Microsoft: ‘No question’ downloads will overtake retail

**SonyJunky6191**

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Xbox VP David Gosen reveals format-holder will up the ante with mass market Xbox Live promotion

Microsoft says there is 'no question' that the sale of downloaded games will overtake the sales of games at retail in the coming years.

According to David Gosen, Xbox Europe's VP of strategic marketing and Live, “There’s no question digital will overtake physical. It happened in music and will happen to our industry."

He was talking as part of his keynote speech at Microsoft's UK Gamefest developer event in central London today.

Gosen told attendees that "convergence is happening" in the industry as consumers turn to games consoles to deliver content digitally, be that games or movies.

He said that the success of premium downloadable content for games like Rock Band and Guitar Hero, plus the success of Xbox Live Arcade proved that “digital will be the dominant force in future”.

Gosen urged the rest of the industry to be ready for the digital distribution "step changes" heralded by Xbox Live.

"We have to think about how the consumer is changing and how the ways they are accessing media is changing."

He also said that Microsoft is preparing to spend big on promoting Xbox Live in Europe as a means to attract more 360 owners and offer an active channel for those 'actively digital' consumers.

"We believe Xbox Live as the key differentiator in the business," he said. "But we haven't taken advantage of Live in Europe as much as we could have - it's been our best kept secret."

He revealed that Microsoft is preparing to make key announcements for new content available via the Xbox Live Marketplace as it looks to increase the investment supporting its digital distribution offer.

"Expect to see some big announcements coming from us about Live, specifically for Europe, in the coming month."

Speaking to MCV sister magazine Develop after his talk, Gosen hinted that the announcements would be for more Xbox Live Arcade games and more Video Marketplace content.

He said: "We’re going to focus on Live in Euope and we need to make sure that the content we offer is really strong. So in the US the deal they announced with Netflix is a big coup; it’s transformational in providing a significant amount of content on the video marketplace.

"We’ve got a good amount of content on the video Marketplace for UK, France and Germany but we’re going to be working very closely with local studios in the European markets to bring more and more content to Live. We’ve already announced a deal with German studio Constantine to release films for that market – and we’ll be doing more and more of those types of deals for that kind of content.

"And I think you will also see more activity from an Xbox Live Arcade perspective – plus, as I’ve said, premium downloadable content."

The comments on the rise of digital distribution over retail echo similar remarks made by SCEE CEO David Reeves at Sony’s own developer conference two months ago.

But Gosen’s views differ with Sony’s on one key point – which next-gen console will rule the generation. He said that digital distribution can help Microsoft towards its goal of doubling the Xbox 360 instal base globally.

“We’re going to invest in this region to ensure we win,” he said, leaving attendees to look at his last presentation slide, which bullishly proclaimed ‘We WILL outsell the PlayStation 3’.

Source

I agree with him partially. Downloads will take over, but it will be along time before it happens. Games are getting way to big for them to be digitally done, look at MGS4, it would probably take months to download that game. LOL. Movies will change to digital downloads a hella of alot quicker than games.

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**Hybrid007**

Yea i see at least 10 years because of bandwidth and stuff like that. If games are big i don't wanna wait 2 days to download it!

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TorresWorldStars

Yeah and do you reckon XBox will outsell the PS3,i dont think that will happen because have you seen all the great titles coming out next month for the PS3,there going to be great
i cant wait for them.

**SonyJunky6191**

TorresWorldStars wrote:

Yeah and do you reckon XBox will outsell the PS3,i dont think that will happen because have you seen all the great titles coming out next month for the PS3,there going to be great
i cant wait for them.

Im not going to say the PS3 is going to beat the 360, but the PS3 does have a high chance to beat the 360 because of the 10 year life cycle, but I think that Microsoft will release a new Xbox way to early and it will mess up all consoles from hear on out. Cause people will want the new system, even though it will only be a tad better than this gen. We will have to see if Microsoft wants to take over the game industry or actually make it a competition every 6 to 7 years.

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TorresWorldStars

Well it will be a close race between the two of them.

The Xbox360 does have a better online experience.
But even though it is better online,it does'nt mean it's going to beat the PS3.
We'll just have to see what happens.

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**Hybrid007**

TorresWorldStars wrote:

Well it will be a close race between the two of them.

The Xbox360 does have a better online experience.
But even though it is better online,it does'nt mean it's going to beat the PS3.
We'll just have to see what happens.

When you say better online service it really depends from which angle your looking at it. The store on PSN is better because of things such as quality over quantity and full games being able to DLed.

You would be surprised PS3 is catching up Smile

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**SonyJunky6191**

Hybrid007 wrote:

TorresWorldStars wrote:

Well it will be a close race between the two of them.

The Xbox360 does have a better online experience.
But even though it is better online,it does'nt mean it's going to beat the PS3.
We'll just have to see what happens.

When you say better online service it really depends from which angle your looking at it. The store on PSN is better because of things such as quality over quantity and full games being able to DLed.

You would be surprised PS3 is catching up Smile

It is, no doubt, when HOME comes out, that could push the online experince alot higher and make it more accesible to casual players just looking to hang with friends and play bowling and stuff like that. The PSN most likely will catch up, but I dont think that online gaming will be better than LIVE because the money is used for server space. So the online gaming part will always be better on 360, unless sony charges a small amount

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**ryanworldleader**

We will be needing 1TB Hard Drives if that is the case.

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Spoiler:

Killzone 2 - February 2009
Helghast will fall

**Hybrid007**

ryanworldleader wrote:

We will be needing 1TB Hard Drives if that is the case.

Well i see that sony is taking more initiative than microsoft towards digital downloads. with burnout and warhawk and socom.

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