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[Verge] Spencer says "every time we ship a game on PlayStation... Sony captures 30 percent of the revenue ... to try to reduce Xbox's survival ..."

John Wick

Member
What was bad in the generations speech here:


?
It was Jim Ryan trying to score a clever victory when MS stated for the first two years Xbox titles would be crossgen. He came out with we believe in generations
 

twilo99

Member
Fair points. And yes, I'm only looking at this at surface level. When Xbox has the financial backing of a $2 trillion corporation then I really don't feel the need to go hunting for financial excuses. So I'm not necessarily disagreeing with anything you are saying, but at the same time we are talking about a corporation attempting to buy Activision Blizzard. Sorry, but "cry me a river" comes to mind when I hear Phil Spencer talking about difficulties in competing against Sony.

Xbox is a business that should be able to survive on its own without constant financial injections from the parent company. I guess they are trying to give it a few big ones now and then let it grow on it’s own.

Sony’s initial investment into PlayStation has been returned many times over by now. Do you think if they had to continuously pump money their PS would still be around? It’s just very hard to get there.. Sony did what MS are doing now long time ago.
 

sendit

Member
Xbox is a business that should be able to survive on its own without constant financial injections from the parent company. I guess they are trying to give it a few big ones now and then let it grow on it’s own.

Sony’s initial investment into PlayStation has been returned many times over by now. Do you think if they had to continuously pump money their PS would still be around? It’s just very hard to get there.. Sony did what MS are doing now long time ago.
Nah, Microsoft has been doing this for quite some time. They just haven't been successful/lucky with most of them.

MCST Since 2000 :
  1. Bungie (Halo)​
  2. Digital Anvil (Brute Force)​
  3. Ensemble (Age of Empires)​
  4. Rare​
  5. Lionhead (Fable)​
  6. Twisted Pixel​
  7. Press Play​
  8. Mojang (Minecraft)​
  9. Ninja Theory​
  10. Undead Labs​
  11. Compulsion Games​
  12. Playground Games​
  13. inXile​
  14. Double Fine​
  15. ZeniMax​
  16. Activision Blizzard (Pending)​
The last two being massive publishers.

Sony Since 2000:
  1. Bend
  2. Naughty Dog
  3. Incognito
  4. Guerrilla Games
  5. Zipper
  6. Sigil
  7. Evolution
  8. Media Molecule
  9. Sucker Punch
  10. Insomniac
  11. Housemarque
  12. Nixxes
  13. Firesprite
  14. Bluepoint
  15. Haven
  16. Bungie
 
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Mr Rogers Clown GIF
 

Topher

Gold Member
Xbox is a business that should be able to survive on its own without constant financial injections from the parent company. I guess they are trying to give it a few big ones now and then let it grow on it’s own.

Sony’s initial investment into PlayStation has been returned many times over by now. Do you think if they had to continuously pump money their PS would still be around? It’s just very hard to get there.. Sony did what MS are doing now long time ago.

Why are you acting like Xbox is a newcomer to the gaming industry? It has been around over 20 years and has the backing of a $2 trillion corporation. Regardless, Sony has never made an acquisition the size of ABK. Not even close. False equivalency on so many levels.
 
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Nydius

Member
You forgot the two Bethesda games. They were already contracted though.
Edit: either I misread or you edited. Ignore my post.

No late edits, I just worded it poorly. That’s on me. Sorry.

Edit:

Regardless, Sony has never made an acquisition the size of ABK. Not even close. False equivalency on so many levels.

Yep. Just as I said in the acquisition OT yesterday, Sony is a 120 billion company — that’s 0.12 trillion — compared to Microsoft’s 2 trillion. Sony simply can’t afford to do mega acquisitions. I guarantee the acquisition of Bungie for a mere 3.6b took a lot of debate and discussion around the entire company because that’s a lot of cash to spend when your entire company is only worth 120b.

Microsoft, on the other hand, flushed over twice as much down the toilet when they tossed NOKIA aside and didn’t bat an eye. They got scared about Starfield and immediately dropped $7b without a care. Microsoft can take losses on every console they sell for decades (and largely have). Very, very few companies can do the same. Apple, Google, Amazon… pretty much it.

Microsoft knows they can financially bulldoze Sony and that’s precisely what they’re aiming to do. It’s not about building something or establishing quality studios, it’s about shutting everyone else out through their vast financial resources
 
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Yes it's the standard on almost all storefronts. Some may provide lower rates but taking 30% is the standard.

Yes.

Remember Tim Sweeney vs Apple and other storefronts trying to look like "nice guy?"

So Phil is just saying any old ridiculous thing to make it seem like they are the little guy that needs protection....smh.

Judge needs to see through that type of talk
 
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Lunarorbit

Member
Yeah no shit Spencer. Sony has always taken a 30% rip off the profits when games go on their platforms. I don't understand what he's trying to prove with this statement
 
Yeah no shit Spencer. Sony has always taken a 30% rip off the profits when games go on their platforms. I don't understand what he's trying to prove with this statement

He’s just stating the reality of the situation. He isn’t trying to make them out to be a victim or saying Sony is doing anything wrong. He’s making the case that Sony is the market leader and if they sell a lot of software on their system, they benefit monetarily and then use that money to hurt Xbox. Hence why some games aren’t sold on PlayStation systems.
 

