If true, this is huge news.

There have been a lot of rumors about the possibility of seeing both the new PlayStation and Xbox at E3 this year. Sony was quick to defuse the rumor, though, and now, a new source says – get ready – Sony or Microsoft won't be involved in the next-gen console race.

According to IndustryGamers , cloud gaming service Gaikai has said that "not all current console manufacturers" will be making another console for the new generation. Said chief product officer Nanea Reeves:

"Not all of the current console makers will have one more generation. That will be the big news at E3."

Now, Nintendo has already revealed their horse for the next-gen race, the Wii U. That leaves only Sony and Microsoft, right? Neither company has officially confirmed a new platform but realistically speaking, if any manufacturer is reluctant to produce a new piece of hardware, it's Sony. They maintain that the PS3 is just hitting their stride, and they've recently gone on record saying they're not considering a new system right now.

It'll be interesting to see what happens in the new generation, won't it? Things are changing left and right these days…

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Ignitus
Ignitus
10 years ago

No way. It's just a crazy comment from a nobody trying to get publicity for their online gaming service.

There are several jobs listings at microsoft for a new generation gaming system. So the new xbox it's coming.

Sony has been adquiring gaming studios in the past few years. Why do that if there is no new gaming system coming? Besides there are reports that a Sony studio is working on the graphics tech of the PS4.

TGSA
TGSA
10 years ago

Just have to put this in here, here's the actual quote from the Gaikai person: “I think some will have one more cycle and I think others will not,” said Reeves. “I think that will be the big news at E3. That's just my prediction.”

A prediction from a company that streams games… Hmmmm, seems like a manner of marketing to gain interest in their product to me. And this was just a thought on some panel, not sure if this is really news worthy. Anyways, one of the other panelists predicted it to be Nintendo, since the Wii U is more of a catch-up to the current gen and not next-gen.

Jakintosh
Jakintosh
10 years ago

To be honest, I think this is the best possible outcome for Sony. Tech is moving fast. Much faster than most of you here realize. If Sony put out another Playstation in the traditional format (as in, a new console with better specs, etc.) the industry will blow right past them. The 8th generation of consoles is doomed from the start. The way people get their entertainment is about to change in the next year or so, and it's not going to have anything to do with buying a $500 box to put $60 discs in. If Sony is as smart as I hope they are, they see this coming and are readying to place themselves in the REAL next generation of home interactive entertainment. I believe that if Apple manages to pull off their Apple TV project (all shows would be à la carte, no cable subscriptions) then the entire entertainment industry is going to be turned on its head, and that that will be the outlet to get video games to become an actual mainstream thing.

Akuma_
Akuma_
10 years ago

Jakintosh,

It isnt the best possible outcome, if they did this, they would lose millions of dollars.

I know its hard to realise this, but there are countries outside the US, and most of them do not have the internet capabilities that the US does, so a streaming or digital distribution platform is still, and will be for a very long time, a "doomed from the start" philosophy.

TheHighlander
TheHighlander
10 years ago

I don't think Sony would bow out. The Vita shows a willingness to continue in the hardware business and as a CE company, Sony's roots are in making devices – such as game consoles.

I would speculate that Microsoft might not produce a new console though. They have their fingers in so many pies, and their central business is Windows and business software – not game consoles. They are a software company, not a CE manufacturer, and their hardware ventures ave generally done poorly. Investors and shareholders may look at different metrics than US console hardware unit sales. They may not be so impressed with the whole Xbox project, especially as so many of the games come on PC anyway.

I could actually see Microsoft re-absorbing gaming into it's more PC centric business and turning Xbox and all it's related services into something that runs within a virtual environment on PCs. To some extent the Xbox cannibalizes their home PC market anyway, and it would make sense in a number of ways to turn Xbox into a virtual console that runs on Windows PCs. For a start they would not have the hardware headaches, nor the hardware development costs to worry about. Plus, they would own everything within the virtual environment. There would be no fees to third parties for CPU or GPU designs.

