The subsidized console increases the total user base by lowering the up front price hurdle. So you’re comparing a world with a small TAM, expensive consoles, ch

The subsidized console increases the total user base by lowering the up front price hurdle. So you’re comparing a world with a small TAM, expensive consoles, cheaper games, vs a world with a large a TAM, artificially cheap consoles, and more expensive games. I think both game devs and console makers prefer the big-TAM world.