You know, that'd be an excellent way to run themselves and everybody else in the industry into bankruptcy.
How would anyone afford essentially pushing the installed user base counter reset button to zero every year when big-budget titles can cost $100M to produce? Console platform works only because of fixed system that stays the same for years. If hardware was a constantly moving target all that would come crashing down.
That's precisely my point, they wouldn't reset the user base to zero, old consoles would play new games (at least for a while), and new consoles would play those games at higher quality settings or resolution or framerate (or all 3).
Currently Ms has all in place to achieve that: It has a platform and framework that are *designed* to run and provide applications to run on different form factors and architectures. They are also providing development tools so developers can make applications that scale from cell phones to high end gaming Pcs (and i don't mean just scaling the interface, Dx11.1 has features to test performance and scale pretty much everything on the graphics side).
Also, if you had to buy a new console every year to play the latest games, not only would you piss off all your customers of previous hardware when their stuff becomes junk just a year - at most! - down the road (good luck trying to sell a single console more than 6 months into its lifespan...
), the console hardware itself would have to be very cheap and hence very weak, since people can't afford to spend hundreds of dollars on consoles every year, and hardware manufacturers can't afford to subsidize their hardware each time a new box is released.
They actually only need to ensure the first 720 is at least on par of what Ps4 has to offer... If it can provide the same performance in the long run early adopts are going to be just as much pissed as any early adopter of each generation was, once comes a new hardware that can play the same games but better. Only that instead of Pcs that could be other game consoles.
It also enables Ms to become more agressive about prices. Knowing that they will be able to do more refreshes with the hardware than the current 8-year-generation model would allow them to have less exoteric devices which could be become cheaper faster, or maybe even get the price down faster by selling other consoles with the same performance level, but differences in hardware with newer architectures..
Think of this scenario: Both 720 and Ps4 launch in 2013, both at 450-500 dollars... In 2015 Ms offers a new revised model which by using a new architecture allows them to price it comfortably 50 dollars bellow anything Sony can price the Ps4... And a new high end option at the same 450-500 dollars... They market it very clearly that the old model is just as powerful as the Ps4, and will run all the same games PS4 will, but this new model can run those same games with more features... Do you really think that this scenario wouldn't put Ms in a very competitive position against sony?
This is the craziest idea I've ever heard. Ok, Chaphack's idea that what we now know as the xbox 360 would release with a 10GHz intel "tejas" processor maybe was even crazier. It's hard to objectively tell which idea is the worst offender!
I agree, having new hardware leaving the old ones completely uncompatible with new stuff is crazy and stupid. But i'm not talking about that
Besides, Apple's model isn't to change hardware every year and make everything new exclusive to this year's product. If it was, there's no way they'd reached the position they're in now. Instead, iOS 6 works on the iPhone 3GS, which was released like...3.5 years ago, or something. Their schtick is as close to the current console business model as you can get, and still update hardware on a yearly-ish basis.
I know what Apple's model is. I think you misunderstood what i was saying.
I meant:
Old consoles getting to run new games and apps, and having a few (but not all) of the new features.
New consoles being anle to run old and new games, and having all the new features.
After a few years (at least 4, or 2 hardware refeshes) the previous models weren't going to be guaranteed to run all the new apps, but it could run some. And if the user decide to upgrade they will have a shinny new option from the same platform he has, probably launching first than the competition which will only come years later...
Couple that with Ms current experiments with subscription based purchases, and you could be looking at a potencial SKU for the new console: Buy one at a cheaper price, bundled with 2 years of Ms subscriptions (Xbox Live, Office, Skydrive, Skype, Xbox Audio Pass), and right when this subscription expires will have a new product to upgrade.
They very much could not do any of this. but they are aligning their entire Interface and development framework, as well pricing models to allow this scenario... Could be just a coincidence, but i honestly doubt that. And i'm not saying it wouldn't be hard to pull off...