Sia Kamalie

This is the second episode of our multi-part series on the video game console market. If you've yet to listen to Episode One, Sia Kamalie is the founder and fund manager at Skycatcher. Join me in breaking down the video game console market and his thesis for why it's an inflecting opportunity.  In this episode, we go micro and Sia is back to break down Sony. Sia and I spend a lot of time talking about catalysts and some of the dynamics that are happening under the hood of this massive conglomerate. Please enjoy this Breakdown on Sony. For the full show notes, transcript, and links to the best content to learn more, check out the episode page here. ----- This episode is sponsored by Finley - modern debt capital management software for borrowers and lenders. Ask around and you'll find that nearly every operator or investor has experienced the operational nightmare of managing debt capital. Finley works by translating unstructured credit agreements into code, which gets all parties on the same page and helps them streamline the credit management lifecycle--think covenant reporting, interest and fee tracking, and portfolio analysis. Join the forward-thinking finance leaders, investors, and bank executives already modernizing their debt capital operations with Finley. Learn more and request your demo at finleycms.com.  —-- Business Breakdowns is a property of Colossus, LLC. For more episodes of Business Breakdowns, visit joincolossus.com/episodes. Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes (00:00:00) Welcome to Business Breakdowns (00:04:50) Series Overview: Video Game Console Market (00:05:43) Deep Dive: Sony's Business Segments (00:06:43) Sony's Entertainment Powerhouses: PlayStation and Crunchyroll (00:08:39) Sony's Strategic Shifts and Financials (00:13:06) Crunchyroll: The Netflix of Anime (00:14:18) Crunchyroll's Market Position and Growth Potential (00:16:30) Synergies Between Sony's Business Lines (00:19:09) Sony's Blockchain and NFT Ventures (00:21:05) Sony's Financial Outlook and Growth Strategy (00:29:12) Sony's M&A Activities and Gaming IP (00:42:08) Emerging Markets and Gaming (00:47:06) Sony's Management and Future Prospects (00:48:31) Lessons From Breaking Down Sony

Today's episode is the first in a multi-part series on the video game console market. Our guest is Sia Kamalie, the founder and fund manager at Skycatcher. Skycatcher describes itself as focused on capturing asymmetry at the internet frontier, and Sia has very strong conviction that the video game console market is entering a major paradigm shift with an app store model set to hit its inflection point. We start with an overview of the video game console market, laying out its size and current state. In episodes two and three, we explore this theme in even more depth when we cover the names most exposed to it: Sony and Nintendo.  On these episodes, we always recommend doing your own research. We invited Sia on to lay out his thesis, so this one is particularly geared towards that investment opportunity. Please enjoy this Breakdown of the video console market.   For the full show notes, transcript, and links to the best content to learn more, check out the episode page here. ----- This episode is sponsored by Finley - modern debt capital management software for borrowers and lenders. Ask around and you'll find that nearly every operator or investor has experienced the operational nightmare of managing debt capital. Finley works by translating unstructured credit agreements into code, which gets all parties on the same page and helps them streamline the credit management lifecycle--think covenant reporting, interest and fee tracking, and portfolio analysis. Join the forward-thinking finance leaders, investors, and bank executives already modernizing their debt capital operations with Finley. Learn more and request your demo at finleycms.com.  —--- Business Breakdowns is a property of Colossus, LLC. For more episodes of Business Breakdowns, visit joincolossus.com/episodes. Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes (00:00:00) Welcome to Business Breakdowns (00:06:54) Overview of the Video Game Console Market (00:14:52) The Shift to Software and Digital Purchases (00:19:02) Nintendo and Sony: Current Trends and Future Prospects (00:29:23) In-Game Purchases and Subscription Models (00:33:58) Nintendo's Iterative Console Cycle (00:34:47) Sony's Lifetime Value and Revenue (00:35:56) Profit Margins and Software Sales (00:40:26) Console vs. Mobile and PC Gaming (00:47:44) The Rise of eSports (00:50:41) Gen Z and the Future of Gaming (00:54:28) Emerging Markets and Console Growth (00:56:37) Valuation and Market Potential (00:59:08) Lessons From The Video Game Console Market