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Sony FY2016 financial results (60 million PS4 shipped LTD)

Tigress

Member
Even as someone who loves the PS4, I am in constant shock of its market dominance. Sony read the market so much better than they did last gen.

To be fair Sony also got a little lucky that MS really botched their launch (and both happened around the same time so it was easy to take advantage of that). That allowed them to take the lead at the start and having the lead helps keep selling your consoles (a console's launch is a huge part of how well it does. Once you get a strong lead it really does feed into keeping selling your console long as you put some effort into keeping the momentum going). Add in that Playstation is a pretty strong brand (It had to be to save the PS3 from its botched launch, I really think the playstation name is what allowed Sony to come back from that launch and make PS3 successful) and you get a pretty good recipe for success.
 

Inuhanyou

Believes Dragon Quest is a franchise managed by Sony
Even as someone who loves the PS4, I am in constant shock of its market dominance. Sony read the market so much better than they did last gen.



The digital ecosystem is exactly why I think Sony will have BC next gen, especially since now they're doing iterative models. It'll also help them leverage their market position from this gen into success next gen. People won't want to lose their libraries.

I also suspect publishers will be putting some pressure on them for continued sales of catalogue games.

Service games are also a big deal and not being able to play them on the next console at launch would be a huge blow to their library out of the gate.

why do so many here consider BC only as the ability to play old nostalgia games on the current gen console?
this is the current state, but this will change with the next generation

Overwatch, Read Dead Redemption 2, Destiny 2, Minecraft and all the other evergreen titel


BC is even more crucial for publisher than platformholder in todays business environment
and they won't like when the revenue from those titels will go down in 3 years just because you can't play the game anymore on your PS5.
If you don't and can't play the game anymore, you also don't and can't spend money on it anymore.


Nirolak posted the picture of publisher profitability dip when a new gen arrives.
that explains it perfectly. They don't want to have that happen ever again


Exactly and well put.
 

Cess007

Member
Will PS2 ever be beaten?

All hail The Old King.

I don't think so, the PS2 had a lot of things in it's favor. It was very cheap at the end of his life and for a while, it was still a better console that the 360 and way better than the PS3.
Personally, when all is said and one, I think the PS4 will be around 110m LTD.

How far behind is the Xbox 1 ? I can't find any numbers for that system.

Nobody knows for sure. MS stopped giving sales numbers a long time ago.
 
BC is nice to have but it's not a deal breaker for me or the people i know .
Plus if i like a game so much i want a remaster version of it .

How far behind is the Xbox 1 ? I can't find any numbers for that system.

Being optimistic 30 million behind with estimates .
Also MS have not given out numbers in years .
 

Xion_Stellar

People should stop referencing data that makes me feel uncomfortable because games get ported to platforms I don't like
How far behind is the Xbox 1 ? I can't find any numbers for that system.
You won't find them because Microsoft refuses to publish them so at best your going by find estimates.
 

Inuhanyou

Believes Dragon Quest is a franchise managed by Sony
BC is nice to have but it's not a deal breaker for me or the people i know .
Plus if i like a game so much i want a remaster version of it .

Publishers don't always want to put in money and effort to remaster games just because the publisher doesn't support their software.
 

mejin

Member
Really well deserved.

I hope we have BC on the next Playstation. It's a good feature.

But I don't see going to MS ecossystem if they don't have it cause the games I like are not there.
 
Will PS2 ever be beaten?

All hail The Old King.

It's possible, but a lot of factors will be in play. The PS2 had extremely long legs as it continued to sell big numbers even after the next generation of consoles were released. This is in part due to a combination of it having considerable pricedrops (it eventually got down to $99) and publishers sticking with it even when those consoles were releasing because it had a massive userbase.

Just to put the PS2's legs into perspective, in December 2006 the PS2 sold 1.4m units on the NPD charts. The following December it sold another 1.1m units. It didn't start to really slow down until 2008, when it only managed to sell 400k units in December. And somehow it only dropped 70k units the following December.
 

Thorrgal

Member
BC is even more crucial for publisher than platformholder in todays business environment
and they won't like when the revenue from those titels will go down in 3 years just because you can't play the game anymore on your PS5.
If you don't and can't play the game anymore, you also don't and can't spend money on it anymore.

Listen to this man, people!
 
BC is even more crucial for publisher than platformholder in todays business environment
and they won't like when the revenue from those titels will go down in 3 years just because you can't play the game anymore on your PS5.

Aside from Overwatch you're completely wrong. Rockstar would pretty much love if you bought Red Dead Redemption 2 for the PS5 again instead of BC, same with Destiny.

R* already did that this gen. Twice (counting the pc port)
 

Ivan

Member
We shouldn't talk about it as BC from now on, people don't want BC with last generation, but everlasting LIBRARY of games that means something like on pc.

