doesn't count as direct competition, and therefore has no direct competition, how do they manage to keep the quality up and the customers happy?

Nintendo doesn't chase power. Do you think Sony without competition will let off the gas in the performance bumps per generation while still charging a premium? That is exactly what Nvidia has done.
 
If it become legit where everyone buying PlayStation consoles. And buying all the games on that platform. Yeah, get ready for 700 consoles for launch. Who knows what else. Cause Nintendo and Sony really just don’t compete against each other to be honest. But also, if it goes that way. Slowly but surely, as long pc keeps doing what they doing and everything stay smooth. More and more ppl just go pc. Then PlayStation will slowly die as a hardware and be more just a software selling there games and services on pc and what else
 

Mister Wolf

Member
More consoles sold = more games sold = more money for Sony.

Higher priced consoles will only eat into their profits.

I see your point. That is something that doesn't apply for Nvidia. Take in consideration though that the PS3 retailed for $600 way back in 2006. Inflation puts that at $900 in 2024.
 
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Crayon

Member
Nintendo doesn't chase power. Do you think Sony without competition will let off the gas in the performance bumps per generation while still charging a premium? That is exactly what Nvidia has done.

Then what is nintendo chasing to get these huge sales? Are they just sitting around raking in money for nothing because they have no competition?
 

DenchDeckard

Moderated wildly
I think people would move to pc but there is a chance it goes similar to nvidia.

Look at the 4080 super. Nvidia would have never done that if it wasn't for AMD. Even if amd is only 10 percent of the gpu market.

We will see what happens. I'd like to hope customers don't take the shit but who knows. Plenty of fans with a hard on for sony that are now invested in their walled garden.
 

GHG

Member
I see your point. That is something that doesn't apply for Nvidia.

It does apply for Nvidia, it's just that there has been a gross misunderstanding regarding margins whenever this discussion has come about.

Their operating margin was down over 50% YoY last year.
 

bitbydeath

Member
I see your point. That is something that doesn't apply for Nvidia. Take in consideration though that the PS3 retailed for $600 way back in 2006. Inflation puts that at $900 in 2024.
Keep in mind the PS3 was also the first PlayStation console that went head2head with Xbox. PS1 and PS2 came before.
 

Bojji

Member
I see your point. That is something that doesn't apply for Nvidia. Take in consideration though that the PS3 retailed for $600 way back in 2006. Inflation puts that at $900 in 2024.

As far as we know Ada cards don't sell that much at those (high) prices. I think Nvidia just don't really care about consumer GPUs that much, it's just side job for them while they are making shit ton on money on other things so they don't give that much fuck about number of cards sold.

Sony is getting most money of software so they DO CARE about number of potential consumers.
 

Mister Wolf

Member
Keep in mind the PS3 was also the first PlayStation console that went head2head with Xbox. PS1 and PS2 came before.

So if they had the hubris to price it at effectively $900 back in 2006 when they had competition, what's to stop them now?
 
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FoxMcChief

Gold Member
Probably. And we gamers will just accept it. I expect a higher costing consoles, games, accessories and subscriptions.
 

GHG

Member
I think people would move to pc but there is a chance it goes similar to nvidia.

Look at the 4080 super. Nvidia would have never done that if it wasn't for AMD. Even if amd is only 10 percent of the gpu market.

We will see what happens. I'd like to hope customers don't take the shit but who knows. Plenty of fans with a hard on for sony that are now invested in their walled garden.

The reason they did that had nothing to do with AMD. If AMD were impacting them then they would have found a way to increase performance as well.

Their yields for the die improved dramatically (I don't know the exact details of how, but they clearly found a way between the original 4080 release and now), hence they can drop the price while maintaining or improving their margins on the product.
 
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Crayon

Member
Billion dollar intellectual properties built over decades.

I don't know what this means. The best I can guess is that nintendo gets to rest on their laurels in their space with no competition?

I think the reality is that they are very much in competition with sony, and they are in competition with themselves, and they're making a lot of money because they're good at what they do.
 

Yoboman

Member
Nintendo absolutely is still competition

They will be competing for who is the basis for development on consoles

Wouldn't even be shocking to see Sony re-enter the handheld space if they can make a handheld natively PS5 compatible somehow

You also need to remember that console prices are largely irrelevant to Sony, they know their money is made in software and DLC by having the most amount of people buy hardware
 

Mister Wolf

Member
I don't know what this means. The best I can guess is that nintendo gets to rest on their laurels in their space with no competition?

