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Xbox One proves “Microsoft has a capable platform in the living room battle” – analyst

Wednesday, 22nd May 2013 14:01 GMT By Stephany Nunneley

With the reveal of Xbox One yesterday, analysts have been weighing in on Microsoft’s all-in-one machine, with Colin Sebastian calling it a “possible contender” in the living room battle.

Speaking in an industry note, Sebastian said with Microsoft offering a system with significant upgrades in “hardware, software, and content features,” in a living room centerpiece, he feels it will likely appeal to a broad market despite some of the initial confusion surrounding used game sales and trades.

“While Sony emphasized core games with the PS4 unveiling, Microsoft is positioning the Xbox One as the ‘all in one’ living room entertainment centerpiece,” said the Robert W. Baird & Co analyst. “We view the broad capabilities of the Xbox One as likely to appeal to a broad market, although price remains an important unknown.

“In our view, Microsoft views the battle for the living room involving not just video game supremacy, but also countering the inevitable rise of iOS and Android platforms. Overall, we believe the Xbox One reveal demonstrates that Microsoft has a capable platform in the living room battle, even if there is a narrow window of opportunity to build share before other platforms gain a foothold.

“While encouraged by next gen platforms, we remain somewhat cautious on the sector ahead of additional price and content specs, although a successful launch of Xbox One would be positive for Activision, EA, Take-Two and GameStop.”

Sebastian call the hardware “impressive” and similar to PS4 with both systems featuring 8-core x86 CPUs, 8 GB of RAM and Blu-Ray. The difference between the two will be the respective online services, multi-media content and exclusive games.

He also weighed in on some of the confusion surrounding used game trades and the online requirements with Xbox One.

“Microsoft indicated that the new Xbox will not require always on connectivity to the Internet, as was rumored in, nor will the Xbox be backwards compatible,” he continued. “Despite initial press reports to the contrary, Microsoft indicated the Xbox One will support used game trades and resales, as we had expected.

“Given a mix of confusing articles and comments attributed by Xbox management on the issue, we expect formal clarification by Microsoft in the coming weeks.”

While pricing “will be key” to the console’s success, Sebastian believes Microsoft “intends to subsidize the Xbox One, potentially in cooperation with media companies such as Comcast.”

Xbox One is slated for release sometime this year, likely around the same time as PS4. You can get caught up on all the news from yesterday through our round up post.

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18 Comments

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  1. SlayerGT

    So if I don’t have access to internet, can I play games on this??

    #1 1 year ago
  2. Gheritt White

    ^No.

    #2 1 year ago
  3. hitnrun

    “Colin Sebastian calling it a “possible contender” in the living room battle.”

    Heh. Talk about damning with faint praise.

    From a cold blooded business perspective – where gamers are something to be scraped from your shoe before entering a building – I still don’t see how Microsoft is going to penetrate the living room without early adopters.

    #3 1 year ago
  4. Erthazus

    Xbox One is like Xbox Surface – no one need it.

    #4 1 year ago
  5. SlayerGT

    @4 My feeling is that it finally feels like MS hardware. Where the original Xbox and 360 didn’t really feel like something MS would produce, the Xbox One feels just like the Zune, Windows Phone, and Surface…

    #5 1 year ago
  6. Samoan Spider

    @3 Using shiny shit. Consumers love shiny shit. Just look at Apple’s success.

    #6 1 year ago
  7. Belmont

    @5

    That is bad news mate. You know what happened to them.

    #7 1 year ago
  8. Ireland Michael

    @5 Massive flops that nobody wants or needs, with terrible support and limited shelf life?

    Yeah, that does sound like most Microsoft related hardware lately, actually…

    #8 1 year ago
  9. ps3fanboy

    one thing is for sure i don’t want this crap in my living room…

    #9 1 year ago
  10. Kabby

    We all knew this was the thing MS was going to pull eventually.

    The interesting thing is, is the battle for the living room the real battle?

    #10 1 year ago
  11. Lord Gremlin

    So we have windows 8 nobody wanted that failed horrible in sales, ms surface nobody wanted that failed horrible in sales and xbox one which… Wait for it, I’m sensing an omen here!
    @8Exactly.
    But if you look at it – it’s all the same trend.
    Windows 8 – they did it because Android is popular.
    Surface – they did it because tablets are popular.
    Xbox One – they did it because Steam is popular.

    I just really want MS ruined, honestly. Windows in many ways a cancer of modern PC.

    #11 1 year ago
  12. MadFlavour

    It’s a possible contender in the biggest piece of shit ever battle.

    #12 1 year ago
  13. laughing-gravy

    Colin Sebastian the dense C***!

    #13 1 year ago
  14. ridethewavecali

    @ 1 … Yes u can play games without a net connection. Microsoft won’t do that cuz they understand people do not have a connection or a strong connection at all times. They are smart business people. That wouldn’t be smart.

    #14 1 year ago
  15. laughing-gravy

    @11 Msoft managment are absolutely clueless lately. This will be another Zune or Surface. It’s just a total un-focused mess!

    #15 1 year ago
  16. laughing-gravy

    @14 But you will have to connect to the internet once every day.

    #16 1 year ago
  17. Joe_Gamer

    It’s a shitty HTPC, with atrocious DRM and a tiny HD. “It’ll do cloud stuffs!”…bullshit, cloud processing and storage isn’t free, but is is fucking slow…
    Cloud processing has been around for decades and guess what, no one uses it for a reason, It’s worse and more expensive in every way than local processing.
    “It does TV!”…I don’t watch TV.
    “It does sports!”…I don’t watch sports.
    “It does fantasy sports!”…Oooh, I care even less.
    “It has voice control!”…Having actually used voice control before I gotta say, no thanks, it sucks.
    “It comes with kinect!”…yeah, that’s not a pro.
    “It’s always on and listening/watching you!”…thanks for the electric bill assholes.
    “It comes with 500GB!”…My PC has 14x that much storage.
    “It does used games(with a fee)!…I guess we know why project ten dollar died.
    “It plays games…I think.”…Ooh, CoD and Madden, I’m so stoked…
    -
    I expected nothing, I had no plans to abandon PC gaming and return to the walled console garden and yet, somehow I’m STILL disappointed.

    #17 1 year ago
  18. nostramo

    It would appear that the battle for the living room has already been won and lost by microsoft. Who are the opposing forces? Who in opposition would want to go to the gaming market place and try to tempt every one and thier granny to buy a multimedia box that alienates the very people the original product was created for? Battle for the living room my arse, xbox one, microsofts answer to a question the gamers didn’t ask ☺

    #18 1 year ago