CEO of Sony Prioritizes PlayStation 6 and Downplays Cloud as Substitute

In an interview with VGC website, Hideaki Nishino, president and CEO of Sony Interactive Entertainment, reaffirmed the company's commitment to the traditional physical console, focusing on the development of PlayStation 6. Despite technical advances in cloud streaming, Nishino emphasized that network stability, a crucial factor for the gaming experience, is still beyond Sony's control.

According to Nishino, the cost per game time in the cloud is still higher than that of traditional consoles. He noted that most players still prefer to run games locally, without depending on internet connection quality. This does not mean that cloud technology is being discarded; Nishino sees it as an "additional option" for accessing content, rather than a direct substitute for the console.

The Sony's strategy, as stated by Nishino, is to keep the PlayStation ecosystem alive and engaged, a model that has shown success in the transition between PS4 and PS5. The intention is for the next generation, with the anticipated PlayStation 6, to continue this cycle of engagement. Although discreet about details of the new console, Nishino promised that the future of the platform is one of the company's priorities. "We are committed to exploring new and enhanced ways of interacting with our content and services," he said.

Lynn Azar, senior vice president of finance at SIE, added to the discussion by addressing the evolution of console generation cycles. She emphasized that Sony is focused on maintaining a continuous ecosystem between generations, seeking recurring revenues and new forms of content access. This approach suggests that, although cloud streaming continues to grow and be an integral part of Sony's offering, the physical console — and, by extension, the PlayStation 6 — will remain the central pillar of the company's strategy.

Sony's stance contrasts with that of some companies that have been investing more aggressively in purely cloud-based solutions or in more flexible hardware models, such as Xbox and its Game Pass Cloud Gaming service. Nishino's decision to downplay the cloud as a total substitute for the console, in favor of a PS6 focused on the local experience, indicates a belief in consumers' preference for performance and stability controlled by hardware. The company seems to be preparing for the next generation by maintaining a philosophy that prioritizes control of the gaming experience, rather than relying on third-party network infrastructures. Expectations around PlayStation 6 are now intensifying, with players awaiting Sony's next steps in terms of hardware innovations and services that will complement the console.

Do you believe that Sony's approach of prioritizing the physical console over a complete migration to the cloud is the most appropriate for the future of the gaming industry?