I can't imagine PS5 without that anymore.

OK, it starts from now,it doesn't matter we can't play some very old games, but PS5 that plays all playstation games ever made would be perfect. I hope it's possible.

I would buy everything again.
 

Chris1

Member
why do so many here consider BC only as the ability to play old nostalgia games on the current gen console?
this is the current state, but this will change with the next generation

Overwatch, Read Dead Redemption 2, Destiny 2, Minecraft and all the other evergreen titel


BC is even more crucial for publisher than platformholder in todays business environment
and they won't like when the revenue from those titels will go down in 3 years just because you can't play the game anymore on your PS5.
If you don't and can't play the game anymore, you also don't and can't spend money on it anymore.


Nirolak posted the picture of publisher profitability dip when a new gen arrives.
that explains it perfectly. They don't want to have that happen ever again
Pretty much

But I don't even know why this is being brought up. There is 0% chance PS5 isn't BC, especially since the next Xbox is guaranteed to be BC with 360 and XB1.
 

guyssorry

Member
Excellent. The PS4 is such an improvement over the PS3 (which, as a huge PS2 fanboy, I hated), so I am glad that it is doing so well. I look forward to this year's E3.
 
Aside from Overwatch you're completely wrong. Rockstar would pretty much love if you bought Red Dead Redemption 2 for the PS5 again instead of BC, same with Destiny.

R* already did that this gen. Twice (counting the pc port)

You need to invest for a remaster or platform port. You need to launch the game and distribute it. Opportunity costs for doing that have to be factored in.
And how many of those PC and Ps4 / Xb1 player are actual double dipper and not just general new buyer?

Many people double and triple dip is imho a wrong assumption.
New GTAV sales are pretty much in line with new hardware sales. that trend is shown in every NPD and GFK topic.
So who is buying the new hardware and GTA now? The people who already bought the game on Ps3 and Xb360, i doubt it?

Your double dipper game sales revenue minus remaster / porting and launch costs need to exceed the potential lost revenue from people who will stop playing the game and spend money on MTX because they can't play the game on the new shiny platform, they just bought and want to use, anymore.
In general you don't accomplish that. Even for a game like GTA V this is hard to accomplish and GTA V is the best case scenario for the publisher.

You also have to take into account, that 2013 and 2020 is again sooooooooooooooooo much different. What worked in 2013 is no given success in 2020 again, because the industry is shifting fast has hell.
So why would you take any unnecessary risk instead of enjoying the free money?

Feel free to show me one publisher going on record saying, they would rather remake a game for a new platform and have you buy it again instead of you being able to just continue to play it on your new platform and continue to spend money while they don't have to do anything at all.
Why do you think publisher even support and like BC on XBox One?
Zero investment from there side, but an additional revenue stream




but this whole conversation is kind of useless, because Ps5 will be able to play Ps4 games.
edit:
Pretty much

But I don't even know why this is being brought up. There is 0% chance PS5 isn't BC, especially since the next Xbox is guaranteed to be BC with 360 and XB1.

yup
 

EGM1966

Member
Steamspy estimates are very good.
even with a 10 or 15% margin of error (i highly doubt it's that big), you still have a pretty good understanding of the game sales on steam
people just need to be aware that those numbers are estimates and not reported numbers from the company itself. but that was said.
we know steam is not making only $2bn a year. and we know steam is also not making $5bn or more. that is at least something


very likely
only way Sony won't hit 100m is to start a next gen early, that is well received and priced like the Ps4 and will kill last gen sales quickly like it happend with Ps3
but why would they do that and hurt their profitability?
Steamspy is from what I'm aware normally pretty accurate in terms of units - most developers seem to note around 10% or so out.

However nothing I've seen indicates that taking that unit number and then estimating the price paid and thus estimating the value is as accurate. In fact I suspect its not give the differing deals, etc. and price points games can sell at on Steam.

The other issue is - right here in this thread and on the internet in general - people do treat the numbers as exact and compare then to exact numbers from other sources.

That's the issue. Clearly it gives a good view of units sold however there's no evidence it gives a good view of revenues realized from those units and the margin or error is likely higher there.

I guess its inevitable people will use it as better than nothing but the side of me that studied statistics doesn't like seeing people take a clear prvided number (say Sony's declared revenues) and then making comparison with an estimate of numbers that are essentially undisclosed.
 

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
I'd say nothing is quite a given. I hope for BC, but if it turned out to compromise the next design in some significant way - specifically in terms of PS5 game performance at a given price point - Sony might sacrifice it. I think that's less likely to be necessary than it was in the PS3->PS4 transition, but I wouldn't rule it out entirely yet,

It NEEDS to be a given! If the PS5 does not have BC with the PS4 that would be a horrible mistake.
 

