Microsoft Skips Tokyo Game Show This Year

[Steven Bogos]

Microsoft Skips Tokyo Game Show This Year

Following dismal Xbox One sales in the region, Microsoft will not attend Tokyo Game Show this year.

Earlier in the year, we reported that Microsoft's sales of the Xbox One in Japan were at an all-time low [http://www.escapistmagazine.com/news/view/141313-Xbox-One-Sales-in-Japan-at-All-Time-Low], and it looks like it's starting to affect the company's corporate strategy in the region. Today, Microsoft has announced that for the first time in several years, it will not be attending Tokyo Game Show.

Japanese magazine Famitsu [http://www.famitsu.com/news/201507/10082945.html] first reported the news, and while Microsoft declined to comment on its reasoning, we can only assume that the dismal sales were the main driving force behind the decision.

Microsoft launched the Xbox One last September in Japan, as it launched in a "tier 2" region. Microsoft Japan president Yasuyuki Higuchi had previously lamented his struggles [http://www.escapistmagazine.com/news/view/125720-Microsoft-Struggles-to-Adapt-Xbox-One-to-Japan] in adapting the device to the market, and it looks like the company may be finally looking at pulling out of the region entirely.

The Xbox brand has always struggled in Japan, where its gamers prefer JRPGs and action-adventures over FPS and sports games, but its doom can also be attributed to rise in portable gaming - particularly smartphones - in the region.

Source: MCV [http://www.mcvpacific.com/news/read/asia-microsoft-skipping-this-year-s-tgs/0152753]

Permalink

 

[LordLundar]

Not a surprise really. Last year while the Nintendo and Sony areas were packed, the Microsoft staff were behaving like those kiosk vendors in malls, practically begging anyone that went by to go into their area.

 

[Lightknight]

Microsoft has done hilariously badly in Japan. While Sony and the WiiU have both sold around 1.5 million and 2 million units respectively in Japan since launch, Microsoft hasn't topped 55 thousand units total (last year they sold just over 45,600 units and this year they're around 9,200 to date). If they can't even sell 100,000 units there in their best year then that is a totally dead market and not worth the costs involved with having an event presence.

Seriously, Japan hates Microsoft's consoles. The 360 also did dismally (but less badly).

 

[Rad Party God]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

 

[Hairless Mammoth]

Is this a sign they're actually giving up? If not, it's at least good they aren't wasting time going to a trade show where the audience will basically ignore them. I'd hate to be the employee trying to prove my product's worth to people who are dead set on my competitors' offerings.

MS would probably have a better chance of wrestling some of Japan's mobile market away from Apple. That is better than trying to take market share of an increasingly niche format away from firmly planted opponents. If they want to throw money away, it's the slightly smarter option.

 

[balladbird]

You know who this makes me feel bad for? the few thousand poor japanese saps who own Xbones... With a decision like this, it won't be long before Microsoft pulls out of the region entirely, and those expensive devices they bought become little more than doorstops... thank god microsoft backpedaled on the always online thing, I guess.

 

[09philj]

It makes sense. Home consoles are declining in Japan, and XBox wasn't the most popular brand anyway. Nintendo and Sony at least can compete with the 3DS and Vita (Which actually has games in Japan).

 

[FoolKiller]

My hearts go out to the Japanese Xbox fans. It's just like when we aren't getting the localizations of Japanese games that we want. It's a shitty feeling.

But Microsoft is to blame for this. They took almost a year after to launch the system in Japan. Savvy gamers wanting the latest thing had only one option for over six months. This, tied to the fact that the Xone wants to do more of everything but can only really shine in the US market with its features, makes the Xone a poor choice for a gamer.

 

[gorfias]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

It is a terrific console and has things that make it even better than the PS4. I own and love both, but because I was able to add a 3 TB external USB 3.0 drive to the XB1 and its existing 1/2 tb drive, it will be my system of choice for buying most new games. The PS4, with its 1/2 TB of easily filled drive space, will be reserved mostly for exclussives.

If the Japanese really knew that, I wonder if it would sell better?

 

[Gatlank]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

It is a terrific console and has things that make it even better than the PS4. I own and love both, but because I was able to add a 3 TB external USB 3.0 drive to the XB1 and its existing 1/2 tb drive, it will be my system of choice for buying most new games. The PS4, with its 1/2 TB of easily filled drive space, will be reserved mostly for exclussives.

If the Japanese really knew that, I wonder if it would sell better?

The Xbone is more US market focused. Some of it's features can only be fully enjoyed there or countries that share the same services (their marketing pratically made sure everyone knew that).
I still remember thinking during most of the presentation 'I cant use that feature in my country. That isnt even available here'.
The Xbone wasn't a "global console" it was an "american console" build for the american consumer.
In the traditional japanese market it wouldn't last.

 

[shintakie10]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

It is a terrific console and has things that make it even better than the PS4. I own and love both, but because I was able to add a 3 TB external USB 3.0 drive to the XB1 and its existing 1/2 tb drive, it will be my system of choice for buying most new games. The PS4, with its 1/2 TB of easily filled drive space, will be reserved mostly for exclussives.

If the Japanese really knew that, I wonder if it would sell better?

It still wouldn't sell better.

The Xbox One (and the 360) are most definitely considered "American products" in Japan. The marketing is American and the games are American.

The PS4/Wii U aren't. They're very clearly Japanese consoles, made by Japanese companies, and marketed to the Japanese for the Japanese.

Microsoft never bothered to try to change up marketing strategies in Japan because their strategies worked everywhere else. Its why their products don't (and wont) sell in Japan. Granted even if they did at this point, I still doubt they'd make any sort of meaningful market penetration with history working against them.

 

[Something Amyss]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

Really? You're surprised it's taken Microsoft a decade to figure out something is a bad idea? Because to me, that seems like...Saturday.

 

[RicoADF]

I'm more surprised at the fact that Microsoft still even tries to sell the Xbone in Japan.

It is a terrific console and has things that make it even better than the PS4. I own and love both, but because I was able to add a 3 TB external USB 3.0 drive to the XB1 and its existing 1/2 tb drive, it will be my system of choice for buying most new games. The PS4, with its 1/2 TB of easily filled drive space, will be reserved mostly for exclussives.

If the Japanese really knew that, I wonder if it would sell better?

You realise that the PS4s hard drive can be upgraded right? I have a 1TB in my PS3 and plan to grab a 3TB for my PS4. Also because its installed in the system it will run far better than a USB HDD. Microsoft is the backwards one here, forcing users to use their expensive and small locked down hard drives. The Japanese audience knows this and probably already have 4 or 5 TB HDDs in theirs 😋

 

[gorfias]

You realise that the PS4s hard drive can be upgraded right?

With 2.5" correct. Are they making a 3 TB version? Or is 2 TB the limit at this time? And when you upgrade it, your 2 TB replaces the 1/2 tb so, for about $120 you'll have a total of 2 TB.

My External 3 TB at that price did NOT replace my 1/2 TB, so 3.5. I just put Assassins Creed 4 on it from Gold. Works just fine.

That written, I will likely get the 2 TB, take out the 1/2 TB, put that in an external case and attach it as external space for my Wii U.

Yeah, I'm that crazy. And having fun.

 

[Arawn]

That's a shame to be said. I'd think Microsoft would make an effort even if the sales are low. Giving up on a market would be loss for the industry. Oh wells. Hope they make up for it in other shows/conventions.