Peter Moore is Having a Good Day "PlayStation 3 is Dreamcast"

Forgot to post this from the other week

Interesting reading

And why wouldn't he be happy? In a few months he'll be launching Halo
3, the biggest consumer entertainment product of the year. Elite has
been successfully introduced. Xbox Live is hitting all its targets.
And best of all, predictions that PlayStation 3 would have overtaken
Xbox 360 by the end of 2007 have been proven hopelessly adrift.
Everything is coming up Peter.
THE COMPETITION
Image I meet with Moore in a large hotel suite in San Francisco. I ask
him about PlayStation 3's troubles. It seems likely to be something
he'll enjoy talking about.
He shakes his head, almost mournfully. Obviously, he's thoroughly
enjoying himself, but he hides it well. "I've walked a mile in those
shoes," he says. "I'm digging up my tortured past here, but remember
Dreamcast?" And there it is. PlayStation 3 is Dreamcast. How
delicious is that?
"We thought we were doing right," he recollects. "All of a sudden it
didn't pan out." We all remember Dreamcast; a wonderful performer that
the world cruelly ignored. Sega's console launch, steered partly by
Moore in the US, found favor with adherents, but found itself unable
to compete with PS2. It was crushed by Sony, mercilessly.
The comparison between PS3 and Dreamcast is disingenuous for many
reasons, but as far as Moore is concerned, both products are badly
flawed.
Moore explains, "Howard Stringer said 'it's not what's possible that's
important, it's what's relevant'. I think that's probably indicative
of the PS3. It was possible to build a box that had Blu-ray and Cell
and HDMI and everything else, but what was relevant was maybe a $399
price point and great games. I think we can all agree, and even Sony
would potentially agree, that they miscalculated the global consumer's
appetite for the experience the offered at the price point they
offered it at."


This is a good time for Microsoft to be kicking sand in the face of
its old enemy. PlayStation 3's launch has not been as successful as
Sony would have liked. Xbox 360 is moving along nicely. Globally Xbox
360 is over 10 million, while PS3 is around 4 million. Nintendo Wii
has positioned itself in a different place. But it's not all
springtime and daffodils for Microsoft. The company was forced to
downgrade its sales expectations for the current financial year (ends
June 30) from a top-end of 15 million to 12 million. Moore says that
number is on target.
"For the final quarter we'll be in and around twelve million. The
Elite numbers are coming in very strong. We introduced a SKU that we
don't quite have a feel on the demand but the numbers are doing very
well."
So, reading between the lines, it could be argued that the launch of
Elite will get the company through its target. Market rules mean
Microsoft won't be giving sales targets for the second half of the
calendar year until July but when it comes to making predictions about
PlayStation 3, Moore is happy to speculate.
I ask him if the Blu-ray factor might come into play this Holiday. "I
don't think so. Not this Christmas. Otherwise, we'd be seeing some
signs already. It's still an expensive device. There needs to be
millions of people saying 'yes I want high-definition movies in my
home' and that isn't happening."
He adds, "This is different than DVD. That was a physical format
change. The PS2 did very well out that change. But then, you didn't
need to buy new equipment to take advantage of your DVD versus VHS
tapes. It's a different story with moving from standard-def to high-
definition. There's investment in the TV and, quite frankly there's
still HD-DVD versus Blu-ray which is going back and forth depending on
who's got the blockbuster of the month."
"So I don't think it's going to get anywhere near resolved, certainly
not this holiday. Potentially by 2008 you can stand up and you can see
the dust settling. Is that going to be in time to really provide value
to the PlayStation 3? I don't know, but I do know that the forcing of
a high-definition format player on a video game console was not
something we ever wanted to do."
Lounge Concept
Okay, but Sony does have other advantages, what about PlayStation
Home? "Four years ago, we looked at the concept of a lounge where your
avatar could wander around. We looked at an area where people could
play their music, show people their videos. But it was not something
that we felt worth pursuing. We made a decision that the user
interface that we would put in to Xbox Live was one that got you in
quickly, that allowed you to navigate where you wanted to go, and to
do what you wanted to do. The concept of hanging out was something
that, while we looked at it, we just didn't think was something that
our users wanted to do.
"We may be proven wrong. It may be proven that people want their 3D
avatars to hang out with each other. But we made the decision that,
right now, it's about navigation and communication. We just think
people want to communicate, they want to play games, they want to
download movies, they want to listen to music. We're not sure they
want to hang around. PlayStation Home obviously caused a big stir at
GDC but there's a big difference between showing a demo and deploying
it on a massive global basis with millions of people utilizing it."
For Moore, the success of Wii is just another indicator that Sony has
gotten it all wrong. "We've got a very distinctive positioning,
particularly with Xbox Live and everything we're doing in the
connected world. Nintendo has done very well in carving out a unique
position. I'm not sure Sony has carved out a unique position. When the
consumer comes in to Best Buy this Holiday and is ready to make a
purchase of a console there's just no clear reason why you have to buy
a PS3. I'm not sure that the game software is particularly impressive
and when I read the boards and the forums that's a generally held
belief."


