Pachter: “Sony Is Not Big Enough” to Afford Paying Publishers for PlayStation Now like Netflix Does

on February 9, 2014 4:04 PM

Wedbush Securities analyst Michael Pachter is known to be very vocal in his judgment of the initiatives of console manufacturers, and according to him Sony simply isn’t big enough to foot the bill that would entice publishers to put their content on the upcoming PlayStation Now streaming service, as he told on the Bonus Round webcast.

The math doesn’t make sense for the content owners. If the math doesn’t make sense for the content owners, it isn’t gonna happen.

So The lower the subscrition price, the less likely this thing will work. If it’s a thirty dollars subscription price, which the publishers will embrace, then no one’s gonna sign up.

I don’t think you could make it work. Netflix is the anomaly.The low price subscription plan with tons and tons of content… They did a bunch of really clever deals early on to make that happen, and then they got big enough that they can afford to pay.

Sony’s not big enough to afford to pay that kind of dollars. They don’t have that much money.

As usual, I have my reasonable doubts on the assessment: while it’s true that Pachter knows the industry better than many, Sony doesn’t seem to be exactly struggling for money lately, especially considering the recent acquisition of one of the most advanced semiconductors plants in Japan, and the fact that the corporation doesn’t seem to be too scared about investing a whole load of cash on expanding its production.

I might be wrong of course, and as usual we’re going to wait and see what will happen when the service will launch this summer.

 /  Executive News Editor
Hailing from sunny (not as much as people think) Italy and long standing gamer since the age of Mattel Intellivision and Sinclair ZX Spectrum. Definitely a multi-platform gamer, he still holds the old dear PC nearest to his heart, while not disregarding any console on the market. RPGs (of any nationality) and MMORPGs are his daily bread, but he enjoys almost every other genre, prominently racing simulators, action and sandbox games. He is also one of the few surviving fans of the flight simulator genre on Earth.