What Sony and Microsoft learned from their mistakes in the race of consoles?

Mar 13, 2019 1:10 PM ET

Sony has introduced some groundbreaking products to the market which improved technology to a significant degree. They were the one who introduced the new line of televisions called Trinitron which changed the design of TVs. Then they launched the Walkman which made the music players more compact than ever before and led to the production of MP4 players. Sony also contributed to the gaming industry and made the first disc passed video game console known as PlayStation. Then they introduced PlayStation 2 which became the most sold console of all time. When PlayStation 3 was introduced, Sony had full confidence that they are going to take the market by storm. They soon learned that consumer only buys what is better and lost the competition to the Xbox 360.

The fall of Xbox and rise of PlayStation

Though PlayStation 3 was not a failure, it was lagging far behind Xbox 360 due to its hefty price and lower specs than Xbox 360. Later Sony reduced the price of PlayStation 3, but the damage was already done. When PlayStation reduced its price, it also cut the profit margin to almost zero because it was based on a different architecture. Sony was only trying to survive for the next generation consoles. Sony became profit oriented and wanted to do what they saw fit rather than evolving. They lost the battle of a new generation console. When the next generation of console was released, Microsoft was confident about their product; therefore they too tried what Sony did and failed miserably. Microsoft sold Xbox one at a higher price tag with the monetarization of even the disc-based game. According to this new strategy Xbox one would need constant connection with the internet to verify that disk was being used on one console. Sony, on the other hand, had learned from their mistake and they offered full freedom to its customers. The price of PS4 was less than the Xbox One, and its specs were superior.

Lesson learned from mistakes

In the age of new generation consoles, Sony’s PS4 went ahead of Microsoft’s Xbox One. Sony changed its strategy to evolve with the market. Instead of selling their reputation and bending the will of users, Sony focused on its customers through distinctive exclusives. Microsoft, on the other hand, relied on third-party developers and the reputation of their console which ultimately worked for their demise. Year after the release of new consoles it was clear that Sony was now the winner and Microsoft have lost. Microsoft did the same thing that had led Sony into the loss. Users proved it to both of the platforms that they will change their mind if the producers focus on the market rather then the users. Now that both Microsoft and Sony have learned their lessons both of them are becoming more user-oriented. As proven by Sony’s recently released single Player video games. In the next generation of consoles both Sony and Microsoft will focus on making their Users comfortable rather than selling their reputation. If Sony agrees to the cross-platform multiplayer experience, then we can say that Sony might win the race of next-generation consoles. However, if Sony does not agree to the cross-platform multiplayer experience, then the tide might turn.

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Warren March


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