Posted Jul 20, 2006 at 07:01AM by Anna S. Listed in: Opinions & Analysis Tags: Microsoft, Japan, Sony, Mike Wolf, Ben Bajarin, Michael Pachter
Ó

Xbox Daijoubu?


What should an Xbox 360 do to make it big in Japan? Enlist the help of flippy haired boybands to shake their bonbons and flash those pearly whites for a TV spot that will double as plug for their latest single? Which they have already done, so why then is Microsoft's Xbox 360 still having a miserable time in the Land of the Rising Sun?

Analysts like Michael Pachter of Wedbush Morgan Securities, a leading financial services and investment firm that provides private and institutional brokerage, investment banking, private capital, research, and asset management to individual, institutional and issuing clients, thinks that it more of a cultural difference rather than being product based.

"I think it will be exceedingly difficult for Microsoft to succeed in Japan, due to cultural bias against American/foreign companies that threaten established Japanese companies. Microsoft is taking on two Japanese companies, both of which have well-developed relationships with Japanese publishers, and both of which have superior first-party development capability (compared to Microsoft)," says Pachter. Adding that in hindsight it may have been a smart move to have partnered with a Japanese company like Toshiba to put an HD-DVD drive in the Xbox 360.

Ben Bajarin of Creative Strategies, a company that leverages more than three decades of analysis, strategizing, and hands-on corporate advisory board experience, also shares the same concern by Pachter. Using the success of Sony and Nintendo as example, he says, "Sony and Nintendo do well in Japan because they have a deep understanding of their consumers' lifestyles. Microsoft has created a lifestyle product in the 360 and much of the lifestyle it caters to is U.S.- and U.K.-based. So for Microsoft to succeed in Japan, they need great games for that market, but they also need to provide a product that fits into the Japanese lifestyle and culture. That may mean a very different looking and feeling Xbox 360 [for Japan]."

But ABI Research's Mike Wolf, doesn't exactly have the same sentiments as Pachter and Bajarin. He says that what the company needs is a respectable market share to lure in Japanese developers and "exclusive must-haves" for the console to have the Japanese flocking over it.

"For all the talk of supporting the Japanese market with relevant titles, the [Xbox 360] launch list -- and even today -- shows a dearth of titles that will entice the Japanese game player. Ninety-Nine Nights and Final Fantasy XI are a start, but what they need are some exclusive must-haves that would drive the Japanese consumer to the console."

The industry representatives have had their viewpoints heard, time to hear the voice of the masses. So, why do you think Microsoft is still not doing so well in Japan?


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47 Comments


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   by eagle28 (Unregistered) - 2006-07-20
 » Japs like jap stuff

first lol. anway japanese are way too traditionalists to buy american stuff. thats fact.

   by Vecha - 2006-07-20
 » there are..

like 7-8 jrpgs coming out for the 360 soon.

Not going to make much of a difference though...but the 360 will do fine in europe and northamerica which when combined against Japan...is a hell of alot more people.

   by stop (Unregistered) - 2006-07-20
 » Oh well..

If i would be MS, i would stop selling them OS like Windows and everything else branded M$ would be took off from japan. I would let Sony taking care of their cries !! HAHA lol

   by Vecha - 2006-07-20
 » the hell?

".

If i would be MS, i would stop selling them OS like Windows and everything else branded M$ would be took off from japan. I would let Sony taking care of their cries !! HAHA lol"

Do you even think you make sense?

M$ is better off then sony right now...what are you going on about stop selling windows OS? Are you mentally retarded?

   by jB (Unregistered) - 2006-07-20
 » my 2c...

I don't think it's just the fact that M$ is American that is hampering their performence in Nippon, although it may be a consideration in their bad sales, I think they are suffering from the same 2 'problems' with the 360 that turned the Japanese off the original Xbox. First it's size is a huge factor. You only have to look at the sales of re-sized consoles like the slimline PS2 and DSLite to see that people (especially Japanese) want smaller consoles and lets face it the 360 is nearly as big as the original Xbox. Second, let's face it, M$ are still mainly pushing FPS games at us, and that's the image they will always have. Without proper support for good RPGs they have no hope. I know they have some on the way but let's face it Enchant Arms and FFXI aren't gonna sell to many units (especially FFXI as it's not much of an improvment over existing version for the PC & PS2)


   by Bob (Unregistered) - 2006-07-20
 » Always with the "experts"

Just ask the people who aren't buying it that they think should be. Experts are often wrong and these aren't even Japanese. If it were Japanese experts it would make some sense because they would understand Japanese people. But how is an American supposed to know why the Japanese don't like something?

