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GamingBolt: Sony and PS5's performance in Japan is becoming a grave concern

Lupingosei

Banned
This fiscal year PlayStation made worldwide almost twice the amount of money than Nintendo. This proves that the ranking of the best selling boxed games in Japan doesn't mean anything.
Wait what?

Nintendo



Nintendo experienced its most profitable year in FY2020 as it recorded an increase of up to ¥640 billion JPY (approximately $5.9 billion USD) in operating profit.

Sony Playstation


Games and Network Services reported profits of 342.2B yen ($3.14B), up 44% from the previous year. Earnings were boosted by increased game software sales and network services sales, mainly from PlayStationPlus which had 47.6M subscribers at the end of March. However, Sony reported a loss resulting from strategic pricing of PlayStation 5 hardware (which was set at below the manufacturing costs) as well as general administrative costs related to the launch.

That is not even close to the truth.
 
Don’t worry, the Sony folk here are more concerned about the UK boxed charts that represent like 48 copies per week.

I'm sure the situation is much better for xbox in Spain, Germany, Italy and the rest of Europe, right? Or does that not matter either?


Seth Meyers Ok GIF by Late Night with Seth Meyers
 
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Marty-McFly

Banned
Wait what?

Nintendo




Sony Playstation




That is not even close to the truth.
You've just unleashed the Revenue police. :messenger_tears_of_joy:
 

Robb

Gold Member
Not sure about that. Doesn't seem like Sony is all that concerned to me anyway.

This decline has been going on for a long time and Sony has, naturally, shifted their attention to other markets as a result and are doing fantastic.

I'm sure they'd like to sell more in Japan, of course. But I very much doubt they had any projections/expectations of selling 20M consoles over there.
 

ZywyPL

Banned
It’s not irrelevant, but Sony don’t need to succeed there to do well.

For home consoles, it totally is, the numbers have been crystal clear for years, the Japanese don't want home consoles and flooding the market with 50M units wouldn't change that.
 
Not sure about that. Doesn't seem like Sony is all that concerned to me anyway.

This decline has been going on for a long time and Sony has, naturally, shifted their attention to other markets as a result and are doing fantastic.

I'm sure they'd like to sell more in Japan, of course. But I very much doubt they had any projections/expectations of selling 20M consoles over there.
It's not just about sales. Sony has deep ties to Japanese game devs (see Playstation exclusives from Square Enix, FROM Software, Bandai Namco...). If Sony is weak in the Japanese market, those game devs will be less available for exclusive deals because they don't want to lose the Japanese market.
 

Lupingosei

Banned
It's not just about sales. Sony has deep ties to Japanese game devs (see Playstation exclusives from Square Enix, FROM Software, Bandai Namco...). If Sony is weak in the Japanese market, those game devs will be less available for exclusive deals because they don't want to lose the Japanese market.
Not only that, there is this huge misconception that only blockbuster games make money. But also a lot of smaller games make money and also make a platform more attractive.

You need a healthy environment of games. Not even Nintendo can survive with only their games, as the Wii U or the Gamecube have proven.
 

lh032

I cry about Xbox and hate PlayStation.
It's not just about sales. Sony has deep ties to Japanese game devs (see Playstation exclusives from Square Enix, FROM Software, Bandai Namco...). If Sony is weak in the Japanese market, those game devs will be less available for exclusive deals because they don't want to lose the Japanese market.
i doubt it, console presents is dwindling in Japan long ago. I believe most sales coming outside of Japan anyway.
 
Not only that, there is this huge misconception that only blockbuster games make money. But also a lot of smaller games make money and also make a platform more attractive.

You need a healthy environment of games. Not even Nintendo can survive with only their games, as the Wii U or the Gamecube have proven.
True. That's why I hope Sony keeps doing more games like Returnal.
 

Mikey Jr.

Member
Just like Switch can have the 20 million console sales Japan has already provided them, on top of the ungodly amount of software they've sold there.

Oooooohhhhh.

Bro, who cares?

Sony loses out on some indie games once in a while. Big whoop.

Buy a ps5 and you can pretty much play 95% of everything that releases.
 

Lupingosei

Banned
Buy a ps5 and you can pretty much play 95% of everything that releases.
Most Japanese games will not release on the PS5 anymore. If you are into JRPG for example the PS5 will not be your plattform.

Without Japan, the market is just too smal for small or mid tier Japanese developers. They will release it on Steam however.

And even Sony knows that, that is why they buy themselves into games like Genshin Impact.
 
