The Official PlayStation Thread Vol. 5 | SOP Today 3PM PST / NEW Firmware Update is LIVE / PS5 Pro launches 11/7 for $699

Did you copy a PlayStation 5?


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I mean competition is always best for the consumer. Let’s not act like we don’t remember arrogant Sony from 2006 or Arrogant Microsoft in 2013. Not sure anyone wins if this Microsoft thing happens.
 
Especially on the hardware front.

Best you will see is incremental changes to try and tap into the "Pro" audience. Not like Nintendo cares to really push their tech.
 
The rumours of OEM Xbox hardware seem to be picking up steam. This was one of the original leaks about all this:
Not sure what to think about an Asus ROG Xbox or a MSI Xbox.


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Monday will be interesting because they could do a 180 on all of this stuff.

My biggest worry isn't competition tbh. I think the bigger problem is the cost of AAA console gaming in general.
Nintendo is the only one from the big 3 that has a sustainable model although Sony could get there with less competition from Xbox but I doubt that would stop the ballooning costs.

Spider-Man 2 from the Insomniac leaks cost 300 Million to make and needed 7 Million sales to break even. That doesn't sound sustainable to me. These days, one flop and your studio could be done.

Hopefully we get some AI tech that can reduce costs or we will be seeing $100 games soon.
 
Inflation battering every industry in the world for 4+ years now, but people are still dumbfounded that they may need to pay more for their hobbies. (Not aimed at anyone in here, just saying).
 
Only? For free????

I mean, why give us ng+ months after the release. game has no replay value imho.

at least give us a dlc (which i would pay for) to reel us back in. new suits aint it, especially with how sub-par most of the in game suits were.
 
Inflation battering every industry in the world for 4+ years now, but people are still dumbfounded that they may need to pay more for their hobbies. (Not aimed at anyone in here, just saying).
My issue is, do we trust these companies to lower the prices again once their supply chain, manufacturing costs, logistics normalizes?
 
My issue is, do we trust these companies to lower the prices again once their supply chain, manufacturing costs, logistics normalizes?

Hell no that will never happen, this is the new normal and you need to adjust. It’s like people crying about the new price of eggs is now $4.00 for example. You need to adjust your spending to that because they may drop 5% but not down to the pre 2020 prices.

The only way it goes down is if we go into a disinflationary economic environment which would cause the stagflation that Japan has been suffering from the past 30 years. Something you don’t want.
 
My issue is, do we trust these companies to lower the prices again once their supply chain, manufacturing costs, logistics normalizes?

I'd argue none of three factors you noted are driving costs up in the video game industry (or at least are not the main culprits). The increased move to digital is most likely reducing these costs overall. Id have to think the increases are in human capital, benefits, keeping talent, ect, as well as the technology used to create the software. I doubt you see wages/benefits come down.

Speaking about logistics and supply chain in general, you will never see it normalize. Steamship lines are notorious for new fees, artificial container scarcity, and keeping out any sort of governing body that may make them actually substantiate these costs.

Here is my favorite fee that was just increased this January:

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Add that to carbon tax being introduced in both ocean and land freight, I doubt you see any normalization.

Economics isnt my specialty, but I doubt we see a reversion.
 
I'd argue none of three factors you noted are driving costs up in the video game industry (or at least are not the main culprits). The increased move to digital is most likely reducing these costs overall. Id have to think the increases are in human capital, benefits, keeping talent, ect, as well as the technology used to create the software. I doubt you see wages/benefits come down.

Speaking about logistics and supply chain in general, you will never see it normalize. Steamship lines are notorious for new fees, artificial container scarcity, and keeping out any sort of governing body that may make them actually substantiate these costs.

Here is my favorite fee that was just increased this January:

1707339490398.png


Add that to carbon tax being introduced in both ocean and land freight, I doubt you see any normalization.

Economics isnt my specialty, but I doubt we see a reversion.
You’re right, I was just speaking in general.

