He touches upon the fact that the Xbox One, PS4, and pretty much any console you'd want to purchase are already in China, despite the ban on consoles in place over the past few years: "Go to Taobao (www.taobao.com) and punch in "Xbox One" or "PS4." You will find (as will Chinese consumers) consoles and games available for next-day shipping to your doorstep in China." This ties into his third reason, piracy, which "will poke giant holes in even the best digital content plans."
McGee also touches upon the already-saturated market for set-top boxes in China, citing the Xbox One's functionality as a content streaming device is moot compared to devices customers can already purchase in China, as well as the fact that content streaming is done mostly via PC or mobile devices. He goes on to detail the extreme censorship the console will face, with limited content and the difficult decisions Chinese consumers are faced with when they're forced to choose alternate channels to do business in when it comes to Taobao and black market consoles and games.
Check out the rest of the blog here to read up on the rest of his reasoning.
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