According to Rosenberg, the Microsoft Corporation’s (NASDAQ:MSFT) pitch for the Xbox was off for the broader market. He said:
“They were really trying to go out at it as an all-in-one living room console, something that everybody can put their entire entertainment through and I don’t think that ever really caught on to consumers. Pure gamers were certainly interested in something like that. I think it is still little bit of a challenge for the broader market.”
He said that Xbox has a couple of interesting games coming up that can boost its sales by the end of this year.
“Well, I think you know Xbox One certainly has Destiny coming out, that’s going to be a really big hit. They have already started a lot of buzz around that and that’s going to be the next one from the makers of HALO. So that’s going to be a big boost for them. I think they are going to need that especially going in towards the end of the year.”
Rosenberg said that Microsoft Corporation (NASDAQ:MSFT) has taken a few good steps to boost sales of Xbox One. has recently cut the price of Xbox One to $399. It has also made the Kinect feature of console optional for the buyers. This move has enticed a new customer base. Microsoft has also started a special discount program, according to which, customers can trade their old consoles for the new one. He said that backward compatibility remains a big hurdle for Microsoft Corporation (NASDAQ:MSFT) in this trade scheme because anyone who buys Xbox One console through this scheme will not be able to run Xbox 360 games on it. Rosenberg said that Microsoft Corporation (NASDAQ:MSFT) needs to introduce a backward compatibility feature in order to catch up in the sales.