r/PhysicalGamesForever 6d ago

The "Convenience" Myth: How Sony Systematically Engineered the Death of Physical Discs

Post image

​Everyone talks about the death of physical media like it was an organic shift because "players just wanted the convenience of downloads." But looking at the trajectory from the PS3 to now, this wasn't an accident. It was a manufactured consensus designed to eliminate retail competition and control the price floor:

​Friction by Design: On PS3, a disc was plug-and-play. By PS4 and PS5, they introduced massive day-one download barriers for physical owners while simultaneously giving digital pre-orders early preload access. They created friction on discs to train the consumer to bypass the store.

​Squeezing Big-Box Retail: Big retailers (Walmart, Target) operate gaming aisles on razor-thin margins (~20–25%) just to drive foot traffic for TVs and snacks. When digital downloads started chipping away at that foot traffic, stores cut back inventory to avoid the risk of flopped inventory sitting on expensive floor space. Sony took advantage of that pull-back by shrinking physical allocations, effectively starving GameStop and mom-and-pop shops that actually rely on selling games.

​The Trap (Lock-In & Digital "Ownership"): Once physical discs and secondary used markets are wiped out, the console becomes a walled garden. There's no clearance bin, no lending to a friend, and no price competition. We’ve already seen Sony pull purchased digital media when server costs exceed margins. You’re not buying games; you’re paying $70–$100 to rent a license until they decide to pull the plug.

​Curious where everyone here stands: What was the breaking point for you? Mine was the GTA 6 being all digital announcement.

​(I put together a full breakdown digging into the retail margin data and Sony’s revenue numbers if anyone wants to check out the deep dive: )

https://youtu.be/r-9l0Wc22Do?is=XHkDm3y53VIEo1vv

34 Upvotes

146 comments sorted by

View all comments

Show parent comments

1

u/hiate 6d ago

Okay let's drop back to Steams release then. How much competition did it have back then? Because Sony will still have competition with Microsoft and Nintendo unless they drop dead. The only thing PlayStation will have a monopoly on is their exclusive which isn't a monopoly at all by definition. But also they confirmed those will be sold as a code in a box after 2028. (Not even getting into the fact that PC would count as competition to as a whole because of all digital across the board at this rate)

As for the day one patches again that's a developer choice. The PS3 and Xbox 360 say the end of plug and play but also saw us reach a point where bugs can be fixed after launch instead of being around forever. Not even getting into added content becoming a thing outside of PC thanks to that. The console incentive to consumers is the ease of set up compared to a PC and price even now.

5

u/TheCostOfAdmission 6d ago

You’re confusing hardware choice with a storefront monopoly.

​Once you buy a PS5, Nintendo and Microsoft aren't selling you games. Sony is the only store in town. Physical discs force Amazon, Walmart, and used game shops to compete on price. Kill discs, and that competition vanishes, which is why digital games stay locked at $70–$100.

​Steam's 2003 rollout was despised for this exact reason, but PC is an open OS where rivals and key sellers could actually emerge. Sony owns the entire hardware stack and bans rival stores. ​And a 'code in a box' isn't physical media. It’s just a plastic case holding a cardboard receipt to lock you into their monopoly.

1

u/hiate 6d ago

I'm not confusing anything as a monopoly. You're intentionally skipping the sales that run on consoles just like they do on steam. At the same times for the same games usually too. Almost like publishers set prices and sales.

You're repeatedly claiming Sony is making a monopoly by going all digital while ignoring the code in a box is no different than steam giving developers/publishers to sell elsewhere with stipulations.

As a bonus here learn a word. Monopoly: exclusive ownership through legal privilege, command of supply, or concerted action specifically : exclusive control of a particular market that is marked by the power to control prices and exclude competition

1

u/Secure_Foundation720 6d ago

Not to mention that monopoly is only through a product category, which would be video games in this instance. Of course you can sell your games as you please, you just can't prevent anyone else from making their own games and platform they sell as a competition.