Companies pay millions for all these experts, it would be so much cheaper for them to just do a questionnaire or something in the region, and it would give the right answers as well, not some rubbish guess from an American.

   by Echo_Evolution (Unregistered) - 2006-07-20
 » hm...

I think its maybe the fact that not many of the Japs are hardcore gamers like us. All three consoles!!!!!!!!!!!!! (soon to be)

   by - (Unregistered) - 2006-07-20
 » -

when are we going to get a news story saying

"Here is what Japanese gamers have to say about why they dont buy a 360"

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   by R Kelly (Unregistered) - 2006-07-20
 » Japs

Japanese people love american culture just as we love their culture. Try driving a harley through tokyo without 500 people wanting to buy it from you. The same can be said about american cars(except recently due to gas costs) The xbox360 just isnt what they want..they want weird and retarded crap. thats what they are all about..if you give that to them 360 would be a hit...actually a good strategy for microsoft would be to get an exclusive contract with sega to release panzer dragoon on 360.. if they had some popular japanese software it may sell better..oh and those jap babes are looking good..the one on the left is hurtin for a squirtin..skett skeet!!!

   by James C. (QJ. NET Staff) - 2006-07-20
 » Why? I'll tell you... from the mouths of the Japanese

I have many friends in Japan, some who come back and forth from Japan to the states regularly... the most common response I get when I ask them why Japanese gamers don't go for the 360 is "because it's American", and also "because it's Microsoft", and lastly, "because it's under the acceptable 'bar' for technology (Japan has some very advanced gadgets, and the 360 is just not appealing with the hardware it offers, Jpn gamers will choose Nintendo out of tradition, or Sony for the shear technology)".

   by Warrior (Unregistered) - 2006-07-20
 » #10 I appalaud you

I can honestly say you are right. People in Japan just don't like the 360 for who made it and what it has. Their games for the Japanese market suck. All they have is Ninety Nine Nights and FF XI. However, why would they buy a 360 for FF XI when FF XIII for the PS3 is coming. The graphics for that game is crazy. Also, you made a point that it's not technologically strong enough for Japan. For example, the Wii brings new innovantions for their games and the PS3 brings RAW power. That's the perfect combination. That leads me to believe the PS3 will be successful regardless of the price. It's has the new technology to appeal to consumers. I can honestly say the 360 will be in deep trouble when the holiday season comes and the Japanese consoles enter the race.

   by R Kelly (Unregistered) - 2006-07-20
 » skeet skeet

i need to go to japan and urinate on the entire country..oh yes that would be effin Sexy

   by Shatterdome - 2006-07-20
 » ...

How can we understand the working of an atom without being an atom ? It's called study and observation...the point made about the Japanese not wanting to support an american company is totally founded. You guys dropped bombs on them, made up silly laws for them, and have no honour...I can emphasize with the japanese, i've studied their culture, I know Japanese people and I can say forsure it's just that they don't like MS. To compound that, the 360 is an actual threat to PS3, putting them that much more on the defensive...it's a no brainer really...

   by Shatterdome - 2006-07-20
 » #10+11

I think the Japs may change their tune once the PS3 comes out, not dramatically, as they are really traditional people. I think once they see that the PS3 isn't actually doing anything the 360 can't, and that all those numbers are just number, then sales may pick up abit...but I think they will stand by sony, plus sony's machine is going to be shiny black, that's a smart move in Japan :P

   by Chicken Bone Neck *****-sucking Jew, *****s like h (Unregistered) - 2006-07-20
 » Chicken Bone Neck *****-sucking Jew, *****s like her Mother-*****er COON!

Chicken Bone Neck *****-sucking Jew, *****s like her Mother-*****er COON!

   by umm (Unregistered) - 2006-07-20
 » umm

"first lol. anway japanese are way too traditionalists to buy american stuff. thats fact."

"I have many friends in Japan, some who come back and forth from Japan to the states regularly... the most common response I get when I ask them why Japanese gamers don't go for the 360 is "because it's American", and also "because it's Microsoft", and lastly, "because it's under the acceptable 'bar' for technology (Japan has some very advanced gadgets, and the 360 is just not appealing with the hardware it offers, Jpn gamers will choose Nintendo out of tradition, or Sony for the shear technology)"."

What a load of crap, i know for a FACT that MANY japanese LOVE american culture and american things. And MS does VERY well in Japan.... on the PC front, and its not just Windows.

