Ex-Blizzard Boss Believes Consoles Will ‘Never Die’

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Ex-Blizzard Boss Believes Consoles Will 'Never Die'

Key Takeaways

  • Blizzard ex-president Mike Ybarra believes that the narrative around consoles being in a death spiral is misplaced, and that consoles will “never die.”
  • He reckons that “those losing” in the console space spread this narrative, which appears to be an indirect jab at Xbox.
  • Amid Microsoft’s multiplatform efforts, Ybarra suggests Sony should focus on exclusivity to further solidify the PS5’s position as the de facto current-generation console.

As a longtime gaming enthusiast who has witnessed the evolution of consoles since the days of Atari and NES, I find myself in agreement with Mike Ybarra, the seasoned veteran of the gaming industry who spent two decades at Microsoft before his recent departure. Consoles have been an integral part of my life, providing countless hours of entertainment and camaraderie with friends.

Mike Ybarra, who used to head Blizzard Entertainment, has recently emphasized his support for the console market. He argued that those struggling in this area often promote a misleading idea that consoles are becoming obsolete. Since leaving Blizzard earlier this year following Microsoft’s acquisition of the publisher in 2023, Ybarra’s remarks seem to imply some criticism towards the platform holder.

Historically, console makers like Sony and Microsoft have made lower profits on their hardware by selling it at competitive prices, then making up for the loss through software sales later on. This pattern held true when they released the PS5 and Xbox Series X/S in 2020. However, Sony revealed that the disc version of the PS5 reached profitability in June 2021, indicating that those models no longer suffered losses. On the other hand, Microsoft has been struggling with slow sales for their Xbox Series X/S consoles, despite having numerous game studios and publishers under their ownership.

Microsoft no longer reveals Xbox sales figures, indicating poor commercial performance and a widespread belief among game industry professionals that the console market is declining due to factors such as PlayStation’s growing influence on PC. However, former Blizzard president Mike Ybarra challenges this viewpoint, stating in a recent Twitter discussion that consoles will never become obsolete. In a subtle jab at Xbox, Ybarra suggested that companies struggling in the console market contribute to the perception of it as a fading market.

Former Xbox Exec Mike Ybarra Reckons Sony Should “Double Down” on Exclusivity

Ybarra, who left Microsoft after serving as Xbox’s corporate vice president for 20 years in 2019, has an impressive understanding of the console market. In a previous tweet, he emphasized that the key to increasing market share as a console manufacturer is by creating enticing “exclusive blockbusters.” He believes Sony excels at producing successful games and selecting third-party exclusives that prove popular. Additionally, Ybarra suggested that with Microsoft’s growing multiplatform strategy, Sony should focus even more on exclusivity to solidify the PS5 as the dominant current-generation console.

This console generation has faced challenges such as supply chain issues, price increases, and multi-generational games, making it more turbulent than the previous one. However, despite slow sales for Xbox Series X/S, there’s little indication that the overall console market is about to fade away. The PS5 and Nintendo Switch are still selling well, and even Microsoft has admitted they’re developing a new-generation Xbox console. For now, it seems the console market is secure.

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2024-08-31 23:23