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Mar
31
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Posted By: Benjamin Barrows |
Well that’s what ex-Vice President of Microsoft Xbox Europe, Sandy Duncan seems to thinks. “The industry is fundamentally driven by technology. I think dedicated games devices i.e. consoles (and handheld’s) will die [out] in the next 5 to 10 years. The business model is very risky and the costs associated with creating new hardware are incredibly high,” Duncan believes everything will move toward streaming web content with the information being sent directly to the TV. According to him, set-top boxes will be a thing of the past.
Well many seem skeptical but I for one can definitely see the rational behind his statements. It totally seems doable since we are already able to download games and content right over the web no discs needed which means at that point your xbox 360, PS3 or Wii is pretty much just a desktop computer running downloaded software. In regards to console production costs, Hell Yeah its expensive. Just ask Sony, Merrill Lynch reports that the PS3 costs Sony about $800 per console to produce and at a $500 retail price loses about $300 per console. Trust me, console makers are in business to make money so something will have to change in the industry to make profits possible. If Duncan is correct in his prediction my question is this. Who gets to house and library all of this content? Sony… Microsoft… Nintendo? Or will it be a third party entity…….GOOGLE!?!?
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