Sucking Xbox back into their mainline business would make sense in a number of ways as MS tries to push it's Live service to PCs and phones as well. The thing to remember is that for Sony, the PlayStation is a core element of who and what Sony is, and has been for nearly two decades. For Microsoft, the Xbox is still a peripheral concern that does not touch on their core business.


Last edited by TheHighlander on 1/12/2012 1:03:26 PM

coverton341
coverton341
10 years ago

You make some fine points, and it would be the most logical leap for Microsoft to drop the console business and integrate everything into their W8 platform, but I just don't see them doing it. Maybe in another cycle, but the 720 or whatever the name will be is coming, at least that's my opinion.

Reason being, they have a rabid following at this point. Their user base just seems so attached to the brand that I can't see them pulling the plug this soon.

TheHighlander
TheHighlander
10 years ago

I agree, I don't think either will bow out of the console business, but like I said in another reply, I can make a better case for MS doing so than I can for Sony. I still don't think either will.

thepill
thepill
10 years ago

That rabid fan base that Microsoft has is really only in the US. Sales for Microsoft's console are lacking all over the globe, and are abysmal in Japan. It would make more sense for them to absorb their console division. .

I do however think that this story is one of those unfounded rumors that are started by a person trying to make a name for themselves. Kind of like the person that says the rapture is going to happen in May of 2011, then nothing happens and the person dips into obscurity, but on the off chance that something major happens they can claim that they are the next Oracle.

I don't see Sony skipping an entire generation. I can see Sony showing up fashionably late to the next console ball, but this time it won't be with a product that many people in the mainstream view as only equal to the other consoles available. This time it will be a machine that everyone will view as a true "GAME CHANGER". Just to set the record straight, I was never in that category of people, as I've always seen the appeal of the shiny black beast that is the PS3.

Looking Glass
Looking Glass
10 years ago

@ Highlander

There's another reason Microsoft would be the more likely one to bow out (assuming anyone is bowing out at all of course). Their refusal to embrace Blu-Ray is putting them in an awkward position. I believe it's too soon for digital-only consoles or a new Kinect system. In light of this the move you indicate makes all the more sense.


Last edited by Looking Glass on 1/12/2012 5:51:47 PM

Qubex
Qubex
10 years ago

I have to agree with Highlander here on all points. I believe similarly that neither M$ or Sony will bow out, however, if either do, it would probably be M$.

Sony have to much vested in the entertainment business to give video gaming up so readily!

Q!

"play.experience.enjoy"

Dancemachine55
Dancemachine55
10 years ago

I saw a comment from IGN about how Sony would be likely to bow out because of their online service being lesser than that of MS and Live, AND because the Playstation business is one giant black hole in terms of financial profit.

While those are all fair points, Sony Computer Entertainment is so huge and has the ability to make a lot of money and increase profits, but Sony need to change their strategy for this new generation of consoles by looking at what people can afford, not what people desire like the mind-set of the 90's and early 00's.

MS is more of a computer software company, and I always believed that if they integrated Live onto Windows, Mac, PS4 and Wii U, they would most likely make a greater profit and even keep first party exclusives like Halo and Alan Wake on the Live service as downloadable titles.

As for the source of the comment, a person who works on digital downloadable games whose market is online gaming networks like Live, PSN or Steam. Going by the sheer popularity of all 3 consoles this generation, I don't think any of the 3 big companies (Sony, MS, Nintendo) will be calling it quits this deep into the game. All 3 are too big!!

But like Highlander, I too believe MS would be most likely to quit the console race from a hardware perspective, and use Xbox Live on Apple gadgets, tablets, Windows smartphones or other consoles. Imagine Xbox Live on Wii U, but I really don't see that happening.

