Microsoft: Next-gen console sales could hit 1 billion

Xbox maker believes non-gaming entertainment capabilities of next-generation consoles can lead to record sales.

Microsoft believes next-generation consoles will sell over 1 billion units and aims to elevate the long-running Xbox 360 to 100 million sold in the next five years.

Speaking with OXM, Microsoft senior vice president of Interactive Entertainment Business Yusuf Mehdi claimed the consoles' deep media opportunities will lead to record industry sales.

"Every generation, as you've probably heard, has grown approximately 30 percent," Mehdi said. "So this generation is about 300 million units. Most industry experts think the next generation will get upwards of about 400 million units. That's if it's a game console, over the next decade."

"We think you can go broader than a game console, that's our aim, and you can go from 400 million to potentially upwards of a billion units," he added. "That's how we're thinking of the Xbox opportunity as we go forward."

Speaking specifically about the Xbox 360, Mehdi said he is hopeful that the aging platform can reach 100 million units sold in the next five years. Sales currently stand at 77 million. He explained that Microsoft has a number of ideas in mind to go about achieving the milestone, one of which is "new price points."

"We believe over the next five years we can break a 100 million unit installed base," Medhi said. "That's something we're shooting for; it's not a financial plan as such, it's just rough numbers if you will. To sell another 25 million, half of those will probably come from replacements, but half will come from new buyers."

"And the way we'll break into those segments is by hitting new price points, getting new classes of entertainment to come with the Xbox, and breaking into new customer segments," he added. "So you'll see the Xbox 360 continue to exist, even as we launch the next generation Xbox One."

Microsoft Game Studios executive Phil Spencer said earlier this week that the Xbox 360 will be "very vibrant" for years to come and even teased a "huge" announcement for the platform to be made next month at the 2013 Electronic Entertainment Expo.

"I think the [Xbox 360] is going to be very vibrant for many years. In fact, we have a huge, I think it's huge, [Xbox 360] announcement for E3 that I keep wanting to talk about, but I can't," Spencer said. "I think it will surprise people. I loved what we did last year with Minecraft; bring Minecraft to the box; six million units later it's kind of a beast. I think there's a lot of life in the [Xbox 360] for years to come."

Nintendo's Wii U launched last year and has sold 3.45 million units to date. The Xbox One and PlayStation 4 are due to launch later this year. Neither company has provided sales forecasts for either device yet.

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Discussion

1291 comments
FarginIcehole
FarginIcehole

Delusional is the word that comes to mind!  If MS believes they will get even 40% of that number, they are out of their minds!  Just a quick fun fact...they would need the support of the entire planet to be a part of achieving that number and with the original Xbox, only 500k systems sold in Japan, followed by only 1.65 million Xbox360 consoles in Japan.  Japan usually matches North America and Europe in console sales and you can see that Microsoft simply isn't satisfying the Japanese.  Even the Wii U has surpassed lifetime sales of the original Xbox and is closing in on lifetime 360 sales in Japan with only 900k units sold in that country so far.

Keep dreaming Microsoft!

blackothh
blackothh

i dont think its called a sale when they pay people to take their crapbox

kaiserdisco
kaiserdisco

yeah they could sell a billion units... just none of those will be from xbox one

Tempestoffrost
Tempestoffrost

The Xbox 360 has not quite reached 100 million units sold in its 8 year lifespan, so obviously we expect that our new console has the potential to sell ten times that amount. Unless this this thing cost 100 bucks at launch I seriously think some people are going to be sorely disappointed. Well, at least they believe in their product, though I seriously doubt a seventh of the worlds population will own one of these, that's probably around one Xbone in every third of fourth household on the planet.

aamir69
aamir69

"Microsoft: Next-gen console sales could hit 1 billion"

And then the morning alarm will go off. ting ding ting ding ting ding

TransvormerSCol
TransvormerSCol

"Microsoft: Next-gen console sales could hit 1 billion"

No it can not, no matter what you say.

marius068
marius068

Sure make a gaming console for non gamers Genius Microsoft utter Genius !

KrazzyDJ
KrazzyDJ

I'm assuming that they're talking about the big three console sales combined which puts their estimate of the next XBOX ONE sales at around 300 million units. Else, he's clearly crazy !!! 

tionmedon
tionmedon

what r they smoking M$ can`t sell 100 million n 8 yrs what makes them think they can sell a billion........................fap it............

