Ex-Sony Computer Entertainment America (SCEA) President and CEO Jack Tretton believes that Sony is well-positioned to compete in the next generation console market. Although early rumors began surfacing about the PlayStation 5 several years ago, it wasn't until 2019 that Sony officially announced details about its next-generation console.
Although Sony isn't yet referring to the next console as the PlayStation 5, it is likely that the name will stick given the company's previous console system names. Sony confirmed that much of the architecture of the new system will take inspiration from the PlayStation 4, suggesting that the company doesn't have plans to release it as an all-digital device. There was also confirmation that the new system would feature backward compatibility, allowing PS5 players to play their PS4 games on the machine. Sony even suggested that the launch of the PS5 would be a soft and slow one, with games getting releases for both PS4 and PS5 for the first year or so during the life cycle of the new machine.
According to WCCF Tech, Tretton believes that the PS5 will do well in the new console market once it releases, although he does admit that it will have some good competition, not just from Xbox, but also from Nintendo and Google Stadia. He said:
"I think they’re very well-positioned. The leader of the prior generation is always in a good position going into the new generation. From what I’ve read about the specs of PlayStation 5, it sounds impressive. Their business model obviously worked well for them the last time around, and it doesn’t look like they’re going to deviate from that. They’ll be well-positioned. But I do think they’ll face exponentially more competition than they did the last time around.
Microsoft should give them a better run for their money, and Stadia is a new wrinkle in the market that didn’t exist in 2013. Nintendo is more relevant this time around. It’s going to be a much more competitive market. There are new players. But they’ve learned some valuable lessons in this generation. It should be great for everyone in the business, whether you’re a developer or a gamer. It’s going to keep everyone on their toes."
Over 17 million PS4 consoles sold in 2018, bringing the all-around total to over 94 million units. However, the console has been around for six years, and sales are beginning to decrease with Sony stock slumping a little in response. The life cycle of the PS4 has almost come to an end, stressing a need for a release of a new system soon: many believe that the PS5 will launch in 2020.
Sony has always done well in making deals with developers for top-notch exclusive titles. If it can keep up that momentum with the PS5, it will likely remain a dominant presence within the video game industry and the flagbearer for the next generation of console devices as well. Although Stadia will probably attract new users to the industry with it combination of name recognition and ease of access, the streaming-only console will not be able to compete with the hardware under the hood of something like the PlayStation 5.
Source: WCCF Tech