Wedbush Securities analyst Michael Pachter has opined that the PlayStation and Nintendo exclusives model is “wrong” and “broken.” In an episode of Pachter Factor, the veteran analyst suggested that Microsoft is taking the correct approach by bringing some of its games to other platforms while keeping others exclusive.
PlayStation and Nintendo exclusives model is outdated and no longer works, says Michael Pachter
Microsoft ruffled quite a lot of feathers among the Xbox community by announcing games like Sea of Thieves and Hi-Fi Rush for the PS5. The company has repeatedly indicated that it wants to move away from complete first-party exclusivity, and wants to bring some of its lineup to as many platforms as possible.
According to Pachter, Sony and Nintendo are still following an outdated model that worked up until the mid 2000s, but doesn’t make financial sense anymore. “The Nintendo model and the Sony model of proprietary titles on proprietary platforms is the wrong model. It’s a broken model,” Pachter said. “Supporting your content by managing the distribution on your platform is like a movie studio owning a chain of movie theaters and the only way you can watch their movie is in their theaters.”
Pachter is of the view that although platform exclusives make money, they are forgoing a lot of revenue by skipping other platforms.
