All Xbox 1st party exclusives also come to PC, but so far, it hasn't reduced sales compared to XBO (launch aligned). If not for supply issues it'd likely be selling even more than XBO. And we'll all agree that at launch almost all MS 1st party exclusives were not available on PC.
Normal take with a grain of salt disclaimer.
Xbox Series X|S vs Xbox One Launch Sales Comparison Through Week 12 - Xbox Series X|S Takes the Lead (vgchartz.com)
This would seem to lend credence to the assertion that some analysts (including myself, although I'm not an analyst) have said that while there is some overlap between console consumers and PC consumers, it isn't much.
This shouldn't come as a surprise as the serve 2 demographics that are divided by not only price (someone that won't pay launch prices for a console is unlike to pay for a gaming PC) but convenience and just plain platform preference. And while some PC gamers might get a console due to price, for the most part PC will remain their main gaming machine. IE - these gamers aren't the type that console makers want anyway since they'll buy most multiplatform games on PC.
That last one is, IMO, one of the main motivators for MS putting their exclusives on PC day and date. Why potentially sell an Xbox console at a loss to a gamer that is unlikely to buy enough exclusives to recoup the loss generated by the hardware? Sony may be thinking the same thing. Why sell the PS5 at a loss to a gamer who is only ever going to buy exclusives which may not even cover the loss generated by the hardware sale? Why not just make a profit with no loss in hardware by just selling the game to them on PC?
In general, people that play on console do so for reasons other than exclusives. And people game on PC regardless of exclusives.
Where console exclusives are important is influencing the choice of console platform a person gets if they are the type of person that wants to game on console.
Looking at profitability, as a console maker, you want to attract people to the console that will buy all or the majority of their games on console. If the consumer is the type of gamer that prefers all their multiplatform games to be on PC, then as a console maker, you aren't going to make much, if any, profit off of them. Sure it'll inflate your console hardware base numbers for bragging rights, but it's not bringing in much revenue. Instead, you can make far more profit by selling to them on PC while you continue to sell your console to people that buy all or the majority of their games on console.
TL: DR - and there are of course, always exceptions to the below.
- In general, PC gamers that also game on console generally only buy exclusives on console and everything else on PC.
- These consumers aren't the ones that either Sony or MS want buying their console.
- These consumers either generate a loss or an almost insignificant profit.
- The loss is magnified at launch if the sale is preventing a console consumer (next bullet point) from being able to buy a console.
- In general a person that has console as their chosen gaming console (where they buy their multiplatform games) are still going to game on console even if the exclusives are on PC, these are the consumers that the console makers want.
- The largest profit generator is royalties from 3rd party game sales.
- Console makers want gamers that buy all or most of their multiplatform games on console.
- In which case, selling your exclusive on PC leads to extra profit.
- Expensive hardware goes only to people that also buy games on console.
- higher profit margins or potential for selling your console at a larger loss.
- Extra revenue from PC gamers that will never buy a console.
IMO, there's almost no downside to selling 1st party exclusives on PC. The PC and console markets are just too different and as a console maker you really don't want someone that only buys your console for the exclusives and nothing else.
I mean sure you can inflate your console install base numbers, but that's only useful for bragging rights.
Regards,
SB