Xbox One has struggled to keep up with Sony (NYSE:SNE), and their latest gaming console. The PlayStation 4 has widely outsold the Xbox One, or anything else that Microsoft (NASDAQ:MSFT) has had on the market for a number of reasons – but this weekend yielded a slightly different outcome for those at Microsoft. According to InfoScout, Xbox One accounted for 53% of all consoles that were sold in stores on the busiest shopping day of the year – while PlayStation 4 accounted for just 31%.
However, one weekend of sales should not be rendered as a colossal turnaround for a struggling Microsoft with regards to their success in the console market. In fact, Sony has largely outperformed Microsoft the entire year – recording more than 784,000 units sold since the launch of the console. Glitches in previous models, bad design, and a very poor collection of online content – especially in the exclusive content category – all derailed Microsoft as a whole with regards to the Xbox One, compared to Sony’s PlayStation 4.
The struggle was especially tough for Microsoft’s Xbox Japan division. This weekend it was reported that Takashi Sensui – who took on the lead role of the division in 2006 would be resigning amid year-after-year sales freefall for the company. However, it was noted within the company in external memos that he would not be leaving the company entirely, and the move was not due to those failures as a brand in Japan. Rather, Microsoft spun the resignation as a move that would put him in the United States working from the HQ.
Microsoft is calling the move a part of a “global reorganization of the Xbox business,” which makes sense to a certain degree – but ultimately – reorganization is typically due to poor performance. That is not always the case, but it would not be a stretch to make that case with the performance being as poor as it has been through the Xbox division as a whole.
The competition with Sony in the latter half of the last decade has created a landscape where it is difficult to succeed without doing damage to other brands or spending too much energy focusing on one particular niche. As Microsoft moves toward reorganization, this will give the company an opportunity to breathe a sigh of relief as they won at least one major battle through the holiday season this past weekend.