Azelover

Titanic was called the Ship of Dreams, and it was. It really was.
They are probably getting tired of losing money..

Doesnt matter how large the corporation is, stockholders do not like losing money. If this keeps up for too long, we might lose Xbox. I'm not joking or saying this lightly. They have to reverse the bleeding one day, or at least have a clear plan of when to start profiting. It's a requirement.
 

twilo99

Member
Why are you acting like Xbox is a newcomer to the gaming industry? It has been around over 20 years and has the backing of a $2 trillion corporation. Regardless, Sony has never made an acquisition the size of ABK. Not even close. False equivalency on so many levels.

I didn’t say they didn’t make mistakes and waisted billions in the process…

The point is that Sony also purchased a lot of talent and content when they started the PlayStation brand, back then the size of industry was much smaller, so the whole scale of their venture was correspondingly different to what it would be today.

They also played hard at times.. I think there is a reason why we don’t have Sega around today.

No credit taken away from what they did, but thinking that it was all magical and “organic” is naive.
 
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Panajev2001a

GAF's Pleasant Genius
It was Jim Ryan trying to score a clever victory when MS stated for the first two years Xbox titles would be crossgen. He came out with we believe in generations
I posted the quote, asked you what was wrong in what he said. Will ask again, if you read the quote what was wrong in it?
 

Topher

Gold Member
I didn’t say they didn’t make mistakes and waisted billions in the process…

The point is that Sony also purchased a lot of talent and content when they started the PlayStation brand, back then the size of industry was much smaller, so the whole scale of their venture was correspondingly different to what it would be today.

They also played hard at times.. I think there is a reason why we don’t have Sega around today.

No credit taken away from what they did, but thinking that it was all magical and “organic” is naive.

Never said Sony never bought anything so probably better if you avoid guessing what I'm "thinking". Fact is Microsoft entered the industry only a few short years after Sony with a much larger warchest of funds which they used to make purchases of their own. The reason Sega isn't in hardware any longer is Sega. You wanting to lay that at Sony's feet doesn't make it true. If you want to get into revisionist history then I'll just stop responding.
 

diffusionx

Gold Member
Am I nuts or does this quote directly conflict the Microsoft talking point the past five years of putting games on as many platforms as possible etc. etc.?
 

SHA

Member
Like it or not, non of this will mean something and make a difference until all that started selling, numbers will speak for themselves, it's ironic how circling around the word "buying" like some dirty habit from the middle age, Sony and MS has been around for 20 plus years, they are still in their 20s, Nintendo is always laughing from a distance and look at it as child play, they always knew what they were doing.
 
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I didn’t say they didn’t make mistakes and waisted billions in the process…

The point is that Sony also purchased a lot of talent and content when they started the PlayStation brand, back then the size of industry was much smaller, so the whole scale of their venture was correspondingly different to what it would be today.

They also played hard at times.. I think there is a reason why we don’t have Sega around today.

No credit taken away from what they did, but thinking that it was all magical and “organic” is naive.
People keep mentioning Sega without saying exactly what it is they did or Sony did that cause them to fail. To try and draw a false equivilance as to say Microsoft is doing what Sony did to Sega is a little disengenous...

The biggest thing Sony did that era in competition with Sega was build a cheaper console, have cheaper dev kits and give indepent devs the technology and disc space to make the games they want with less restrictions imposed by hardware manaufactures like Nintendo, Sega and Atari. They were able to get a port of Tekken to rival Virtual Fighter in the US, bought the creator of Lemmings and spent loads of money on marketing. They didnt go on a buying spree and start purchasing the biggest 3rd party devs that made the most money for their competitors to take them out of business.


Nintendo might have suffered the same fate if they didnt create Pokemon...


200.gif
 

Arsic

Loves his juicy stink trail scent
ATB acquisition would’ve probably gone through long ago if this idiot wasn’t involved. Probably cries on the stand after coming in like he got beaten by a Jim Ryan impersonator outside the courtroom.

Fire this guy and save Xbox.
 

John Wick

Member
Well the FTC didn’t understand the concept of converting cash into an asset, Spencer had to explain it was like buying a house, you just turn an asset into another type of asset.

This gave me painful flashbacks of arguing why MS didn’t have to « pay back » the ABK purchase.
Why were you arguing for? Who do MS have to payback the $70 billion to like? There was no argument.
 

Ozzie666

Member
Wait, doesn't steam, Apple, Epic and Microsoft all take their 30% on every game and transaction?

I don't get the argument or statement at all. It's like the people making these decisions don't know anything about gaming.

This just reminds me none of the companies are our friends, or really care about games. Developers might, but publishers don't give a shit.
 

