Sony snapped up Gaikai to sell more TVs, says Pachter
- Posted July 3rd, 2012 at 07:11 EDT by Michael Harradence
Wedbush Morgan analyst Michael Pachter reckons Sony’s recent acquisition of Cloud gaming company Gaikai boils down to the fact the platform holder wants to use it to flog more TVs.
Speaking with CVG, Pachter suggested the move could also be a pre-emptive strike at preventing other companies from snapping up the service.
"I think that this is more related to Sony's integrated strategy, and ties into their hopes of selling more televisions," said the analyst.
"I know that Gaikai was purchased by Sony Computer Entertainment, but essentially, they provide a solution to play games without a console, so they make a lot of sense if built into Sony TVs.”
"This could be both a strategic move to sell more TVs and a pre-emptive move to keep others from using the service. It's actually a very interesting deal, and the price is reasonable if it gives Sony an advantage over other television manufacturers while keeping the technology off the market so that others can't eliminate the need for a console."
Sony announced yesterday that it had bought Gaikai for the sum of $380 million, a move that got PSU.com’s Timothy Nunes quite excited to say the least.