I think the reality is that they are very much in competition with sony, and they are in competition with themselves, and they're making a lot of money because they're good at what they do.

It means their money comes through selling their known IP's and creating new ones. They are not chasing power. If they were they would make a console powerful enough to run GTA6 with parity of the PS5 so they can steal customers from Sony. GTA6 is just an example.
 
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DenchDeckard

Moderated wildly
Needing to move 7 million units of a game to break even.

How many playstations did they shift through scalpers at 800 to 1000 dollars?

All they need to do is create the hype of a new playstation...have Mark Cerny ASMR on stage and put it up for pre order at 799 and say its the new powerful playstation but supply will be limited dur to its special component (similar to the ssd)

And it will fly off the shelves. We all know it.

The positive news is we all have the choice to decide if we buy into that. But, I will make an avatar bet that if it did happen, no matter what there would be a fair few posters on here telling us all why the price is warranted for what you get. Just like apple fans with any new apple product.
 
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Crayon

Member
It means their money comes through selling their known IP's and creating new ones. They are not chasing power. If they were they would make a console powerful enough to run GTA6 with parity of the PS5 so they can steal customers from Sony.

Why do they have to make these new ip's? Sounds like a lot of effort when they have no competition to worry about. They should really think about charging $500 for that switch 2, as well. Leaving money on the table. It's not like anyone has any choice but to buy a switch 2.
 

Mister Wolf

Member
Why do they have to make these new ip's? Sounds like a lot of effort when they have no competition to worry about. They should really think about charging $500 for that switch 2, as well. Leaving money on the table. It's not like anyone has any choice but to buy a switch 2.

Because they're the best at it and its how they make their money.
 

GHG

Member
That's a good point. No rush now to upgrade. That's like Nvidia with the 4000 Series.

The reason there's no incentive for GPU manufacturers to provide a certain level of performance at a certain price is more complicated than that. It became clear the situation that has arisen would come about the moment the specs for all the current gen consoles were revealed and the baseline was established.

I wrote the following in 2020:

It's the PC baseline I'm talking about.

If the mass market can get away with having 4TF GPUs for too long then that means the prices of the higher powered parts wont come down as quickly due to the lack of demand for advancement and innovation. That's why we typically see the graphics cards that coincide with the final couple of years of a console generation being a piss take, both in terms of prices and in terms of performance increases (see the RTX 2XXX series). The demand for mid and higher end parts dries up as no AAA console ports are pushing the boundaries anymore, they are designed around hardware that PC gamers already had years ago. Going from 90fps to 105 fps makes no difference for most people and is not a reason to upgrade.

If the baseline is 10tf (which will be around where the 3060 will sit) then it means the 3060 will be a card in high demand. That will be recognised and then for the 4XXX series of cards Nvidia will have a huge incentive to create a low end 4050 that is 10tf and very affordable. The pricing and perfomance level has a direct impact on the rest of the 4XXX series lineup. The 4060 needs to be significantly better than 10TF, so on and so on. Everyone wins.

If 4TF is the baseline it will lead to both Nvidia and AMD taking the piss as the generation goes on. They already have cards that hit that performance benchmark at reasonable prices, they will simply keep on recycling those cards and the mid/high end of the market will suffer for pretty much a whole generation.

If you watch the Nvidia event from today, they make several references that make it clear they are putting these cards up against next gen consoles. IMO that is where the motivation for pricing the 3070 has come from at the moment. They want to make it clear you can have better than next gen console performance for under $500.

And look at how things have transpired.

There is great irony in your concerns considering what has been the main cause of all of this. A lot of the actions that Microsoft have taken as a "competitor" in this space have not been good for any of us.
 
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DenchDeckard

Moderated wildly

Half of this generation or more was in constraint...with Japan shipping consoles to China. Scalpers all over the world buying every single unit they can with bots....

....and you say insignificant....

Businesses had to literally hire staff and buy software to try and stop scalpers from using bots on their websites....queues on websites to buy consoles...that didn't work and still went to scalpers...

And you say insignificant...

I think bender needs a service and an oiling.
 
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