Sony and Microsoft resume game console battle
Sony is hoping for blockbuster sales of its new PS5 games console and a leg-up in the battle for dominance with Microsoft, which will launch its Xbox Series X console in the late autumn.
Last week Sony released a preview of its new PS5 games console, due in shops before Christmas, says Matthew Field in The Daily Telegraph. Sony is hoping for“blockbuster” sales and a leg-up in the two decades-old battle for dominance with Microsoft, which will launch a competing machine in the late autumn, the Xbox Series X. This comes as lockdown has “super-charged” the gaming market, with reported sales of Sony’s PS4 console and Microsoft’s Xbox One more than trebling in the first half of the year.
Both companies’ new offerings seem highly advanced compared with the current generation, says Dan Gallagher in The Wall Street Journal. They boast faster processors, better graphics and more storage. Still, the ”harsh” global backdrop may persuade cash-strapped consumers to stick with “cheaper options” such as second-hand copies of current models. The fact that production in the games industry has been hit by the pandemic, with programmers forced to work from home, is also a worry as new games “are key to selling new consoles”.
A bigger concern is the shift towards streaming games on the internet, says Kosuke Shimizu and Ryosuke Arasawa in the Nikkei Asian Review. If 5G mobile technology spreads fast people “will be able to enjoy high-definition games on their smartphones or standard PCs”, rendering consoles redundant. So, it is no surprise that Sony will make the PS5 “backwards-compatible” with older games to minimise disruption for the 41.5 million users of its subscription service that allows them to play online with other gamers.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.

-
Metals and AI power emerging marketsThis year’s big emerging market winners have tended to offer exposure to one of 2025’s two winning trends – AI-focused tech and the global metals rally
-
8 of the best houses for sale with beautiful fireplacesThe best houses for sale with beautiful fireplaces – from a 15th-century cottage in Kent to a 17th-century palazzo in Oxfordshire
-
Metals and AI power emerging marketsThis year’s big emerging market winners have tended to offer exposure to one of 2025’s two winning trends – AI-focused tech and the global metals rally
-
8 of the best houses for sale with beautiful fireplacesThe best houses for sale with beautiful fireplaces – from a 15th-century cottage in Kent to a 17th-century palazzo in Oxfordshire
-
King Copper’s reign will continue – here's whyFor all the talk of copper shortage, the metal is actually in surplus globally this year and should be next year, too
-
Luana Lopes Lara: The ballerina who made a billion from prediction marketsLuana Lopes Lara trained at the Bolshoi, but hung up her ballet shoes when she had the idea of setting up a business in the prediction markets. That paid off
-
British blue chips offer investors reliable income and growthOpinion Ben Russon, portfolio manager and co-head UK equities, ClearBridge Investments, highlights three British blue chips where he'd put his money
-
Coreweave is on borrowed timeAI infrastructure firm Coreweave is heading for trouble and is absurdly pricey, says Matthew Partridge
-
Renewable energy funds are stuck between a ROC and a hard placeRenewable energy funds were hit hard by the government’s subsidy changes, but they have only themselves to blame for their failure to build trust with investors
-
Profit from document shredding with RestoreRestore operates in a niche, but essential market. The business has exciting potential over the coming years, says Rupert Hargreaves