The net result is that traditional consoles are about as far removed from average consumers as they could be. There is clearly a core gamer market, and Sony and Microsoft are fighting ferociously for it, but no one is growing the pie. I think there is an opening.
Imagine a new TV product, with two models:
- $99 with a full set of entertainment options, but no gaming
- $179 with a full set of entertainment options, plus gaming
Thompson is overthinking it with the “two models” thing. I think there’ll be just one model, $99 (or even less). The only upsell for gaming would be optional controllers (including any of the third-party controllers iOS already supports).
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