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No games rule
(lemmy.world)
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this post was submitted on 14 Feb 2024
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In the beginning of IGN'S post, it clearly says "after sales failed to meet expectations", which just means it didn't sell well.
To me it means what it says... They had some expectations and they didn't reach it.
At the end I guess is open to interpretation, but expectations sometimes are out of reality... some times they go higher either to sell it to inversors or they simply over estimate...
I wouldn't go as far as reading as them saying it didn't sell well, more like they expected more....
But Ok I admit it could be considered as such...
As someone who deals with business analytics/ budgeting, "not meeting sales expectations" is a 1:1 translation to "bad sales." Sony has R&D, manufacturing, and other "static" costs that need to be recouped with more unit sales--decent isn't enough when you're balancing everything around great.
(This translates to much of peak-covid -> "post"-covid business decision backlash. So much short-term thinking based on the economy being temporarily on crack with everyone at home).
What were their expectations? PS4 sold 117M globally. PS5 is currently 54M, and it was severely supply constrained by chip shortages at the beginning of its run. If this didn't meet expectations, then their expectations were out of wack.
I'm just doing the math, but if the ps4 sold for 200 at launch, Sony made about 23.4 billion, and if the ps5 cost 500 at launch, Sony made 27 billion. They made less sales yet still did better than with the Ps4.
PS4 was $400 at launch.
Though, tbh, it's game sales that drive their profits. Consoles themselves are on thin to negative margins.