I reckon the PS4 and Xbox "Loop" will be shown at this year's E3, but only in demo form with a 2013 release date. I'm sure MS and Sony would both prefer not to be late to the party again (eg. Xbox original and PS3)

Looking Glass
Looking Glass
10 years ago

@ Dancemachine55

A black hole you say? Now that's a bit of a tenuous claim. The PS3 reached the break even point some time ago and things have been steadily improving for the Playstation Brand since then in spite of the occasional setback.

And I would agree that MS having better online service would be a good reason for THEM to bow out of the console business and not Sony for reasons that I believe have already been established.

Having said that I think it's a long shot for anyone to bow out and this rumor is likely false. Sony may very well decide to put off the PS4 for some time. But bowing out completely? I think not.


Last edited by Looking Glass on 1/13/2012 5:49:00 AM

Underdog15
Underdog15
10 years ago

Yeah, I'm with Ignitus.

This Gaikai guy (rhymes!) is just a blow-hard. I call BS with a side of shame that I'm paying attention to what he said.

hadouken
hadouken
10 years ago

In the movie Real Steel there's a logo for Xbox 720. I know that's a movie and all but it could have been blatantly product placement.

Beamboom
Beamboom
10 years ago

Nooo way. THIS is bullshit.
Isn't it confirmed that Sony owned studios are already working on developing titles for the next gen hardware? And it's unthinkable that MS is quitting with the success the x360 has enjoyed. What should they earn from doing that?


Last edited by Beamboom on 1/12/2012 1:30:55 PM

duomaxwell007
duomaxwell007
10 years ago

not considering a new console right now doesnt equate too… "wont be making a next gen console or new console EVEER" either which is what this article seems to suggest

JLB1
JLB1
10 years ago

What I see happening is this. If Microsoft announces a new console at E3, Sony will announce one at TGS. No way will a company drop out of the console business. Especially how well the big 3 had been doing.

jimmyhandsome
jimmyhandsome
10 years ago

Doubt it. I can't see either of them bowing out now. There is too much money to be made. Sony has the first party line-up to pull a "Sega" (a la Dreamcast) but as others have stated, their business mantra is making CE like videogame consoles. Microsoft could theoretically stop making consoles, but the wild success of Xbox Live wouldn't translate over to PCs

thj_1980
thj_1980
10 years ago

This guy is an expert I'll give him that. Yeah expert of total non-sense!!!!

Spineshank
Spineshank
10 years ago

Microsoft or Sony would be nuts to not partake in the next gen console market, with the ever increasing gaming population, there has never been a better time for the industry to make rediculous revenue.

slugga_status
slugga_status
10 years ago

I don't believe that at all. While the PS4 won't be at E3..the next xbox likely will be. Especially given the fact that Unreal Engine 4 is going to be on consoles in the next 2 years and definitely PC before consoles.

It doesn't make since for either M$ or Sony to bow out..way too much money left on the table if you ask me.

Underdog15
Underdog15
10 years ago

JLB1 made a good point… if Sony is going to announce a new system, it'll be at TGS. Not E3.

PharaohJR
PharaohJR
10 years ago

is this source talking out the a#@. sony exclusive studios confirmed they already developing for PS4. must be microsoft if the source is true.

thj_1980
thj_1980
10 years ago

He is talking out of this @$$!!!!

Temjin001
Temjin001
10 years ago

I read this stuff earlier this morning. I read into how the quote was taken, if I recollect it right, the context wasn't one of insider knowledge we haven't been made privy to; no, it's Gakai flappen their lips as to how their form of entertainment is the best(it's not). THe cloud stuff has a handful of benefits, but not a one of those includes a better than console gaming experience. Visual quality and latency are major hurdles for the cloud guys, let alone broadband speeds fast enough.
I don't need to describe it. Just go to Gakai's website right now and try Crysis 2 for free through your web browser. It's cool, but it's clear it's not a replacement. Sort of like Netflix, cheap and easy but not nearly Blu Ray

TheHighlander
TheHighlander
10 years ago

Well, I don't see how any of these kinds of server can hope to work like a home or hand held console. The latency is an insoluble issue – at least with current technology, OnLive has the same issues. I think that a lot of these doomsday scenarios concerning home video game consoles are put forth by people with a vested interest in cloud based gaming services or smartphone games and the like. In other words they are talking up their own interest, so why quote them as news?