EXCLUSIVES
Image So with Sony in a painful place right now, Microsoft is mopping
up any third party deals it can to deny its troubled competitors those
big exclusives. But there are still a few holding out; the small
matters of Final Fantasy and Metal Gear Solid come to mind. Is
Microsoft going to get those brands?
Undoubtedly, the attempt is being made. "There are conversations had
everywhere and sometimes the conversations don't work out," he says.
"There are commitments made, long term commitments by publishers that
you have to adhere to and respect. There is no stone left unturned by
our team but I also respect the fact that a particular publisher may
have a particular loyalty, or might have a long time or long standing
business agreement that precludes us from doing things that we would
like to do."
He adds, "I feel good about what we've got. Do I wish there were other
things we had? Sure. But when I look at the classic 80/ 20 rule, I
think we've got eighty percent of what we need, if not more. We are
trying to make sure that every game is on our platform - or at least
cross-platform day and date - as well as identifying the right
exclusives and blending that with first party. Our portfolio over the
next twelve months is stunning.
HALO 3 and SCHEDULING
Third parties are currently scheduling their releases for the fall. A
big problem is the launch of Halo 3. It's going to take up a massive
share of available dollars, pounds and euros this autumn. "They all
know when Halo 3 is going to ship. So we work with them to make sure
that we manage the portfolio," he explains. "Some people like to be
right there and they hold to the theory that everybody's going to be
at retail that day, so they've got a pretty good chance of being
picked up. Others see it as a blast zone just want to get out of the
way.
THE CHILDREN'S MARKET
Last year's Viva Pinata was an amazing game; one of the best
innovations of the year. But its stated aim was to open up the Xbox
360 market to children and families. Some thought it failed in that
regard, being too complex and difficult for younger people. Microsoft
is definitely going to use the brand for another foray and will be
introducing new IP into this sector.
Moore says, "We are very committed to Viva Piñata. The one thing that
we didn't do a great job with is that the TV series and the game
didn't quite connect as well as they should have done. The TV series
really focuses on the four main characters and those characters speak
whereas in the game itself there's sixty odd characters, none of whom
speaks.
"So we've got to do better in integrating the game experience and TV
animated experience. We also have to do better at linking our complete
go-to-market strategy with the same consumer in mind. The game needs
to look and feel and play like people expect it to. It needs to be
more of a reflection of what we're showing on television.
"We need to do more...whether its children's IP...I'll call it more
approachable IP. We'll do things that'll be a combo of looking at
intellectual property that makes our platform more approachable and
Viva Piñata is something that we will continue to invest in."