TC_Squared
TC_Squared

Yeah right, and Israel and Palestine will come to peace. The total sales of PS3, 360 and Wii combined doesn't equal anything near that. Eventually console sales may be that high due to growth in video game fan-base and increase in world population, but it's not going to be as soon as next console generation.

hitmanforever
hitmanforever

MS its okay we know that you know that the Xbox One sucks.

lostn
lostn

They won't hit 1 billion. Xbox execs believed the 360 by itself would sell one billion. They're not even 1/10th of the way there yet.


For next gen consoles to reach one billion, then each console (and this is including Wii U as 'next gen' which I normally would not) must sell an average of 333M units. That's a pipe dream. The combined sales of current gen consoles (PS3/360/Wii) don't even reach that figure.

MS is losing touch with reality.

wyan_
wyan_

Xbox gamers believe non-gaming entertainment capabilities of next-generation consoles can lead to record fails.

rad8045
rad8045

As much as the system looks like a second top box for your TV and not a gaming console the masses will buy this because Microsoft and the media  told them too, Just like the masses always buy every iPhone because the media and apple tell them too.

sylvzz
sylvzz

A videogame that cares about non-gaming stuff.WOW! Thats really what i dont need ^_^

As someone who has been buying Playstation consoles since PS1, i actually wanted to make a change in this new gen, maybe buying the new Xbox, since 360 was a great console(despite some errors we all know). But Microsoft keeps pushing me to the PS4. I dont have enough time to play 2 consoles, gaming is my favorite entertainment, and i dont want to support a company that dont care about games on a videogame. And well, PS4 exclusives are totally like *_*.

Btw, i really hope Xbox fails this time. It would be a good lesson for them. I got many friends who got 3RL back in 2006-2007 and had to buy another console...I think the community is right by supporting PS4. When PS3 was launched, a lot of poeple start saying that it was a huge fail, becouse of the lack of exclusives and stuff. But Sony came back from that and now PS3 is the best console ever to me.

Go for it, Sony!


LoganWesker
LoganWesker

and i could be god


both systems will under perform...huge opening but no real growth/longevity after. 

Blalex123
Blalex123

Damn shame when a company expects so many replacement copies of their product.

Mr720fan
Mr720fan

probably going to happen, my wife was talking to people at a party how she saw the xbox one and how impressive it was.   Bottomline is casual market is going to be Xbox ones, and Fios, Cablevision, Triple play providers will provide this as part of a contract agreement to sign up with them.   Sorry guys, but its the truth, I wish it was a more powerful gaming machine as well.

ZoTrAcK
ZoTrAcK

this guy is having a tough time with maths

RAD_RADIO
RAD_RADIO

Yeah... in your bra! *ba duh dum chhh*

Disturbed_88
Disturbed_88

1 billion is not aiming high guys, it just means a 6-month life span for each console...

Immolation01
Immolation01

Of course you will have 1 billion next gen sales Microsoft, of course :>  Lol I dont know if they are stupid or if they are just pretending to be...  Xbox One barely offers something worth of buying. Nothing interesting, just pure restrictions and useless adds. 

AngelCage-2
AngelCage-2

Microsoft is aiming way to high... the CRASH will be spectacular.

BamaGoatt
BamaGoatt

If that happens I will move to a third world country and escape this loony bin world.

JackHarker
JackHarker

Microsoft thinks their TV console could sell a billion?...are they fucking stupid?

ctusmarsius
ctusmarsius

I'm both amused and shocked that Microsoft is basing its projections solely on past performance, without any consideration whatsoever that the product might not be up to par. They're including so many "screw you, consumer" features in the Xbox One that I'm skeptical it will be as successful as the 360, let alone grow by 30%. They might as well shout with a trumpet, "we want more of your money and don't care if you're inconvenienced." Of course they want to make a profit - but nobody in the history of business has had a successful business by not giving the customer what they want.

mrnytrox
mrnytrox

Maybe in teh Usa, but here in europe we are almosto sure that Xboxone will be a big flop !

waltercross38
waltercross38

Oh I get it, MS Meant 1 Billion next generation consoles COMBINED, PS4, Wii U and XBO. 

carolino
carolino

Lets make it one trilion?

