E3 2015: Xbox One Gains Backwards Compatibility

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This year’s edition of the Electronic Entertainment Expo — E3 2015 — is still going on, but the big hardware reveals have already been made.

E3 2015 hardware intro
Source: Electronic Entertainment Expo

Microsoft (MSFT) announced huge developments with the Xbox One and showed off another stunning HoloLens gaming demo.

Sony’s (SNE) Morpheus VR headset for the Playstation 4 made an appearance, and the Nintendo (NTDOY) E3 digital event included the admission of a new gaming system under development — possibly a replacement for the underperforming Wii U.

With so many press conferences, keynotes and demonstrations packed into the first few days of E3 2015, it’s tough to keep track of all the big developments. Here’s what you need to know when it comes to gaming hardware.

E3 2015: Microsoft Drops a Series of Huge Xbox One Announcements

E3 2015, Xbox One backwards compatibility
Source: Microsoft

Microsoft has gained some momentum in its battle against the Playstation 4, with the Xbox One finally taking the console sales crown for the U.S market for the month of April — although the PS4 regained its title for May.

However, a series of Xbox One announcements at E3 2015 seem likely to light a fire under console sales come holiday season.

The biggest news is Xbox One backwards compatibility. While PS4 players have to rent old PS3 titles through Playstation Now — even the ones they already own — Microsoft announced the Xbox One will be able to play old Xbox 360 games.

Insert your old game disc (or select an Xbox 360 digital download) and the Xbox One will download and play the title for free. According to Microsoft, there will be about 100 Xbox 360 titles available for download by December.

The company also unveiled the new Xbox One Elite Controller, a $150 wireless Xbox One controller aimed at pro gamers. It includes features like customization of thumb stick sensitivity, hair trigger locks, stainless steel paddles and remappable buttons.

Just before E3 2015, Microsoft announced a 1TB Xbox One for $399 and made the $349 “special” price tag on the 500GB console permanent.

E3 2015: Microsoft HoloLens Minecraft Demo and Oculus Rift

E3 2015 HoloLens Minecraft
Source: Microsoft

Microsoft also got gamers salivating with its HoloLens Minecraft demo, probably the most compelling action shots we’ve seen yet of the HoloLens augmented reality headset in action.

Xbox One fans weren’t left out of the VR action, though.

Just days before E3 2015, Microsoft announced a partnership with Oculus Rift Facebook’s (FB) virtual reality venture — that will see Xbox One games streamed to the Rift and played using an Xbox One controller.

One way or another, Microsoft seems hell-bent on bring virtual reality to the Xbox One.

E3 2015: Sony’s Morpheus VR Gains Multiplayer Capability

E3 2015 Morpheus VR
Source: Sony

Sony’s press conference was dominated by game demos and came up short on new hardware developments.

However, the Morpheus VR virtual reality headset for the Playstation 4 did make it on stage.

To date, Morpheus VR demos — like most virtual reality gaming demonstrations — have been based on a single-player experience. Sony showed what it would be like to have multiple players interacting in the virtual world.

Rigs is Playstation 4 battle arena game where up to six players wearing Morpheus VR headsets battle it out using robots.

If Sony delivers what it was showing off, the Playstation 4 will be an entirely new gaming experience in 2016.

E3 2015: Nintendo E3 Digital Event

E3 2015, Nintendo E3 digital event
Source: nintendo

Like Sony, Nintendo was big on game announcements and short on new capabilities for its Wii U video game console.

However, the company did drop a bit of a bombshell during its presentation.

As reported by Tech Radar, Nintendo admitted the existence of new hardware under development, with the company’s U.S president being quoted as saying: “We’ll talk more about our next system, code named Nintendo NX, more in 2016.”

Two-and-a-half years after launch and despite having a one-year head start, the Wii U has sold just half as many units as the PS4 and has been passed by the Xbox One as well. The admission that it is already working on a new system makes it seem likely that the Wii U’s days are numbered.

With the 3DS handheld console facing tough competition from smartphones for mobile gaming, there’s speculation the Nintendo NX could replace both systems, as a mobile/console hybrid gaming system. However, Nintendo’s president insists that the mystery machine is not a “simple replacement” for the Wii U.

Looks like we’ll have to wait another year to find out what it really is.

E3 2015: Get Ready for a Spectacular Console Battle This Holiday Season

e# 2015 wrap, xbox one advantage
Source: Microsoft

All of this hardware news is leading up to a massive battle for holiday sales.

The Playstation 4 came out on top last year, but 2015 is going to be a whole new game.

With the new consoles now firmly established, many blockbuster game titles won’t be available for previous generation consoles — that’s going to spur an upgrade cycle.

This holiday season, the Xbox One won’t be hobbled by a price disadvantage like it was last year, and Xbox One backwards compatibility with Xbox 360 games is big win that’s likely to convince many owners of older Xbox consoles to upgrade.

This could be the year where Xbox One beats the PS4 in holiday sales.

Meanwhile, Nintendo may find the going even tougher than it did last year.

With Xbox One and PS4 showing off virtual reality capabilities expected in 2016 and the official acknowledgment that a new Nintendo NX system is under development — likely rendering current hardware obsolete once it’s released — convincing gamers to buy a Wii U just got a little bit tougher.

As of this writing, Brad Moon did not hold a position in any of the aforementioned securities.

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Brad Moon has been writing for InvestorPlace.com since 2012. He also writes about stocks for Kiplinger and has been a senior contributor focusing on consumer technology for Forbes since 2015.


Article printed from InvestorPlace Media, https://investorplace.com/2015/06/e3-2015-xbox-one/.

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