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Opinion Reason why Xbox and Playstation are focusing on steam

kingfey

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This is steam chart for 2020.


Other reason is Market availability. Main selling area for the 3 console are USA, UK, and Japan.

The weakness of these consoles are the production for the rest of the world. Without enough marketing, and people to buy your product, its hard to sell your product in those countries.

That is where steam comes in. Steam is on pc, which most people have it. Due to that, its easier for the 2 console manufacturers to reach wider audience, without marketing to these countries.

There are currently 2 big countries, which xbox and Playstation are trying to get in. India and China. Both of these 2 countries are popular with pc.


Here is an interesting tidbits from China.

It's big. In 2018, there were an estimated 312.4 million people playing PC games in China, generating $15.21 billion in revenue according to Asian games market research firm Niko Partners. By 2023, Niko Partners predicts there will be 354 million PC gamers—more than the population of the United States—generating $16 billion worth of revenue. Just to put that in context, there are roughly 90 countries with a smaller GDP.

 
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Celcius

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I hadn’t thought about the chip shortage having an influence on this but it makes sense
 

kingfey

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Because steam is the biggest gaming platform on PC?

I'm absolutely shocked King. No one saw that coming
While steam is big, its not that big in s Korea and China. Mainly because these 2 countries have launchers for their games.

There are many games which aren't on steam. Not counting Activision, EA, uplay. But games that are catered for eastern people.

It's big. In 2018, there were an estimated 312.4 million people playing PC games in China, generating $15.21 billion in revenue according to Asian games market research firm Niko Partners. By 2023, Niko Partners predicts there will be 354 million PC gamers—more than the population of the United States—generating $16 billion worth of revenue. Just to put that in context, there are roughly 90 countries with a smaller GDP.

 
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Spitfire098

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It's almost like they said it themselves.
 

KAL2006

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It's time for Valve to takeover with Steam Deck and Steam Home (eventual Steam machine successor).

Valve can obviously continue to dominate China and India market.

But they can grow their Japanese market with Steam Deck as Japan is handheld centric. Market Steam Deck with Monster Hunter World 2 if it runs that, market it with Final Fantasy 7 Remake, and etc. Basically games the Switch won't get that are Japanese centric.

As for UK and US market, I think a eventual Steam Machine successor that comes with the new Steam OS as well as a controller will go a long way. I'd have only 2 tiers. A machine that's around the same power as PS5/Series X. And a machine that destroys the PS5/Series X. Call it Steam TV. It would basically be a prebuild PC with better price entry than building your own. And it would still be upgradeable and allow you to install Windows etc.
 
Jan 16, 2020
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While steam is big, its not that big in s Korea and China. Mainly because these 2 countries have launchers for their games.

There are many games which aren't on steam. Not counting Activision, EA, uplay. But games that are catered for eastern people.

It's big. In 2018, there were an estimated 312.4 million people playing PC games in China, generating $15.21 billion in revenue according to Asian games market research firm Niko Partners. By 2023, Niko Partners predicts there will be 354 million PC gamers—more than the population of the United States—generating $16 billion worth of revenue. Just to put that in context, there are roughly 90 countries with a smaller GDP.


Their games don't fit with the chinese market. It's predominantly free to play mobileesque trash

312 million people playing PC games sounds attractive until you realise the vast majority aren't interested in your products. It's the chinese version of "there are more than 200 million people playing video games in the US". Great talking points for shareholder meetings and to drive up hype. In reality though those people playing candy crush on the bus aren't your demographic.

The real money to be made there is e-sports. Not first party ports approved by the CCP.
 

JLB

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Chip shortages crisis only accelerated this process. Console exclusive games will be a thing of the past in the next years.
 
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Magic Carpet

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Read an article that Tesla was making cars without USB ports because of component shortages.
Chip shortages are ruining everything.
 

DonkeyPunchJr

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People buy games on PC and then play those games. Therefore, you Sony and MS can make money by selling their games for PC

hey guys do you know if Bloomberg is hiring?
 
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QuickShot27

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Yeah its good to see exclusives being even more played it's a smart move. Normally you don't see Halo, or God of War on PC. I think Nintendo is already thinking about putting Mario and Zelda on steam.
 

Sosokrates

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I hope one day consoles are no more, and playstation and xbox just make a curated os/app that works on PCs.
They could also make subsidised branded PCs.
 
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The_Mike

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I would say that has been common knowledge for close to maybe a decade now?
When the majority of non pc gamers here still believes you have to reinstall your windows every half year and it's a hazzle to update drivers or games on a PC, then this is really game breaking news.
 
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tusharngf

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Sony got the right man for this job that is JIM RYAN. He see's what others don't. I still remember the dark days of DON MATTRICK era where most games never came to PC except few. Sony on the other hand never ported the games until now. More userbase means more users interested in your games. JIM knows it and he is trying to get PC people jumping to playstation games. CHINA will be no 1 market its going to happen in future. Mobile gaming has shown the numbers already. There are lots of potential market for microsoft and sony. Soon most games will be ported to mobile when SOC becomes more powerful. PC will be priority but lets not forget mobile is much wider and bigger platform. GTA trilogy is going mobiles next. PC and mobile ports are future for games.









source:Game Market Overview. The Most Important Reports Published in June-July 2021 (devtodev.com)
 

reksveks

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CHINA will be no 1 market its going to happen in future
I know this is sometimes the common consensus but I do wonder what the CCP's restrictions on 'engagement' means for businesses that trade on that metric. We have seen Fortnite pull out of China.

I don't know if we have the numbers to figure whether there is a difference between the ARPU for a Chinese user and another set of markets. That would be useful to figure out if China truly will be the number one market in terms of software revenue.
 
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yurinka

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The reason is that AAA games become more and more expensive every generation, so they need to keep adding revenue sources to don't turn them into too risky business. Another option would be to turn their games into a casino GaaS/F2P MTX fest, so I assume they prefered to try PC to keep making mostly the games they always made and only grow in terms of revenue and userbase.

CHINA will be no 1 market its going to happen in future. Mobile gaming has shown the numbers already.
China already is the top 1 gaming country in the world in terms of revenue and userbase. But they almost don't play on consoles there, they play mostly F2P mobile and PC games there as happens in other countries. Sony's approach of porting old games to PC and to start bringing some of their IPs to mobile and movies is to have a better reach in some of these countries, to grow in China, Korea, Russia or South America. Places where is very hard for them to grow via consoles.

In addition to this, in traditionally more console friendly markets they know there are some PC players who will never buy a console, so bringing some games to PC will mean extra revenue for them. And finally, some people in all these countries may be appealed by these games, will become fans and will buy a console to play the latest entries -or older ones- of these series.
 
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