But I agree with a lot of your points. I think it’s up to governments to hold these corporations accountable any potential artificial rise in costs. The more people vocalize their displeasure, the more governing bodies will be active in addressing these issues. I believe that the best case scenario is a slowdown of price hikes and potentially stagnant markets forcing companies to keep prices steady.
 
Hell no that will never happen, this is the new normal and you need to adjust. It’s like people crying about the new price of eggs is now $4.00 for example. You need to adjust your spending to that because they may drop 5% but not down to the pre 2020 prices.

The only way it goes down is if we go into a disinflationary economic environment which would cause the stagflation that Japan has been suffering from the past 30 years. Something you don’t want.
I believe that it will stabilize. It won’t fall, but it would keep rising to ridiculous levels like they have been. Companies know or will be forced to realize that people aren’t spending like they were before COVID and many are very aware that the price of goods have gone up significantly. Whether the price hikes are result of legitimate reasons or not, a lot of people are reaching to the point of frustration. This is resulting in people spending less in a lot of markets. High interest rates across the board, expensive goods, inflated housing prices, etc. are getting the general public to be a lot more conservative with their spending habits. I believe that this will force companies to adapt. If this leads to “Lost Decade” like Japan, then it wouldn’t be a surprise given that we just got out of a global pandemic.
 
I believe that it will stabilize. It won’t fall, but it would keep rising to ridiculous levels like they have been. Companies know or will be forced to realize that people aren’t spending like they were before COVID and many are very aware that the price of goods have gone up significantly. Whether the price hikes are result of legitimate reasons or not, a lot of people are reaching to the point of frustration. This is resulting in people spending less in a lot of markets. High interest rates across the board, expensive goods, inflated housing prices, etc. are getting the general public to be a lot more conservative with their spending habits. I believe that this will force companies to adapt. If this leads to “Lost Decade” like Japan, then it wouldn’t be a surprise given that we just got out of a global pandemic.

I think they will slow down price hikes yes. Companies know that when we are in a hyper inflation time they either need to raise prices quickly above it to capture the margin early or risk of forever being behind or acting too late when consumers are more hesitant to eat them. Most companies took the early approach hence why their margins have gotten so fat relative to pre Covid. So prices won’t drop but they “shouldn’t” rise either hopefully. AI should bring in a larger efficiency in many things as well which would reduce pricing long term. But the initial investment and trial and error will increase costs exponentially. This may take longer than people think though because they need to institute some regulations. But think of blockchain, it was supposed to bring efficiencies which have yet to bring any economic benefit 13 years later.
 
crazy that the standard is 70$-80$ for a new game. I've seen some games with DLCs go up to 100$...Nah, I'll wait
 


Actually excited to watch 3rd Strike. Never watched a 3rd Strike tourney live.

My issue is, do we trust these companies to lower the prices again once their supply chain, manufacturing costs, logistics normalizes?

Wages are one way traffic. They're not going back down once they go up and with games taking longer to make, costs will only get higher until AI can decrease costs.

I think they will slow down price hikes yes. Companies know that when we are in a hyper inflation time they either need to raise prices quickly above it to capture the margin early or risk of forever being behind or acting too late when consumers are more hesitant to eat them. Most companies took the early approach hence why their margins have gotten so fat relative to pre Covid. So prices won’t drop but they “shouldn’t” rise either hopefully. AI should bring in a larger efficiency in many things as well which would reduce pricing long term. But the initial investment and trial and error will increase costs exponentially. This may take longer than people think though because they need to institute some regulations. But think of blockchain, it was supposed to bring efficiencies which have yet to bring any economic benefit 13 years later.

The reason why I think its taking blockchain a long time is because it can stop corruption but those benefiting from the corruption are also the ones in power and they like their pockets being lined.

AI on the other hand might not have that roadblock but I think you're right in that the intial investments is gonna cost a lot.

I know AI for digital art and voice acting is a hot topic but for other parts of game development, it shouldn't be an issue. Stuff like DLSS comes to mind.
 
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