The true problem with 360 in japan are the GAMES. They should have waited to release it. They need More Big name RPGS, and exclusives.

   by Mr. Common Sense (Unregistered) - 2006-07-20
 » MS will never win in Japan

Yes #3 is retarded. Also, quit using racial slurrs-it's damn offensive. Anyway, my wife is Japanese and I while I think they like the latest technology, the main reason the XBOX 360 isn't doing so hot is the horrible launch of the system. Microsoft should have waited until more locally influenced games came out. Also, the first XBOX did even worse, and at the point that came out most already had PS2s. While MS has been trying hard and has learned from past mistakes, it seems few have faith the system will have strong third party support. Two rpg's won't sell the system. Also, there's a huge amount of games (for all systems) that americans simply would find too "weird" and aren't even released here. If PS3 launched with only those kind of games, it wouldn't do so hot either.

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   by clouducla (Unregistered) - 2006-07-20
 » ummm

wat would help sell lameboxs...xbox 1.5...watever u call it...would be if they were able to make a semi-okay game that ISNT a FPS!...

   by - (Unregistered) - 2006-07-20
 » -

short answer why? its ***** box.

PS3 FTW!!!

   by Tom (Unregistered) - 2006-07-20
 » at #14

Japanese will never accept xbox 360
it may be true that ps3 could handle most thing xbox 360 already could or so we believe so far, but Ageia announced that long ago sony will use Agiea Physx hardware which boost load time, and physics rendering by many fold. this physx card is a supplement to their graphic card, which explain why it bare a weak card. oh and the physx card for pc cost 300 usd. also there wil be 4th-6th dimension compatible, which i think it is time related so i really dont know how it can be done as I'm not good a physics at all. And of course, I'm sure you all found out that most company now prefer bluray simply for its compacity.
Remember all those false report of Toshiba saying that their hd are being favored by most of hollywood studios and most business in the world, well sony could lie but who would choose 15gb over 25, stop being so stubborn and accept the fact that you will need these capacity sooner or later. Remember how Bill gate believe no one would ever need more than 64kb of ram when computer now can have 8 GB of ram= 8388608kb or ram. see the difference. and how most people believe floppy disk will remain for decades, they believe 1.44 mb was too much when at 1994 60mb are the average of data used in most media.
At this rate 25-50gb might not be anywhere close enough for us in 10 years, which is why sony thought it through and make blu ray capable of up to 8 layers making that a total of 200gb a disk.

   by BIGHAWK (Unregistered) - 2006-07-20
 » ITS ALL VERY SIMPLE

the answer is quite abvious its simple really. xbox 360 and xbox always have shooting games action games the most. if u look at sony and nintendo its more rpg and adventure rpg, and little fun games that nintendo has and those kind of games are appealing to japanese games and community. i mean u wont see many if none japanese gamer play or chose Halo when he has the possibility of taking kingdom hearts or final fantasy i mean its mostly the games for the systems that make them famous. an if xbox and the 360 keep getting shooting and action games which they have a wholelotta!!!! they wont be able to get japanese gamers to like their console, i mean although these games may have succes with american gamers in japan its more adventure and rpg. ASK an xbox fan if he knows kingdom heart he'll tell u either things: if he heard of it he'll say its crap, if he hasn't well thats that. and that shows how xbox and the 360 only have a lot of a certain genre of games.
at school my xbox fans say "WELL WHAT GAMES DOES PS2 OR PS3 HAVE???!" WELL DUH ITS A SYSTEM IT HAS GAMES. an the fact u havent heard of them shows how ignorent u are and those very games for sony like (kingdom hearts damn i keep using that, lol) are like sold out the first freaken second their out in japan.
its all just simple. IF XBOX OR 360 KEEPS GETTING MORE ACTION AND SHOOTNG GAMES WELL.....yea.

   by Warrior (Unregistered) - 2006-07-20
 » To #14

I hear what you are saying but the Japanese will never change their tune. Even if they think that the 360 and PS3 are almost the same they will always go with Sony. Microsoft's sales will not go up. They tried to use a Japanese boy band to advertise the 360 but did it work....no. Trust me no matter what Microsoft does, people over there will hate Microsoft now and forever and all other American consoles.

   by Vecha - 2006-07-20
 » its not because of the games...or the size.

the ps3 is waaaay bigger then the 360...so obviously that throws the thought of "the 360 is big!" theory out the window...

and as I made a previous point...there are more rpgs set for release on the 360 then for the ps3...and only 2 less jrpgs...

