Microsoft's Rush To Xbox 2 A Danger?

Game Boy writes "Brit games business site Gamesindustry.biz has posted a fascinating editorial asking whether Microsoft is about to shoot itself in the foot over Xbox 2 by rushing to launch the console years ahead of its rivals' next-generation platforms. It's a pretty good analysis of how Microsoft is thinking about this marketplace, and why they could be pretty drastically wrong - I work at a major games publisher, and a lot of people here are worried about exactly the same things, but it's rare to see anyone actually discussing them openly. Xbox has done pretty well so far, but Microsoft could be heading for a disaster that even Bill's billions won't dig them out of..."

Comments

No, no, no

[Mz6]

"Xbox has done pretty well so far, but Microsoft could be heading for a disaster that even Bill's billions won't dig them out of..."

You do realize that you are talking about a company that has almost $60 Billion (with a B) just in reserves alone. They are sitting on this money! Add into what they make in revenue and the profit off that.

I know this is an editorial and all and very light on research findings but this paragraph right here struck me as odd:

"The belief within Microsoft's top Xbox executives, according to company insiders, is that the main reason that Xbox has failed to seriously challenge the PlayStation 2 is because Sony had first mover advantage - a gap of a year in which to build up its installed base and convince consumers and industry alike that it was the key platform of the next generation. Hence the urgency around launching Xbox 2 well ahead of its competitors; if, as seems increasingly likely, PlayStation 3 doesn't arrive until late 2006 or even early 2007, Microsoft believes that it will have won a huge competitive advantage by being to market as much as two years earlier. This, the conventional wisdom says, is how Microsoft will crush Sony."

Just because you release a platform before a competitor doesn't automatically make it better. The movie industry is notorious for this. Think back in 1999, The release of Armageddon was very hyped at this time, Hell, McDonalds had a friggin contest for it. However, before that release came this little movie called Deep Impact. It was an OK movie, but lacked some parts. It was rushed, designed to make it out before Armageddon and take a cut into it's sales. The movies had the same premise and theme, but Armageddon destroyed Deep Impact in both the box office and dvd/vhs sales. In this case, Microsfot doesn;t know when Sony will release the PS3. The PS3 is so highly anticipated right now, that developers are already writing games for it, studios have already put aside funds. The same cannot be said for a next generation Xbox.

I am not totally sure on this, but has the Xbox managed to outsell the PS2 in any month except for when the Xbox was first released? When will companies learn that to make a market share, you have to be different. Playstation become popular back in the day because they were disc-based. They were able to hold more space, add better graphics, play music, play full-motion video. But most of all they had the game developers behind them.

I would be very interested to see what Microsfot has to offer that will be different from the rest. It definitly wasn't a 40 GB hard drive. I think this will be great for Sony to see what they can enhance upon for their game system, considering the PS3 has been in development for what? 3-4 years now.. perhaps longer? I think they might have a slight advantage and a better product.

Just my $0.02.

Re:No, no, no

[Chiasmus_]

The belief within Microsoft's top Xbox executives, according to company insiders, is that the main reason that Xbox has failed to seriously challenge the PlayStation 2 is because Sony had first mover advantage

Isn't this obvious to everyone??! What the hell is wrong with these Xbox executives?

The reason that the Xbox hasn't challenged the PlayStation 2 is that when you walk into a GameStop, there's an entire wall of PS2 games - plenty of good titles, at that - and three little rows of stuff that's either terrible (Outlaw Golf, anyone?) or available on PS2.

The reason XBox hasn't challenged PlayStation 2 is the same reason the Sega Master System couldn't challenge the NES: Despite the fact that the former are superior pieces of hardware, the latter has the best, and most, contracts with game designers.

I think the XBox is a fantastic machine. I've played GTA3 on both XBox and PS2, and it's simply more enjoyable for XBox.

But, as an XBox owner, every time I think "You know, I'd like to play a strategy game.. or maybe an RPG..." all I can do is lament the fact that all the good titles are on the other wall.

History says this is bad, mmmk.

[schild]

Sega tried this. Remember the dreamcast erhmmm the 32x and THEN the dreamcast?

Remember the CD-i?
Remember the 3D0?
Remember the Atari Jaguar?

These weren't experimental systems. They were meant to beat the big guys to the punch, whether it was Nintendo or Sega back then.

The Dreamcast (still my favorite recent gen system) got trashed by the ps1 and the n64. It keeps me up at night thinking about how much better games for the Dreamcast would have been.

However, if I remember correctly, the PS2 was launched a year before the GC and the Xbox....Hmmmm, no one was naysaying when Sony was planning on doing that, and look at them now - on top by a large margin.

XBox shooting themselves in the foot? Not if they have Ninja Gaiden, a Halo spinoff and other stuff coming out. Oh and backwards compatibility, they NEED backwards compatibility, no matter HOW HARD it is. I'd put some cash, money, hoes on that being the reason the PS2 succeeded as quickly as it did.

Re:Halo 2?

[Apocalypse111]

Halo 2's release date is supposedly set in stone. The guy who announced it had it tatooed on his arm, and was showing it off at E3. After a publicity stunt like that, I don't think they're about to push it back any further - if I had an important event date tatooed on me, I'd make DAMN SURE that event happened on time.