ELITE
Image Microsot's top-end Xbox 360, Elite has been a success, whereas
its bottom end Core system has lagged behind. I ask him if, in
hindsight, it wouldn't have been better to pass on the Core, or maybe
to introduce it at a later date.
He says Microsoft's strategy is about choice, "I stick by what we've
done. Everybody criticizes but believe me, we need to look forward
three years from now when the pricing really becomes important. Quite
frankly PS2 has proven to us, that if you get a product with enough
games at the right price, it becomes very valuable. Also I have a
global business and I have a business that I have to worry about in
emerging markets where price is important. I've got places like
central Europe where pricing is important. The only people who are
confused are the people who don't buy it."
He says delivering different options is a must. "This is a world where
high-speed broadband has become ubiquitous, where people's tastes and
their personalization differ from one another in ways that weren't
imagined ten years ago. I know my strategy for the next five years,
where this thing's going to go, what my pricing strategy is, what my
cost reduction strategy is, how I position that in the future to the
consumer, there's a plan there. This is not stuff we wake up on a
Monday and say 'hmm, let's do this'. It really is a long term
strategic plan. The Elite is obviously something we've been working on
that for a long time."
So does this signal yet more iterations of Xbox 360? "If so I probably
couldn't tell you," he says. "This is a brave new world. This is a
world of personalization of the experience and this is not hundreds of
millions of cookie cutter homes that simply have a TV that connect to
a box. This is a very different world we live in and it's essential to
have product offerings that are attractive to different consumers."
FULL GAME DOWNLOADS
Finally we talk about Xbox Live Marketplace. Sure, it's just a matter
of time before fiull games are offered for downloads? "We're still a
ways from that. If you look at those games that are four of five Gigs,
there are consumers that can probably absorb that. But retail still
plays a very important role in this and the massive majority of people
still want to be able to go to retail and walk away with a physical
object. Will it happen? I've always said eventually of course it's
going to happen."
Is there a reticence on Microsoft's part to annoy retail by diverting
hardcore users from their stores? "There are retailers that I deal
with that are very mature and going into this with open eyes. They've
learned through music, they're learning to adapt to a world in which
there is going to be a hybrid business model. Most of middle America
still wants to drive to the store and buy a disk but then there's
going to be a burgeoning techno-class that wouldn't dream of buying
data on a disk. They're going to have a huge home server with 800 Gigs
of storage but it's still a hybrid model. That's why there are
different retailers that position themselves for different consumers."

http://tinyurl.com/368hyp

 

interesting read, thank you. He makes some good points which seem so obvious when he addresses the dc/ps3 comparison.

 

if the PS3 is any sega console it's the saturn

1. It lost all it's exlusives
2. almost impossible to develop for
3. sucessor to an insanely popular black machine that changed the world
4. has almost the exact same controller as the console that preceeded it yet they aren't compatable wtih each other
5. while it has it's exclusives and reasons for owning one an upstart system had way more choices.

Comparing the PS3 to our beloved dreamcast is just a kick in the balls to us Dreamcast fans that dispise sony.

 

Yeah, that's pretty interesting. It'll be interesting how the rest of this generation plays out. Particularly when MGS4 and FFXIII release.

 

I'm pretty sure MGS4 is still coming to 360

and FF XIII is up in the air square says nothing for 360 now but they never said 360 will never ever ever ever ever in a million years get a Final Fantasy game.

 

The DC was a cheap, affordable machine even though it was ahead of it's time. It's main problem was that the GAMES were something too new and foreign. No RPG at Japanese launch (or any good ones on the horizon) and only a couple of Sega's flagship franchises made any appearances at all. Big fuck up on Sega's part.

 

Maybe you Dreamcast fans that 'dispise' sony should, you know, wake up, get out of your cave and smell the new world. Hating an electronics manufacturer for killing off your favourite machine 5 years ago is understandable (to a certain extent), but come on, hardware should be judged by the games released - and just like the DC in its time, Sony still has the most Japanese-developed games (which is, imho, one of the things the DC did well).
Rant over, nothing personal.

 

nothing unsual about Moore's words. Just standard PR talk, very predictable, as with any other company's statements.

What I really want to see is their internal numbers and stats, not their conclusions from the comfortable seat of the aftermath

 

ridiculous it's not saturn like at all.

1) Fake. haven't lost all the exclusives and still have the GT brand
2) developers vary from saying that it's the same, easier or harder than 360 depending who they want to please
3)genesis changed the world? that was a gray machine from another brand
4) genesys was released with 3 button joypad....
5)agree.

ps3 have far more chance to succeed now than dreamcast had.

