PS Now: Sony can’t afford to pay for streamed content like Netflix does, argues Pachter
As part of the Bonus Round cast, Pachter discussed Sony’s need for content on PS Now, adding to fears that publishers won’t want to limit their own profitability by offering their games on a subscription-based streaming service. He also stressed how Sony won't be able to pay publishers to get their games on the service.
Speaking on the webcast he said, “The math doesn’t make sense for the content owners. If the math doesn’t make sense for the content owners, it isn’t gonna happen,” and added, “So The lower the subscrition price, the less likely this thing will work. If it’s a thirty dollars subscription price, which the publishers will embrace, then no one’s gonna sign up.”
Comparing PS Now to the Netflix model, which includes original programming, Pachter continued, “I don’t think you could make it work. Netflix is the anomaly.The low price subscription plan with tons and tons of content… They did a bunch of really clever deals early on to make that happen, and then they got big enough that they can afford to pay.
“Sony’s not big enough to afford to pay that kind of dollars. They don’t have that much money.”