Do Sony and Xbox Really Consider Nintendo Switch as a Competitor?

The current case between the FTC and Microsoft has ended up revealing many unknown details. Since the day the hearing commenced, gaming fans have come to know a lot of hidden facts and stories. But one thing is certain the Xbox maker is leaving no stone unturned in defending itself against the US regulator inside the courtroom.

While most of the spotlight in this hearing has been on Activision’s Call of Duty IP, lawyers have also talked about various other aspects too. Such as the console market and the popular devices which are the most used among the players. Surprisingly, though, the FTC doesn’t seem to think that the Nintendo Switch is a serious rival to consoles like Xbox and PlayStation.

Is the Nintendo Switch actually weaker than Xbox and PlayStation in the console market?

Everything was going alright in the case just when Nintendo was dragged into the courtroom. On day two of the hearing, Xbox chief Phil Spencer was on the witness stand to testify. The lawyers from the side of FTC grilled him on different topics, including the handheld console. Per the Federal Trade Commission, the device from the Japanese giant shouldn’t be counted in the market that Microsoft’s and Sony’s hardware products compete.

But the big question that arises here is: Is the Switch really that trivial to be ruled out of the global console market? Of course not. It looks like the FTC didn’t do proper research on this compact, on-the-go gaming device. Moreover, Phil Spence himself didn’t seem to agree with the agency’s questions over the console.

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“The Switch was designed for people to take on the go,” said Mr. Spencer. “It has a battery, it’s a mobile platform people can take it with them. Whereas the Gen 8 consoles require that they’re plugged into the wall and don’t have a screen. Nintendo built a different platform.”

Basically, the FTC is trying to establish that the Switch won’t be affected in the same way PlayStation will be after the deal between Microsoft and Activision. But in case someone has missed keeping track of events, the Xbox maker has already signed a 10-year deal with Nintendo to offer Call of Duty on its future consoles. It means that the Japanese giant (and the Switch) is, in fact, in the same market as Xbox and Sony’s gaming devices.

On top of it all, the Switch has been dominating the gaming hardware space for the last six years. As of March 2023, it was reported to have sold over 125 million units worldwide. Apart from that, software sales have also gone past over a billion mark as of May this year. Hence, it is definitely a champion when it comes to the segment of console and handheld gaming.

What are your thoughts on the FTC’s stance on Switch? Let us know in the comments.

Source: The Verge

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