Sony: we're leading in Europe, no price cuts next Spring |
He said, she said. Microsoft said that the Xbox 360 is
outselling the PlayStation 3 in major countries in Europe, but now Sony's calling their
bluff and saying the PS3 is the one actually leading.This is according to SCEE's president, David Reeves, who says, point blank, “I am confident that in PAL territories our installed base is 300,000 units ahead of Xbox 360."
Whatever the case though, Sony will "absolutely not" cut the price of the PlayStation 3 once Spring hits, despite the leaked info that supposedly came out of Sony's Staff Annual Briefing late last month.
Reeves explains that the earlier business models of the PlayStation was based around price elasticity. When manufacturing costs went down, so did the price of the console. The exception, as it turns out, is the PlayStation 3. Well, dammit.
No we are not going to go down in price; neither are we going to go down in price on PS3 in spring time either. Absolutely not, whatever you might have heard to the contrary.
[...] When we came into the industry we started at zero. And we had to have a model that offered price elasticity. As soon as we got the manufacturing price down on PSOne we lowered the price. Same with PS2. But we’re not doing that on PS3 – that’s not the model, even if people are expecting it.
WeÂ’re relying on the fact that the industry will keep growing and while we might have a comparatively smaller share of the market we will have higher sales. PS3 is tracking where PS2 was at the same point in its life. The value added strategy will continue for some years to come.
This pretty much destroys theories that Sony will lower the price of the PlayStation 3 once they start manufacturing the 45nm Cell chips. Let's hope they change their minds.
Related Articles:
- Sony will not raise PlayStation 3 prices in UK
- Toshiba to manufacture PS3's 45nm RSX chips by 2009, 65nm chips by next month
Via MCV UK
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Comments [refresh]
Damn you Sony, are you really that stubborn to kill yourself?
Must be me not being a marketing major or something,
But isn't the situation different now than it was 8 years ago ?
Back then, the PS2 had 1 competitor, which wasn't selling great either so they could afford to sit back.
Right now the PS3 has 2 competitors, both of which are outselling the PS3 and one of which getting good games and utilizing good marketing strategies to sell games. Although the system itself has a few lose nuts and bolts.
Must be me, But I don't see Sony cutting it like this, developers nowadays take the easy way out and don't bother with developing games which are challenging but rewarding afterwards.
Ah well, must be a different time and place nowadays, as I only see the PS3 being marketed as a Bluray player, without any mention of it being able to play games, guess sony's goal is to further establish the HD BluRay market ?
Meh, enough useless rambling.
Wonder if Sony will be leading after christmas... Doubt it
Damn you sony!! You have no idea how many people here in the US that can't afford a PS3 you guys need to LOWER THE PRICE!!
Sony will lower the price with the new 45nm chips, but like always, they won't tell you, and especially not just before the holidays. I mean, who would buy the ps3 at 399$ if we knew it would be at 299$ 3 months later? That's always how it works.
Also, if they make ps2 games pop on the psn (that's a rumor righ tnow), then they could remove the PS2 emotion engine completly. They will surely make a PS1 emulator too, to save more money by removing the ps1 hardware (hard to say). At 299$ the ps3 would rocks. The xbox 360 is lame compared, and I know what I'm talking about, I have both. I bought an x360 for some exclusives like lost odyssey and the soon to come star ocean 4, and the ps3 for all the multiplatform games and exclusives it has (like white knight story, go dod war 3, Final fantasy versus 13, metal gear solid 4, etc).
HAHA LOL PS3 Outselling 360????? like that will ever happen!!! but thats a good 1 sony, man u guys crack me up
I think sony is being really smart with this decision. But i do agree that there will be a price cut in the spring cause its stupid to anounce something like that before x-mas. However right now the PS3 is the best blu-ray player on the market since its can be updated by firmware so of course there going to do heavy marketing as a blu ray player. Also since blu ray won and people start buying blu ray players not neccisarily right now but in a year or two everybody is going to be buying blu ray players even x-box fanboys and since the ps3 is the best one there is and it plays games there going to buy it. Remember Sony's plans for ps3 are long term like the ps2
...
Shut up.
Hi everyone,
don't you have a feeling of "deja vu"...? I mean, how many times has Sony said a rumor was wrong, only to do EXACTLY what the rumor said a few months - or weeks - later?
I could take the example of the Dual Shock 3 ("it's impossible technically to have sixaxis & vibration features"), the PSP Slim & Lite ("no we won't make a new version of the PSP"), etc etc. They do that all the time. Basically, every time they bother saying that a rumor is wrong, you can be sure that the rumor is actually true...
Regarding this matter, obviously it would be dumb to say that there will be a price cut in Spring. I mean, people would wait until Spring to buy their PS3 and it would completely ruin their christmas sales... But there will probably be a price cut at that time, otherwise I guess Sony wouldn't bother saying anything about it...