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Mikey Jr.

Member
Most Japanese games will not release on the PS5 anymore. If you are into JRPG for example the PS5 will not be your plattform.

Without Japan, the market is just too smal for small or mid tier Japanese developers. They will release it on Steam however.

So they will release on ps5 only but not PS4 as well?

And what mid tier games are these?
 

Papacheeks

Banned
All it takes is a couple of titles, a Japan specific bundle along with the new revamp coming for PS+ that will include access to crunchyroll/funimation.

I think once it hits $450-399 with a bundled game like Persona, or new monster hunter world it will even out and do close to PS4 numbers maybe by end of its run. Which is fine. Japan is all about on the go.
 

Robb

Gold Member
If Sony is weak in the Japanese market, those game devs will be less available for exclusive deals because they don't want to lose the Japanese market
I guess that could be true, but have we seen any indication of this?

My impression is that they still get lots of 3rd party support and have no problem striking deals with other Japanese developers, despite having been on a downward spiral in Japan for years. That's just my take though, I have never seen any data etc. on this so I really have no idea.
 

Mikey Jr.

Member
They are even mentioned in the article, like the Atelier series or similar games. Without a Japanese market, it is uncertain if those games will be released on the PS5.

I read the article.

Says in it it went multiplatform.

Is that the issue?
 
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Tschumi

Member
I'm friends with someone who works at Sony in Japan, their narrative is that, i paraphrase a quote because my memory is faulty: "right now is money time", they they said "other times it hasn't been so great" but they definitely say Sony is currently feeling pretty good about their finances.
 

yurinka

Member
Wait what?

Nintendo




Sony Playstation




That is not even close to the truth.
This FY2020 PlayStation (not sure if also includes their mobile games) made 25.04B in revenue, a new record for the industry.
Nintendo made $16.1B in the same period, appears in the URL you provided.
 
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assurdum

Banned
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KingT731

Member
Switch is outselling the Lite handily. I think it may be by around 3:1 or 4:1 if not more.
What you'd really be looking for is usage statistics and you'd have to poll nearly every NSW owner. The Switch Lite isn't really a great sell when you can use the regular Switch as a handheld only and you still have the ability to plug it into your TV whenever you want. It's literally an inferior product.
 

bender

What time is it?
I mean it seems MS was never concerned about it 🤷‍♀️

To be fair, Microsoft tried. They had a fairly large push with the likes of Blue Dragon, Lost Odyssey, etc. Sure they've failed miserably, but they have put in some earnest effort.
 

ToTTenTranz

Banned
For visual novels and low-ish budget ATLUS JRPGs which is probably what sells in Japan other than Nintendo exclusives, even the Switch is overengineered.
It seems most of the Japanese people don't care for games with increasing graphical fidelity and immersion, and that's just going against the tide in the western world.

There's really no reason to buy a $500 PS5 or Series X to play games that you could play on a $300 Switch that you can keep playing on the metro when you leave the house. Even the Series S looks like a weak proposition in that regard.

The only way Sony could compete with Nintendo in Japan is if they had a handheld of their own, which they don't ever since they dropped all plans for a Vita successor.


That said, I'm expecting the $400 Steam Deck to be huge in Japan, as they can play their thousands of PC visual novels (made ultra-cheap on RenPy nowadays) on the device, and they can play those from a SD card just fine.
 
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FStubbs

Member
I think the main reason people are so concerned about Japan at this point is that most of the non AAA Playstation games being made at this point are coming to PS4.

If PS5 doesn't garner enough japanese support they will just leave the console for dead.
I doubt it. PS5 is still the fastest selling console of all time despite being supply constrained, right? They can't ignore that market.
 

yurinka

Member
Team Asobi is maybe rebranded Japan Studio, but it is clear, they will make games that appeal to worldwide audience, not Japanese audience.

Gran Turismo isn't japanese targeted game either. Death's Stranding Director's Cut is PS4 game ported to PS5 and Kojima is rumored to be working with Xbox on his next game. FFVII Integrade is PS5 version of FFVII, Forspoken will be also available for PC :) And FF XVI is probably timed exclusive game.