SgtSilock
SgtSilock

Yawn, they said this with the 360. 

TigusVidiks
TigusVidiks

So, they plan to sell 3 consoles to each american...

rad8045
rad8045

The average city dweller does not think for themselves, the media tells them what they like and what to buy. 

montblanc512
montblanc512

Can... Can I buy whatever it is you're on? 

djpetitte
djpetitte

@JackHarker 

if people want other forms of entertainment. why would they look to a gaming console. If MS puts gaming on the back burner of this console, then kiss it goodbye because middle to late age people who can afford the costs of having  wont give a shit. yes, even seeing them advertised on a gas pump lcds.  People under low 30s are too tech smart for that.  

mikemaj82
mikemaj82

@mrnytrox that's because Europeans don't sit in front of their TVs four hours a day

rogue81
rogue81

I'm pretty sure that's the concensus over here too, mrnytrox. E3 is their last chance to redeem themselves. I love my 360, but I really don't appreciate how they've handled the announcements so far and it's hard to give them the benefit of the doubt when everything they've showed about their "gaming console" hasn't been about gaming.

klakier82
klakier82

@mrnytrox for 100% .....but they dont give a f**k about Eu so i dont give a f**k  about them....sure hope PS4 will not let me down.

AngelCage-2
AngelCage-2

@waltercross38 First WiiU is last gen, not nextgen. Second i dont think that 10 million systems sold on 3 or 4 years will help that much to reach such number...

AngelCage-2
AngelCage-2

@carolino Well, screw a trillion! EVERYONE on the planet will have a BOX (as microsoft full of stupidity calls their own product... Im sure that i have seen a "BOX-MEAL" thing on KFC), Lets sale a Gazillion BOXES!

AngelCage-2
AngelCage-2

@TigusVidiks If they are counting replacement units for a next gen RROD as new sales, then maybe...

DukeMagnum
DukeMagnum

@montblanc512 he's probably right. people that don't know anything about video games other than "haha this button makes me shoot" think the xbox one is amazing. and this thing is getting the attention of the legit news media and mainstream awareness in general, so much so that i saw it on the lcd screen at a gas pump... this runs pretty close to what happened with the Wii. Also, MS will probably partner with cable companies... sign up for 2 years of service, get an Xbone for free or for $100, etc. Then whatever other subsidized options they have.

AngelCage-2
AngelCage-2

@rogue81Microsoft have shot themselves so many times in the foot on the last weeks; Even a awesome E3 conference can't clean all the stupidity they have shown about xBox One

waltercross38
waltercross38

@AngelCage-2 I'm just messing around, I know MS really does mean just the XBO, That's incomprehensible. So I had to throw in the PS4 AND wII U, this way it makes a little more sense. I don't think the XBO Will appease much to hard core gamers so MS will have to focus on Movie buffs and cable providers.

rogue81
rogue81

@AngelCage-2 Technically speaking, the WiiU is considered next-gen. Its hardware may not be up to par with the One and PS4, but these two systems are supposed to be it's main competition. It's not really working out so well for Nintendo, but the WiiU is technically their next-gen system.

ohjtbehaaave
ohjtbehaaave

@waltercross38 @AngelCage-2  Whether Wii U is considered this gen or next gen (it is doing HD graphics now) doesn't matter to most. I'd get a Wii U over this Xbox1 because at least Nintendo kept the core gamers in mind with the system being BC with Wii games, the controllers and being able to transfer all your DL games etc... over to the Wii U.  MS and Sony just expect gamers to turn the page and move on to their new systems and forget all the $$$ invested in PS3 and 360?  Fuck off.  

If you ask diehard gamers what they would prefer from Xbox1 and PS4. All this Social Media and TV integration bullshit... or a more powerful GAMING console that is BC and will also allow us to transfer all our PSN and LIVE stuff over to the new systems?  The answer will be obvious... and it won't be we want our Xbox to tune over to the Oprah channel via voice command. We want the best gaming experience possible... which means carrying over our current game libraries. They have basically told core gamers to not bother with the Xbox1 and stick with your 360 if you're all about just games.