The PlayStation 5 is Likely a Killer Powerhouse. But Xbox Is Not Worried? Why?

PlayStation has all the cards in the console space right now. They are the largest volume of home console gamers on the planet. Their only true competition is Xbox and they are far apart on console sales numbers. PlayStation has come away with winning the console wars by far over the years and PlayStation fans are happy with the console and the exclusives that come along with it.

Microsoft failed in their release of the original Xbox One to compete with PlayStation. The numbers are not even close. Microsoft is not able to fully compete with PlayStation in the console space. Even now, PlayStation is simply too powerful a company and Microsoft says in a recent announcement,

Not really. We’re more customer-obsessed than competitor-obsessed,” said Greenberg when asked if there’s been anything he’s seen from the PS5 that has him worried. “I think Sony has built a great business, they have a very strong brand and a strong presence and we have a lot of admiration for what they’ve done.

Equally, we feel proud of the fact that we’ve built the world’s most powerful console, I think we’ve grown now our internal studios so we have one of the largest if not the largest internal studio teams, and we’re gonna continue to innovate with things like Project xCloud. We’ll innovate with different varieties of games—you’re seeing us grow our partnerships with Japanese developers and Japanese creators with things like the Yakuza series, things like more Final Fantasy games on Xbox Game Pass, the entire Kingdom Hearts series on Xbox. These are all from us listening to fans and dedicating time to fulfill those projects.

GM of Xbox Games Marketing, Aaron Greenberg

I take this as a very interesting statement considering how the PlayStation 5 is definitely going to dominate the market for the next few months while Xbox lags behind covering their Scarlett.

First off, Microsoft owns the best gaming network on the planet. When you combine PC, Xbox and their many 3rd party affiliates who create games it is a sizable lineup of publishers and developers who they can count on. Sure, they are not making exclusive games for their console but there is a bunch of games that come out exclusively for PC and that is also a Microsoft platform.

Second, they also have a sizable list of new business alliances forged with many popular gaming companies that will release games exclusively for the Xbox next year when the Scarlett launches. So, if the Xbox Scarlett is underpowered they have PC, Xbox and that already is a sizable list to compete with Sony and it’s titular PS5.

Third, they have Xbox GamePass which offers customers a massive value of over 200 games included for less than $20 per month. This subscription allows users to install games directly on the hard drive instead of playing over the internet.

Fourth, they are adding xCloud which makes Microsoft a beast in the Cloud gaming space. Because of Xbox and their superior gaming network over competitors they are primed to win in the Cloud gaming space. Google Stadia is their only currently viable competitor to Cloud gaming and they are expected to fail to Microsoft and its killer networking hardware. Sony isn’t anywhere close and is relying on their superior console firepower to dominate the gaming space.

Put it all together, you have the capability for Microsoft to do much better than expected against Sony. The PS5 requires you to buy the hardware to play the games exclusive to the platform. Xbox only requires you have an internet connection and you can play it on PC, phone, laptop, Xbox and many other devices. In my opinion Xbox has the advantage of consumer reach in a market dominated by people who are always on the go and working all day long. Sony will have to compete against Microsoft and their only space is the home market. I find that to be a huge problem with the PS5 considering people are too busy to spend all their time in the house working.

Looking at the history of successful consoles they seem to be highly social, powerful gaming systems. But today, the Nintendo Switch seems to be increasingly successful despite it has nowhere near the power to compete with the original Xbox One and PS4. This is due to people not being able to spend much time at home relaxing and needing to be able to bring their game with them.

I feel everyone will love the “idea” of the PS5 and have no time to actually play it leaving the sales in the dust behind Microsoft and their Scarlett which is in the perfect spot of being a console that teams with their advanced gaming network to deliver a powerful experience that crosses many devices. This makes the Xbox likely to steal market share from Nintendo because the whole idea of Nintendo is portable gaming. Xbox is actually better at this if their xCloud idea takes off since they are available on every device. Even Nintendo doesn’t have the reach that Microsoft has.

Sony might have a powerful console and that is great but Microsoft is more socially connected, has every device at their fingertips, and has an 8K gaming console to round the entire thing into a neatly bundled Holiday 2020 gift bundle. I predict them selling the Xbox brand in 2020, not the Scarlett, as an entire “Place to Play”.

Like this:

Get the Xbox this Holiday Season and play your games from anywhere. Whether on PC, phone, Xbox or tablet you can bring your game with you anywhere.

Xbox CEO Phil Spencer

They will undoubtedly have a Nintendo-like trailer showcasing the ability to take Gears 5 and Halo: Infinite from your home Xbox Scarlett to your smartphone while going to work. Then, you can pull it up on lunch break and play with your coworkers on your laptop and on your way home play online with PC gamers using cellular 5G data. Then, you pick up the same game on your Scarlett and play in 8K on your massive TV.

I see this as how Xbox is not worried about the PS5 this upcoming 2020. All you need to look at is the possibilities of the xCloud service and what Microsoft is doing becomes apparent. It’s actually possible for them to beat Nintendo in the long term.

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