Is the PS5 and next Xbox One console worth the price of entry for Sony and Microsoft? Will the console giants scrap physical CDs and opt for a digital only platform? A video game analyst has pondered on these ideas and has given insights for the console giants if they plan to manufacture next gen consoles.
Earlier, video game analyst Michael Pachter said he believes that the PS4 and Xbox One are the last current generation of consoles. However, he seems to have changed his mind, saying that a next generation of consoles will still be made but the amount of consoles sold will decline throughout the years, Venture Beat reported.
?As long as Microsoft, Sony, and Nintendo are solvent companies, they will make consoles,? Pachter said. ?I don?t think consoles will go away. But they will go the way of the Nintendo 3DS, a great product which is selling half as much as the DS.? If the console giants proceed making next gen consoles, more entertainment media functions as well as 4k or 8k display should be included, Pachter said per VB.
Digital Only Future?
Speculations that the PS5 and next Xbox console?will no longer support physical games?seems feasible based on the trends stated by Pachter. This 2014 in North America, physical console game CDs have totaled $8.9 billion worth of sales, a significant decrease from 2008?s $25 billion, Pachter said.
The decrease doesn?t equate to lower sales of video games as more gamers now opt for digital releases. Digital sales spiked a 450 percent increase during the same period and accounted $17 billion, Pachter said.
Despite this, Pachter clarified that physical CDs of games will continue for at least 20 more years, MCVUK reported. However, the continuous decrease in physical video game consumption will affect video game retailers. ?They just get smaller, and I believe GameStop is preparing for this,? Pachter said.
?I think the console death will take decades. That means that GameStop has at least another 20 years to sell DVDs. I think the decline in physical game sales hurts GameStop the least, as Amazon and Best Buy customers are far more inclined to buy online than GameStop the least, as Amazon and Best Buy customers are far more inclined to buy online than GameStop customers, due to the latter?s predominant position in the used games business.?