Still, I could believe that MS would try to take Xbox into a virtual environment. I don't think that they will, but I can make a better case for them ceasing to be a player in the console world than I can for Sony.

Axe99
Axe99
10 years ago

Totally agree – cloud-based gaming could be epic for turn-based strategy or turn-based RPG games, where latency is neither here nor there, and visuals don't tend to be a focus, but for anything else it's a non-starter. Good for gaming on the cheap'n'easy, mind.

As for anyone bowing out, I thought there were pretty strong rumours of third party (and first, of course) devs having dev kits for both the next PS and Xbox. And there was recently an interview somewhere on the web with one of Sony's tech researchers talking about all the different game-related tech they're investigating. MS _maybe_ if the dev kits are for a software environment that could run on PC/tablet/you-name it, instead of a standalone console, but after working so hard to get their box in living rooms, it'd be right strange to give it up now.

Rather, I think this is just more of the crazy speculation going on about the future at the moment.

TheHighlander
TheHighlander
10 years ago

Axe,

The very early dev kits often run in virtual environments because there is no hardware to run them in the very early stages, so it's not impossible for devs to work on something for a piece of hardware that is yet to exist.

Underdog15
Underdog15
10 years ago

How did Highlander get 2 downvotes on a post that is completely objective on a topic that he is completely in the know-how about?

TheHighlander
TheHighlander
10 years ago

I has a stalker or two apparently.

big6
big6
10 years ago

I think it would harm both Microsoft and Sony's console sales if they made announcements of a successor console at this year's E3. They don't need to announce anything yet, because both consoles are riding high right now.
Therefore, I don't think it'll happen.

Warrior Poet
Warrior Poet
10 years ago

Maybe the Wii U will be cancelled and Microsoft, Nintendo, and Sony will drop out of the business in order to pursue office software, playing cards, and high-end toasters respectively.

That's right. I'm an expert!

BikerSaint
BikerSaint
10 years ago

Unless M$ were to bow out which I seriously doubt since they want to be the Evil Empire that rules the world(maybe after their NextBox), then I call BS on Gaikai & this is just a little chest-pumping to bring them free publicity.

However, MS did just announced that they've cancelled their own newly planned TV service(that all us 360 owners haven't even seen yet, I mind add). M$ said it was due to the legal aspects of trying to line up & sign each service with in every area.

Anyway, no matter what….Sony's next-gen console won't be disappearing.


Last edited by BikerSaint on 1/12/2012 4:28:28 PM

Geobaldi
Geobaldi
10 years ago

Seeing as how Kaz Hirai stated that he still sees the PS3 as a 10 year system at this years CES, it wouldn't surprise me to see Sony wait longer then the other companies to enter the next gen era.

big6
big6
10 years ago

I can see that happening, too, since the PS3 already has a Blu-ray drive. Whatever next Xbox comes out will have a media drive with equal or similar storage size.

It won't be the same wide disparity it is currently, between DVD and Blu-ray, for sure…

firesoul453
firesoul453
10 years ago

Ya thats the only possibility of this being true, but I hope its not

airwedge1
airwedge1
10 years ago

It is probably just a play on words. MS maybe won't call it the xbox, and instead call it the windows 8 home media device, but in the end it is just the next xbox. Or microsoft sells or outsources the physical making of the machine to somone else.

