Times are tough for PlayStation 4 and Xbox One



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Halo Infinity

Credit: Microsoft

Next week, the cycle begins again. This is a peculiar oddity of the video game industry, wedged between the worlds of technology and entertainment and its quite clean. Every five years or so, the console space undergoes a reboot, offering a generational jump in hardware performance and asking its players to sign up for a new hardware purchase, knowing that it 's time – consuming. it will evolve over time before immersing itself. by the next generation. It's a cycle that has changed a lot over time and that could disappear completely in about six years, but it's still in effect at the moment. That means we're about to formally launch the fashionable train for Microsoft's and Sony's next-generation consoles, which means we're going to start the long process of phasing out Xbox One and the PlayStation 4.

This is still happening: we can expect sales of Xbox One and PlayStation 4 to decrease for the remainder of 2019 and the first three quarters of 2020, as people wait for the release of the new hardware. There is really no way to get away from it: a PlayStation 4 or Xbox One might still have been a nice Christmas present in 2018, but it's a bit stranger in 2019. & nbsp; That's why we are going to go through a strange E3, where people are not quite ready for the hype of the next generation but still save some big hitters. The console cycle benefits manufacturers by giving them the ability to occasionally sell a machine for about $ 400, but the price we pay in general is two odd years on either side of the launch: one for old consoles that start to gradually disappear, one for the new consoles to put in place.

So, if you check the financial statements of Sony and Microsoft before the fall of 2020, get ready for a decline in console sales. I could even imagine that this affects Nintendo to some extent, even though Nintendo is doing its own thing. The new consoles pose question marks for the industry and people are inclined to wait for answers before making big purchases.

What's fun is that this console transition is very different from the one that preceded it, especially with regard to the previous generation of consoles. Sony has already confirmed the backward compatibility of the PS5 and I would be shocked if Microsoft did not confirm it also at its press conference this weekend. In addition, Sony announces that all its big titles owners will arrive on PlayStation 4 over the next two years, and again, I would expect that Microsoft do the same. Both companies seem to want a much smoother transition than in the past, to maintain the installation and player bases for as long as possible, until the next generation is ready to take over.

The question of how things will unfold once these consoles are released remains open, but this is new to the industry. And as this is new to the industry, I'm still waiting for consumers to behave in much the same way as in the past, which means slowing down new hardware purchases until the next launches. Oddly enough, I even imagined that PlayStation 4 sales would rise after the release of it and that people would realize that they could still use the old machine, which is likely to see its price drop.

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Halo Infinity

Credit: Microsoft

Next week, the cycle begins again. This is a peculiar oddity of the video game industry, wedged between the worlds of technology and entertainment and its quite clean. Every five years or so, the console space undergoes a reboot, offering a generational jump in hardware performance and asking its players to sign up for a new hardware purchase, knowing that it 's time – consuming. it will evolve over time before immersing itself. by the next generation. It's a cycle that has changed a lot over time and that could disappear completely in about six years, but it's still in effect at the moment. That means we're about to formally launch the fashionable train for Microsoft's and Sony's next-generation consoles, which means we're going to start the long process of phasing out Xbox One and the PlayStation 4.

This is still happening: we can expect sales of Xbox One and PlayStation 4 to decrease for the remainder of 2019 and the first three quarters of 2020, as people wait for the release of the new hardware. There is really no way to get away from it: a PlayStation 4 or Xbox One might still have been a nice Christmas present in 2018, but it's a bit stranger in 2019. That's why we let's go through a strange E3, where people do not you are not quite ready for the hype of the next generation, but you will still save some big hitters. The console cycle benefits manufacturers by giving them the ability to occasionally sell a machine for about $ 400, but the price we pay in general is two odd years on either side of the launch: one for old consoles that start to gradually disappear, one for the new consoles to put in place.

So, if you check the financial statements of Sony and Microsoft before the fall of 2020, get ready for a decline in console sales. I could even imagine that this affects Nintendo to some extent, even though Nintendo is doing its own thing. The new consoles pose question marks for the industry and people are inclined to wait for answers before making big purchases.

What's fun is that this console transition is very different from the one that preceded it, especially with regard to the previous generation of consoles. Sony has already confirmed the backward compatibility of the PS5 and I would be shocked if Microsoft did not confirm it also at its press conference this weekend. In addition, Sony announces that all its big titles owners will arrive on PlayStation 4 over the next two years, and again, I would expect that Microsoft do the same. Both companies seem to want a much smoother transition than in the past, to maintain the installation and player bases for as long as possible, until the next generation is ready to take over.

The question of how things will unfold once these consoles are released remains open, but this is new to the industry. And as this is new to the industry, I'm still waiting for consumers to behave in much the same way as in the past, which means slowing down new hardware purchases until the next launches. Oddly enough, I even imagined that PlayStation 4 sales would rise after the release of it and that people would realize that they could still use the old machine, which is likely to see its price drop.

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