Xbox explores new business models to keep next-gen console affordable amid hardware cost crisis
By
Andy Robinson
Slow-proofed and worth the wait. Worth its weight in flour.
Summary
Xbox CEO Asha Sharma has indicated the company is exploring "radically different business models" to make its next-generation console (codenamed Helix) more affordable, responding to what she describes as a hardware "crisis." Originally planned as a premium, cutting-edge system, the console's development has been impacted by soaring costs of memory and storage components driven by AI datacenter demand, which has also forced price increases across PS5, Xbox, and Nintendo Switch. Xbox is now rethinking its approach to pricing and business strategy to address affordability challenges in the current market.
Key quotes
· 3 pulledXbox CEO Asha Sharma has suggested the platform holder is looking at ways to make its next console, codenamed Helix, more affordable, amid an ongoing hardware 'crisis'.
When the previous leadership of Xbox first announced plans for its next-gen console, it was billed as a 'very premium' system, and 'the largest technical leap you will have ever seen in a hardware generation'.
the price of memory and storage components has rocketed, driven by demand for AI datacentres, forcing many consumer devices, including PS5, Xbox, and Nintendo Switch, to raise prices dramatically
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