Something stupid along those lines.

mikedifr
mikedifr
10 years ago

Take it for what it is worth, I know not everyone believes what others on a message board say…but I can confirm 100% that Microsoft is working on a new "Xbox" A friend of mine works for Microsoft and has mentioned it to me several times….its going to be basically fully based on Kinect from what I have been told. So either its Sony not doing one, the new "xbox" will be a casual gaming machine, and the comment of not joining the next generation means microsoft is just not going hi-tech (or a play on word like the poster above me) or the most likely scenario like someone mentioned, this statement was made to get people talking…just like we are right now, haha


Last edited by mikedifr on 1/12/2012 5:43:04 PM

tes37
tes37
10 years ago

Since Sony and Microsoft both will lie to keep things secret, I doubt anyone would have information of this nature.

I believe all three console manufacturers will have new hardware eventually.

Looking Glass
Looking Glass
10 years ago

Is it just me or is there something funny going on here? This pretty much outright contradicts that other source that indicated that everyone will be introduces new consoles.

But in any case I think it's a distinct possibility that Nintendo is going to officially scrap their Wii U plans and bow out of the console race. I believe the reasons for this need not be brought up.

firesoul453
firesoul453
10 years ago

Why would they completely design a new console, create a lot of hype, get 3rd party developers to start making games, and then just quit

The only way this will happen if it is sony because if they skip a generation, they can guarantee a 10 year lifespan and then rush the next next generation.

Looking Glass
Looking Glass
10 years ago

@ firesoul453

The Wii's sales are in a tailspin and the Wii U failed to impress both investors and consumers alike. Nintendo is taking an awful risk by staying in the console business under these particular circumstances instead of sticking to handhelds and software. If things don't go well Nintendo may very well end up wishing that they had quit while they were ahead.

Twistedfloyd
Twistedfloyd
10 years ago

I call BS on this one. I think Sony will be last to release a console and still support the PS3, but there's no way they're not releasing a new console I think.

kokoro
kokoro
10 years ago

Well I hope it's mircosoft. Gaming saw better days without 'em.

firesoul453
firesoul453
10 years ago

Totally agree.

Sure the've created some great games but have ruining a lot of my favorite franchises and studios.

I cant forgive them for what they did to RARE

kokoro
kokoro
10 years ago

Not to mention the damage they've done to the JRPG genre.

556pineapple
556pineapple
10 years ago

I think it's BS, but if it's not, has anyone considered it might just be clever wording? Since Nintendo hasn't revealed any specific details about their hardware for the Wii U, so one could possibly argue that the system, isn't truly "next-gen" as some used to argue about the Wii, as it's capabilities more closely matched the PS2. Maybe a long-shot, but I can see it as a possibility, especially if all Gakai wants to do is gather hype.

Jed
Jed
10 years ago

This is along the lines of what I've been thinking.

Dancemachine55
Dancemachine55
10 years ago

If you look back at the winner of each generation of consoles, most are the cheaper consoles, not the most powerful.

Mega Drive (Genesis) / SNES: SNES – 10 million more though Genesis was more powerful

PS1 / Saturn / N64: PS1 – 70 million more than N64 though N64 was more powerful (but less game storage space with cartidge over CD)

PS2 / Dreamcast / Xbox / Gamecube: PS2 – 129 million more than 2nd place runner, Xbox!!! AND Xbox and Gamecube were more powerful!!

PS3 / Xbox 360 / Wii: Wii – 23 million more consoles sold than 2nd place runner 360, and by far inferior in graphics and processing power to 360 and PS3.

So there you have it. If Sony make the PS4 like the PS3 with slightly better RAM and a new video card, keep Blu-ray and put their resources into expanding and improving the PSN, Sony might just have a financial winner on their hands.

And more money for Sony means more new and risky games for us!!!

TheHighlander
TheHighlander
10 years ago

You're getting a little bit previous awarding the 'winner' of the generation to the Wii aren't you? Wii sales are collapsing, the WiiU launches this year (supposedly), PS3 sales continue to accelerate, and it's likely to take the global lead for HD consoles this year in pure unit sales, it already has more active units world wide than 360 does. If the PS3 continues to sell for another 5 years, which it will, it will easily eclipse the numbers of Wii sold.