Elandyll

Banned
I don't think Sony will be assed to add BC to the PS5 when they can't even add PS1 (which even the PSP has) and PS2 BC to the PS4.
That's not how it would work (in theory).
By having an architecture so PC like, the idea is that games would run natively without the need for emulation, the system merely detecting a PS4 game and possibly "throtling down" to avoid speed problems when needed.
 

Jigorath

Banned
FY2013 = 7.5 million
FY2014 = 22.3 million
FY2015 = 40 million
FY2016 = 60 million
FY2017 = 78 million
FY2018 = 93.3 million
FY2019 = 106.6 million

Assuming a 15% decline per year following 2017 (which is likely a conservative estimate considering the system still hasn't hit $199) then the PS4 should be over 100m by the end of 2019. And that's probably when the PS5 will be launching.
 

Elandyll

Banned
How far behind is the Xbox 1 ? I can't find any numbers for that system.
Given an estimated 16.5m for XB1 and 18m for PS4 in US, one way to do a WW estimate is to apply a US (NPD) vs rest of the world market composition.

It is estimated (emphasis estimated) that US represents between 55% and 60% of the market for XB1, and around 30% for PS4.

18m is exactly 30% of 60m (but it's an estimate anyway, we have sold through vs shipped here), so it's probably close for PS4 at least.

For XB1, if the US is 55% (best case scenario) we have 30m sold through, but if 60% of the WW sold XB1s are sold in the US it means they have a ww sold through of 27.5m units.
 

joecanada

Member
Given an estimated 16.5m for XB1 and 18m for PS4 in US, one way to do a WW estimate is to apply a US (NPD) vs rest of the world market composition.

It is estimated (emphasis estimated) that US represents between 55% and 60% of the market for XB1, and around 30% for PS4.

18m is exactly 30% of 60m (but it's an estimate anyway, we have sold through vs shipped here), so it's probably close for PS4 at least.

For XB1, if the US is 55% (best case scenario) we have 30m sold through, but if 60% of the WW sold XB1s are sold in the US it means they have a ww sold through of 27.5m units.

Took even longer than I thought but ps4 is likely 2:1 over xboxone now
 

Unknown?

Member
Given an estimated 16.5m for XB1 and 18m for PS4 in US, one way to do a WW estimate is to apply a US (NPD) vs rest of the world market composition.

It is estimated (emphasis estimated) that US represents between 55% and 60% of the market for XB1, and around 30% for PS4.

18m is exactly 30% of 60m (but it's an estimate anyway, we have sold through vs shipped here), so it's probably close for PS4 at least.

For XB1, if the US is 55% (best case scenario) we have 30m sold through, but if 60% of the WW sold XB1s are sold in the US it means they have a ww sold through of 27.5m units.
Those US numbers can't be right. We know PS4 has surpassed X1 by 2 million as of March. What blows my mind is they sold nearly as many PS4s last year as XB1 LTD.
 
Launch aligned, is it still on pace with PS2 and Wii or has it fallen behind?
I don't have the latest figure in, but it's between the two.
PS4_WW
 

ethomaz

Banned
Given an estimated 16.5m for XB1 and 18m for PS4 in US, one way to do a WW estimate is to apply a US (NPD) vs rest of the world market composition.

It is estimated (emphasis estimated) that US represents between 55% and 60% of the market for XB1, and around 30% for PS4.

18m is exactly 30% of 60m (but it's an estimate anyway, we have sold through vs shipped here), so it's probably close for PS4 at least.

For XB1, if the US is 55% (best case scenario) we have 30m sold through, but if 60% of the WW sold XB1s are sold in the US it means they have a ww sold through of 27.5m units.
PS4 is around 18.5m in US... the gap is actually really close to 2m.
 

Elandyll

Banned
Those US numbers can't be right. We know PS4 has surpassed X1 by 2 million as of March. What blows my mind is they sold nearly as many PS4s last year as XB1 LTD.
Being at work I don't have the numbers at hand :)
At 18.5m PS4, ratios are pretty much the same. PS4 is probaby more like 32% US or something like that imo. 32% implies 57.8m sold through WW at end of March (2.2m in channels WW, which might be a tad high. But again, estimates)..
 

Welfare

Member
Those US numbers can't be right. We know PS4 has surpassed X1 by 2 million as of March. What blows my mind is they sold nearly as many PS4s last year as XB1 LTD.

Xbox One was at 16M at the end of January (like literally just over it) and PS4 17.7M. February can be estimated to <230K XB1 and ~400K PS4, so February totals are 16.2M and 18.1M. Given what was found in the March prediction thread, PS4 is probably ~18.5M while Xbox One is ~16.5M, so yeah a 2M difference.
 
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