 

Ahem I do own a PS2 and PSP ya know

 

The PS3 is the next Dreamcast?

I'm sorry, last time I checked the DC had good games on it.

 

and a better pad!

 

And also the DC actually HAD 3rd party EXCLUSIVES!

 

And a launch that made the system worth owning. :nod:


Actually, I think calling a console a "Dreamcast" is pretty high praise... which is something the PS3 is the polar opposite from deserving.

 

Yeah don't get me started on PS3, I think I've already established in other threads I HATE THE THING.

 

When I first got a DC about a month ago I was like, "Eh, cool. I can play Crazy Taxi or something." Then I bought MDK2. Then Chu Chu Rocket, Daytona USA 2001, Space Channel 5, Virtual On and PSO. And now I really feel like I've been missing out on soooo much! There's so many great games, with addicting gameplay and awesome graphics.

I don't feel like I'm missing anything at all by not owning a PS3.

 

Don't cloud fanboy angst with fact :110: Ultimately they are just machines we use to play games on.

RE: topic starting post, let's see the truth in Jan 2008. That will give a true indication of what we can expect in the long term. Home will hit in August and by Thanks-Giving holiday PS3 will have had a year on the market. Home is going to be big for Sony with the more casual consumers if they push it the right way (i.e. combining it with a price drop)

Moore sounds slightly defensive to me, and he shouldn't really tempt fate by joking with his failure over managing the DC. That comparison is really quite odd IMO. I am curious as to the investment Microsoft are putting into software development. I think one of the interesting changes Sony have made in this new generation is the money they are putting into first and second party development rather than in bribing third parties for exclusives, as they did with the PS2. I'd imagine that the cost of financing an exclusive third party release with the relatively small userbase and high development costs is prohibitive for both companies. The best games to be hitting the PS3 are currently those being developed as exclusives - I am very interested in Lair and Heavenly Sword for instance, and LittleBigPlanet looks like a lot of fun.

Now, I'm an XB360 owner and at present there is not much to seperate the two machines IMO, more compelling games on the XB360 but not particularly true for the future. Halo 3 is the biggest and it is looking like an XB port at the moment. The Elite is selling well according to Moore, but prior to that statement he questions the price and features of the PS3. However, Sony is continuing to expand the functionality of the PS3 and pushing out the feature set. Microsoft are not really doing that with the XB360 at present. Also I am on XB360 number 2 already, which is not very pleasing for me as a consumer. The only thing that really pushed me to the XB360 was price of hardware, and that is where Microsoft is coming up trumps.

Christmas 2007 is the big decider. It appears that the XB360 has had a nice headstart but the sales are starting to drop off now that it has competition and the first 2 quarters of the PS3 being on market it sold roughly the same amount as the XB360 globally. The US loves the XB360 but Microsoft can't generate interest in the Japanese market. 1&1/2 years of XB360 = 10million vs 7 1/2 months of PS3 = 4million. Price drops close to Thanks-Giving & Christmas would win this war, otherwise it's going to be a massive Christmas for Nintendo (assuming they ramp up hardware production and get some nice new titles out to market).

 

God I hate fanboyism and the internet.

Comming Xbox 3/Wii 2/PS 4. If you dont have an exclusive AAA game out in 1 month after release your console is
1) A failure
2) Loosing al 3rd party support
3) Doomed forever
4) Made reference to a dead console that was not overly sucessful
5) Random people hate it and show a lack of understanding

:banghead:
:banghead:
:banghead:

 

I say by 2009 we will know for sure.

 

I think Sony's in this for the long haul (10 plus years with PS3 I've read). I'm fairly certain that the decision to focus on HD with Blu-ray and HDMI etc, while not looking good for them now, will be looked on in three or four years time as the right thing to do. By that time the price will have dropped, there will be more software available (maybe even some good stuff), then we'll know if they were right or wrong. Until then, this is all just speculation...

Dave.