Azurro

Banned
Maybe Spencer is making fun of Sony "look at them, they have to offer a great product and spend part of their generated revenue to compete! What a bunch of losers, we don't need to do that, I just ask papa MS and he gives me whatever cash I need to buy out publishers." 🙂
 

John Wick

Member
He’s just stating the reality of the situation. He isn’t trying to make them out to be a victim or saying Sony is doing anything wrong. He’s making the case that Sony is the market leader and if they sell a lot of software on their system, they benefit monetarily and then use that money to hurt Xbox. Hence why some games aren’t sold on PlayStation systems.
Sony isn't the market leader.
 

Chukhopops

Member
Why were you arguing for? Who do MS have to payback the $70 billion to like? There was no argument.
I was arguing against people who claimed MS had to get the money back somehow, either by keeping the games multiplat, raising prices, going full third party, etc.

It happened both for Bethesda and for ABK.

Wait, doesn't steam, Apple, Epic and Microsoft all take their 30% on every game and transaction?

I don't get the argument or statement at all. It's like the people making these decisions don't know anything about gaming.

This just reminds me none of the companies are our friends, or really care about games. Developers might, but publishers don't give a shit.
The short answer is no, Epic takes less, Steam takes less in some conditions and MS also planned to reduce their fee at some point, don’t know if they did in the end.
 
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Mr Moose

Member
It was Jim Ryan trying to score a clever victory when MS stated for the first two years Xbox titles would be crossgen. He came out with we believe in generations
That's what Jim also said, you fell for clickbait titles from other articles and fanboys who try to push false narratives.
"We have always felt that we had a responsibility to serve that [PS4] community for several years after the launch of PS5 and that it represented a huge business opportunity for us," Ryan says. "The numbers are quite straightforward. If you say in broad brush figures that we have a community of 100 million PS4 owners right now, and in the first couple of years... I don't know, somewhere between 15 and 25 million might migrate to PS5, that still leaves a huge number of people with PS4s. And that community is demonstrating an amazing stickiness, and willingness to stay engaged that, I think, the events of the past few months have just reinforced what we knew already.
We believe in generations is about the new features the new generation brings.
"We have always said that we believe in generations. We believe that when you go to all the trouble of creating a next-gen console, that it should include features and benefits that the previous generation does not include. And that, in our view, people should make games that can make the most of those features.

"We do believe in generations, and whether it's the DualSense controller, whether it's the 3D audio, whether it's the multiple ways that the SSD can be used... we are thinking that it is time to give the PlayStation community something new, something different, that can really only be enjoyed on PS5."
 

twilo99

Member
Is Forbes an ok source of information? I don’t agree with their opinion here



It makes it sound like Sony and FTC are some kind of team, which is definitely not the case!!
 
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Certinty

Member
This guy has become more and more unbearable as time has gone on. Would honestly rather someone else be in charge of Xbox now, not like things can get much worse.
 
Honestly, if you are bothered by what he said you're just a Sony fanboy.
I'm not a console gamer, last generation I owned a console was the 360/PS3/Wii generation, and I had all 3. Since then I went PC only. So I have no dog in this fight.
But neither Nintendo or Sony would ever publish their 1st party games on any console platform other than exclusively on their own, for exactly the reason he said. It's just basic reality.
 

Kerotan

Member
And MS does the same for MLB and uh I guess Destiny now.
Yep. All these multiplatform games on both sides aside from MLB were multiplatform before Sony or MS bought them. Even MLB the old contract had run out so they knew it would be multi as soon as they did the new one.

There's literally nothing for either side to cry about here. The only idiots are MS who pay billions for Bethesda only to cancel PS5 version's therefore losing out on that 30%.
 

Mars2003

Neo Member
People keep mentioning Sega without saying exactly what it is they did or Sony did that cause them to fail. To try and draw a false equivilance as to say Microsoft is doing what Sony did to Sega is a little disengenous...

The biggest thing Sony did that era in competition with Sega was build a cheaper console, have cheaper dev kits and give indepent devs the technology and disc space to make the games they want with less restrictions imposed by hardware manaufactures like Nintendo, Sega and Atari. They were able to get a port of Tekken to rival Virtual Fighter in the US, bought the creator of Lemmings and spent loads of money on marketing. They didnt go on a buying spree and start purchasing the biggest 3rd party devs that made the most money for their competitors to take them out of business.


Nintendo might have suffered the same fate if they didnt create Pokemon...


200.gif
I would say the console Exclusive deal that Playstation inked with EIDOS in 1997 for Tombraider 2 was a key moment. I was there and switched from Sega to Playstation for this game.
 

Shubh_C63

Member
Phil : "Everytime after signing the contract to give 30% of money away, whenever I pay they take 30% of money away."

Wow
 

Solidus_T

Member
In other words, the case he's making is: Industry standards are unfair to us! We should own everything and make the rules!
 

Stooky

Member
I would say the console Exclusive deal that Playstation inked with EIDOS in 1997 for Tombraider 2 was a key moment. I was there and switched from Sega to Playstation for this game.
Sega killed itself. 3 new consoles hardware in under 4 years. Sega cd , 32x, saga Saturn (32x only lasted a year) All of them expensive None of them sold well. Dreamcast died because it got pirated to death before the system could build a good user base.
 
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