David Rosenthal: uncertainty

Transcript context

…Yup. I don't know if it took the pandemic or just this current generation of consoles with the series X and S Xboxes and the PS5, but I feel like these companies have finally woken up that like, guys, video games are the largest medium by revenue out there, and they shouldn't be strategy devices to achieve other aims. You should just focus on the business itself. Yeah. If you sum up all of music, all of Hollywood, and then multiply it by two, two and a half, then you get the video games market. It's ginormous. That wouldn't have been obvious even 10 years ago. It's now a sprint. The question is, who has the better strategy? And because we haven't explicitly said it, Sony's strategy is more of the same, make the best console, try like hell to get the supply chain in order to be able to actually fulfill them. It's going to be a reasonably expensive console, but that thing's going to be awesome. Microsoft's is, huh, well, I bet we can make this as a services revenue line. It's a very Tim Cook way of looking at it. If you look at what Microsoft's done with Game Pass, which is brilliant, they're making it sort of financially irresponsible to buy one of their devices outright.…

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