Look at partnerships Jimbo is making. They bought Nixxes to port their games to PC. The partnered with Haven Studios, Firewalk and Deviation Games and all of them would be western oriented games probably with live service aspects (at least Haven game)

Sooo. Yeah. Output for japanese gamers on PS5 will be even weaker then in PS4 generation. And I can't see how they will sell more PS5's then they sold PS4's
The 2nd party games now will be handled by XDEV globally, this include the Japanes part that in the past was handled by Japan Studio and the US part that was handled by Santa Monica. In addition to remove this part, they also downsized its internal game development part and focused around one of the internal teams they had: Team Asobi. So since what remains is mostly Team Asobi they rebranded the studio to Team Asobi, which now after restructuring is growing.

Sony, just like Nintendo, Square, Capcom, Sega, Kadokawa and basically every big Japanese publisher now are focused on making games for a global audience, some of them (in this case Sony or Kadokawa in the recent months) even mentioned they want to stop making games for country specific audiences (in many of their cases, games targeted for Japan only) but instead going global. This means games that appeal Japan but also the west, where most of the console gaming market is. But global also includes Japan.

This happens because game budgets increase every generation and they neeed to find more revenue sources and more audiences. For that reason now many 3rd party exclusives for Sony, Nintendo and Microsoft are timed exclusives ror timed console exclusives. And this is why Nintendo, MS or Sony are also opening to GaaS and mobile. And excluding Nintendo, PC. Jimbo bought Nixxes to handle porting of old PS4 games, so ther gamedev teams can focus on console.

There are over 1500 million games sold for PS4 (and will continue selling games during at least a couple of years), PS5 started with better sales than PS4, they are selling out in minuts and Jimbo said they will have more exclusives on PS5 than in previous consoles. So obviously Japanese devs and publishes will continue releasing their exclusive and multiplatform games for PS5 in the same way they are doing it for PS4.

Kojima is working again with Sony on Death Stranding Director's Cut, which means Sony and him were happy with DS being profitable and very well reviewed. And Kojima said that in addition to games he'd like to work on a real action movie, an anime with mechas and a manga. Sony can help him make all this as they are doing it with other gaming IPs (being Metal Gear one of them btw) and now also has a deal with Kadokawa. There's no reason for him to go with MS.

Regarding GaaS, the most successful games in Japan and worldwide are GaaS. They are F2P GaaS mobile games but there also top PC only games like Dungeon Fighter Online or LoL and multiplatform or console exclusive GaaS games (Fortnite, CoD, FIFA, Smash, etc). This is why Sony, Nintendo, Microsoft and other big publishers are investing on GaaS in addition to games as a product.
 

kingfey

Banned
Hey kingfey kingfey you missed this new Sony concerned article.
Not interested. 1st year is stupid.

I will wait 2 years, once Sony starts releasing exclusive Japanese games.

As of now, Nintendo would continue to win, due to the sheer amount of hardware and users they have on Japan.

Same as xbox1 vs ps4 numbers.

I also like Playstation exclusive more than the current xbox exclusive and would continue to love them, until xbox drop their rpg games.
 

FStubbs

Member
That said, I'm expecting the $400 Steam Deck to be huge in Japan, as they can play their thousands of PC visual novels (made ultra-cheap on RenPy nowadays) on the device, and they can play those from a SD card just fine.
I don't think visual novels are dominating sales charts there fyi. Also Japan still loves physical games. Steamdeck would be DOA in Japan, but I doubt Japan is a high priority for Valve.
 

yurinka

Member
The problem currently in Japan for Sony is not really the hardware, it's more the software.
Sony doesn't have any problem with Japan.

Worldwide they are selling more consoles, selling more games and generating more revenue than any console platform holder ever did in gaming history. They also sell like 3 of every 4 games digitally.

So they don't care if in the top 20 boxed games of a particular country don't appear games of their console because they are dominating worldwide when also included all boxed and digital games. And they don't care if another console that is in the peak of its sales cycle sells more than them when they are in the bottom of that sales cycle and also supply constrained, but still breaking gaming history records worldwide, including best launch ever for a console with their new one.

As a side effect of this worldwide success is that all Japanese 3rd parties published games for their console and even all of them had at least an exclusive for PS4. And obviously they will continue supporting that console.

Is it though? Or does that market just not matter nearly as much to them as NA/EU these days?
Japan isn't as important for console as it was in the past, NA and EU have a way bigger portion of the worldwide console market now. And if you go beyond consoles and include PC and mobie, then add China to the mix since it's the biggest worldwide market in this two platforms and overall. But Japan still is an important market. But we know Sony doesn't sell more consoles because are supply constrained, and that over 70% of the games for Sony's consoles are sold digitally so the top 20 weekly sales of boxed games for a country isn't representative.
 
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