Sony – Horrible histories.

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Sony looks to be risk of another historic loss.

• Sony’s apparent refusal to allow multiplayer gaming between the PS4 and Xbox in multiplayer game Fortnite, is born from the fear of losing users and software sales but may precipitate exactly that if annoyed users vote with their feet.
• Sony’s history is mired with multiple incidents where its insistence on proprietary software and locking its users into its platforms has cost it a dominant market position and its attitude to towards PS4 users indicates that very little has changed.
• The game in question is called Fortnite: Battle Royale which has been a major hit for Epic Games where support for iOS and Android has been added to its list of platforms that already includes PC, Mac, PS4 and Xbox.
• However, while PS4 and Xbox players can play against players on all of the other platforms, they cannot play against each other.
• It is important to note that the Fortnite multiplayer gaming environment is on Epic’s servers so there is no technical reason at all why all players can not play against each other.
• In fact, Epic accidently enabled PS4 and Xbox interoperability in September but this only lasted for a few hours before it was turned off after being described as a “configuration issue”.
• I suspect Epic enabled it by accident and was then ordered by Sony to turn it off
• Microsoft EVP of Gaming, Phil Spencer said “I would have liked to see them leave it on” when answering questions about the issue which to me is a clear indication of Microsoft’s position on interoperability.
• Sony’s position is somewhat understandable as it has managed to win a dominant position in the current generation of consoles outselling Microsoft by 2 to 1.
• As a result, its PlayStation Network multiplayer system has roughly double the number of users as Microsoft’s Xbox Live.
• This makes it many times more valuable and a much better place to find an online match than Xbox Live thanks to the network effect.
• In Sony’s mind, interoperability with its arch rival would reduce the draw of its network and thereby reduce the appeal of its platform.
• To Sony this constitutes a threat, explaining its refusal to allow interoperability but it also demonstrates just how little Sony understands about the ecosystem.
• In these sorts of environments, allowing interoperability would result in a big increase in usage in both networks and hence more value for both companies.
• Instead, by sticking its toes in, Sony risks its users getting annoyed and deserting its platform in the next generation.
• This is the mindset that I think cost Sony its dominant position in portable music as well as a strong position in mobile phones.
• It seems that Sony has not really internalised the mistakes of its past and as a result is at risk of repeating them when the next generation of consoles launches.