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PlayStation Network (PSN) was down for over 24 hours yesterday and the whole world went into a frenzy as they were forced to touch the proverbial grass. Millions of PlayStation users were unable to access their games, online services, or even make purchases. And the worst part was that Sony’s response was slow, with vague statements and little transparency.
However, PlayStation users weren’t the ones directly affected by this outage. With Microsoft’s ongoing transition away from hardware dependence, Xbox was also affected by this. How? You may ask. The answer is that 64% of consumer spending on Microsoft games in December 2024 was on PlayStation. So PSN going down affects a lot more people like that.
The PSN outage is a big deal for Microsoft and Xbox too
The PlayStation Network outage was sudden and it affected all major services, including online gameplay, digital purchases, and even media streaming. The initial response from Sony was vague as the company stated that only “some users” were affected when, in reality,the entire network was down. The community on the other hand immediately drew comparison to the infamous 2011 PSN breach that lasted 23 days.
Current Playstation Network Outage Has an Eerie Resemblance to the Infamous 2011 Hack
After the outage, Windows Central’s Jez Corden shared an opinion on X/Twitter, warning that this should serve as a wake-up call for Microsoft. With Xbox’s shift from a traditional console model to a publisher-focused approach, revenue is now tied to PlayStation sales. In December 2024, Microsoft was the world’s largest game publisher, with $465 million in revenue. If you look closely though, 64% of that came from PlayStation.
PSN being down should probably be a wake up call for Microsoft / Xbox about how much money you can potentially lose if you rely on others' ecosystems to provide your access to customers…
Phil Spencer, CEO of Microsoft Gaming, has been vocal about Xbox’s transition to a multiplatform strategy. We’ve already seen the new direction the company is steering towards with plans for an open ecosystem where Xbox games are playable across various devices, including PlayStation and Nintendo. It’s great because it gives the company more market reach, but it also means Microsoft is more reliant on others’ infrastructure.
So wait…For $10 a month you can get Xbox Game Pass and It now includes Xbox Live Gold, every Xbox exclusive, Every EA Access title, AND every Bethesda title?!?! Plus a rotating list of 3rd party titles!And for $20/month you get all that plus a console….pic.twitter.com/Azd4ZjWmnV
Hardware and console wars aren’t the only frontiers anymore for Spencer and Microsoft. Selling consoles is no longer the key to success in gaming, and Microsoft seems to be focused on being the best software provider. We’ve already seen this with the recent “This is an Xbox” ad campaign and there’s a lot more coming.
We need to stop relying on online only things
Something else we can see from the PSN outage is the importance of offline functionality. When PSN went down, even single-player games that required online verification became unplayable. And of course, people started talking again about the necessity of always online gaming. We really do need offline modes.
“It’s crazy you can’t play any games…”: The Xbox Network Being Down Drives Home How Much Xbox and PlayStation Have Changed Gaming
And with Microsoftexperimenting with cloud-based gamingand Game Pass accessibility, the outage affects more than just PlayStation users. It may very well be a factor that impacts Xbox’s future. The company must consider how much control it’s willing to give up.
Then there’s the debate over whether Microsoft should continue making Xbox consoles. We know that Xbox hardware has become secondary to services like Game Pass and cloud gaming. But the outage also showed that if Xbox hardware isn’t a reliable alternative, then this will continue happening every time.
Daniel Royte
Gaming Writer
Articles Published :1369
As part of the FandomWire team, Daniel has followed the hero-shooter genre closely with a focus on titles like VALORANT, Apex Legends, and Marvel Rivals. You can also find him providing insight on the latest AAA titles from Elden Ring to GTA 6 and exploring the world of gacha games like Genshin Impact and Wuthering Waves. With more than 1,000 articles under his belt, you’ll need to look no further for a unique insight into every situation.If he’s not looking for the latest video game news, you’ll find him cheering on Ferrari in the race tracks of Formula 1 or at the theatres for the latest MCU releases.
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