I guess FF is really a strong assest to the ps3...

   by Yes Sir (Unregistered) - 2006-07-20
 » The Answer is Really Obvious

Uhh, Why hasn't anyone come up with.. Xbox sucks?

   by BIGHAWK (Unregistered) - 2006-07-20
 » AGAIN!!

hmmm like im saying the amount of rpg commin for 360 wont help microsoft or japanese gamers like the 360 more and there's no way that they'll ever be more rpg's for xbob 360 than ps3 since most people own ps2 than xbob 360s and ps2 has (figure of speech:infinite rpgs) it already has a strong rpg base and ps3 well not come short of that. ps3 is just getting out and well sooon have its own set of rpg and sdventure games and since many more fans have the ps2 rpgs they'll go wit the ps3. u know its simple its a transition, thats "a" reason why i'll buy the ps3 even if it is 600 bucks and thats y many more japanese gamers well also same with nintendo and the wii. u got to understand xbox hasn't learned but is trying to by getting out more games for the 360 but even if it has 5 rpgs set to come out when the ps3 is out it will have more RPGs cuz the companies usually make rpgs for playstation and playstation games are mostly rog and adventure. PEOPLE GOTTA UNDERSTAND XBOX AND 360=ACTION GAMES AND SHOTING GAMES MAJORS PLAYSTATION 1 TO 3=RPG'S AND ADVENTURES MAJOR and they'll always rule in that area even if 360 has an adventage of getting a """"few"""""" rpg's b4 it.

   by Clessy (Unregistered) - 2006-07-20
 » Everything

Its game selection and its american. Its *****ing sad the best 360 game it N3 and its Japanese made. I mean its a *****ing american system and the best game for it is japanese made. Americans dont make deverse games everything is to much the same.

   by Salty99 - 2006-07-20
 » ...

Yeah really. I've been hearing all over on how 360 sales aren't going well in Japan. I guess 360's over there just didn't catch. I don't think Japan has a problem with Microsoft...Whatever. I want a PS3. I want a 360 too but I'll wait until I get a PS3 to make that decision. I have a feeling that the console underdog will catch quick in Japan, the Nintendo Wii.

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   by Moribund112 (Unregistered) - 2006-07-20
 » whatever...

The Japanese are some of the most xenophobic people I've ever met. This DOES NOT mean I don't like them, as many of my friends are Japanese. But, in their hearts, a lot of them have a huge amount of pride in being Japanese. One of my friends married a Japanese woman, and some members of her family disagreed because he wasn't Japanese and their offspring wouldn't be "pure." Ask any of your friends who are mixed blood if they've ever experienced it.
When you hear them compare things, such as between the west and Japan - everything in Japan is better.
Let's stop glossing over the subject again and again - "traditional" is crap, because anyone who's anyone knows that after the Japanese empire fell apart, so did MOST of the tradition. It's just straight up xenophobia.
Why did a game like GTA, which did well not only in the US, but also in Europe and Hong Kong. hardly sell at all in Japan? Because it's a "gaijin game."
Think of yourselves. Maybe a lot of you play Japanese imports - but admit you (we) are a SMALL portion of gamers in the west that do this. Thsi is probably the same in Japan, where guys who buy an Xbox 360 do it for the exotic factor of playing a totally foreign game like Halo or Half-Life or something else.

Even if the Xbox 360 gets some great "Japanese" titles, it still won't do well. Companies like Sony and Nintendo have their heels dug way in over in the land of the rising sun, and I highly doubt any of the corrupt bastards in Tokyo running these businesses are going to let a guy like Bill Gates walk in and take all the winnings.

   by Vecha - 2006-07-20
 » bull*****

"EOPLE GOTTA UNDERSTAND XBOX AND 360=ACTION GAMES AND SHOTING GAMES MAJORS PLAYSTATION 1 TO 3=RPG'S AND ADVENTURES"

The 360 has like 9 rpgs coming out by next year....6 of which are jrpgs...

The ps3 right now only has like 10 or 11.

I don't think that is a big gap.

You people need to do some research then say..

"hmm...xbox has halo...so 360 must only have fps too!" or

"ps2 had ff! so ps3 must have more rpgs!" which is false.

   by mike (Unregistered) - 2006-07-20
 » cause of bush

The way mr danger, the dumbest puppet president has handle Iraq makes the USA look really bad, 90 dead people every day is not only a tragedy, it is also bad publicity for all things North American, I just want to see what happens in the two more years that he is in office.(inflation, lots of soldiers that wish they had died rather than have no arms or legs or skin, debt, sensorship, no stem cell funding, no comfy jobs for lazy americans, scared people blaming everybody else(illegal aliens) for their problems)



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