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Will Sony keep afloat in 2007?

Although it's been predicted that Sony would have to lower the price of its new PlayStation3 game console to reap the benefit of mass adoption, the company may have to do that way before it was ever planned.

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bloggingstocks.com
Marty83707039d ago

Ofcourse.Sony's movie and electronic busineses are makin loads of cash

sajj3167039d ago

Before I get accused of being a sony fanboy ... I proudly own both the 360 and PS3 and like them both.

Now ... to this article. Who is Brian White and why should I care about his opinion/blog and why is this article making it to N4G? Is he Micheal Pachter of Wedbush Morgan Securities? If not, his opinion makes no difference.

Concerning his blog, its absolute nonsense about his point of the 4-to-1 and 5-to-1 sell ratio of Wii versus PS3. Different price points, different marketing demographics, different audience on who Sony caters to versus who Nintendo focuses on. Of course they are going to sell 4-to-1 or 5-to-1 or heck 10-to-1 if they are focuses on a large demographic. They should be selling these numbers!!!

What Sony needs to do ...

1. Drop PS3 price for both SKU(s) to 399.99 20GB or 499.99 60GB and focuse on software sales (increase softwaare attach ratio). if not a $100 decrease ... then $50. Any drop in price guarantees more systems sold even if its marginal. The key is to get the attach ratio up.

2. Deliver at the GDC (Game Developers Conference) before the Euro launch. X-mas 07 is critical for next gen systems so setup for success early. Also, time to stop looking at Europe as a third rate video game region. Just look at the success of the Nintendo DS.

3. Keep pushing Blu Ray. As much as you all curse Sony for pushing this format onto the PS3, its working. Blu Ray is Sony's Messiah at this point (from an article I read the other day). Stablize the production of this format and push it's positives(space, support, etc) (In case you are wondering ... I also own HD DVD but see Blu Ray as the future)

PS360WII7039d ago

different marketing demographics...?
I guess it's kind of true but not really. Wii is marketing towards gamers and non-gamers while ps3 is marketing towards gamers. So it's the same just Wii has that extra non-gamer also.
Price point.. that's not really an issue it's still a game console it's not Nintendo's fault that they have a cheaper console it's just how it worked out. Just like 360 has a cheaper console than ps3 too.
A 50 dollar drop in price will NOT do anything other than make people laugh at it. GDC I think Sony will own that for sure ^^. The 3rd point yes they will most surely push Blue-ray without question.
Good post I liked it just can't help but point out that Nintendo and Sony are targeting the same people just Nintendo is also targeting others and if price is an issue well then PS3 should not of come with all them bells and whistles

VirtualGamer7039d ago (Edited 7039d ago )

You state that Nintendo is targeting gamers and non gamers and the PS3 is olny targeting gamers. What about the person that buys the PS3 as a Blu-Ray player? What if after buying it as a Blu-Ray player they decided to try a game that they saw advertised that looked interesting to them?

How about the gamer who bought the PS3 for a gaming system but decides to buy a Blu-Ray movie to try it out?

As far as price point did you forget that Sony has a cheaper game console on the market with a huge library of games that is out selling the Wii, Xbox 360 and PS3, called the PS2?

The PS3 is for people who are into graphics. HD graphics for movies and games. To buy a P33 and not have a HDTV to take advantage of the system would be a total waste of money. (IMO) Since HDTV market penatration is not that big it limits itself to who it would appeal to right there. Systems like the Xbox 360 and the PS3, that do take advantage of HDTV, will no doubt help increase the sales for HDTV's in the years to come.

When your losing hundreds of dollars a console sale, I am not sure you want to increase that loss by lowering the price further and having even more people buy it. Since the market for the PS3 is owners of HDTV's, who have provem to be early adopters of tech and are willing to spend more to do so. I would think that buying a PS3 for $600 would be a bargain to them. Especially when stand alone Blu-Ray players are selling at $1000 and the PS3 at $600 is getting better reviews as a Blu-Ray player. Add to this that the PS3 is a great game console as well and to me its a no brainer.

Sony just needs to work on producing more exclusive games that take full advantage of the system and creating a larger and larger library of games. Once production cost come down and they can offer the PS3 at a cheaper price and not keep bleeding money as they are now then it will make sense to drop the price and increase sales. Not only that but by then more people will own HDTV's and be considering buying a system that can take advantage of their TV for both games and movies. That's when the PS3 will appeal to the mass market.

ssgtmarsh7039d ago

Get rid of the blue ray and make it a video games system just like the 360...do a 200 USB blue ray additional just like Microsoft then maybe...just maybe, you too could have an install base of 10 million consoles...until then, I will continue to see them on the shelves.

Devastator_oftheweak7039d ago

Thing I have ever heard, first of all the games are on Blu-ray disks, what a dumbass. Yeah make it a USB drive so once again we have to by an add on. Sony got it right this time, leave it alone, it was the PS2 we had so many add on's, no more. As for a price drop, 50 won't hurt too bad, and I already own one. The system is worth it, quit griping over it. Look the 360 is 499.99 for a game system and a 20GB hard drive, Sony has included the High Definition DVD player, a 60 GB hard drive and more for $599.99, why should they lower the price really, they have given you a basic computer with all of the options built in. I love the PS3, it has great features, some good titles and great ones on the way. If you take the blu-ray out of the system you have a box, great thinking. Get a life, buy one and see for yourself what your missing.

SomeAnalyst7038d ago

Sure, to a videophile & hardcore gamer the tech is worth $600, but Sony won't find 105 million of such people to maintain the Playstation tradition. They can buy a Wii and seven games instead.

DJ7039d ago

The PS3's Blu-ray drive only costs $100 to manufacture. It's actually the motherboard that's costing them a lot of money ($500). You can thank the new XDR RAM, FlexI/O, HDMI, and bunch of other inputs/outputs for that.

Covenant7039d ago

Wow...then why does a stand-alone Blu-Ray player cost $800-$1000? I always wondered how MS could produce a HD drive for only $200 (actual cost: about $150, according to a handful of semi-reliable sources, so take that with a grain of salt). Does anyone--DJ included--know why a Blu-Ray player costs nearly a grand, when it seems that the central components are (relatively) cheap? (Same with HD players, which I have always read cost only a little more than regular DVD to make).

Non-fanboyish, flame-less replies would be appreciated. Pi$$ing contests over trivial things are stupid.

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60°

Final Fantasy X 25th Anniversary Website Launches With New Nomura Artwork and Merchandise

Square Enix launches Final Fantasy X 25th anniversary site, revealing new Nomura art, books, music releases, and merchandise.

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twistedvoxel.com
-Foxtrot18d ago

Look I know VIII has its issues and all that but how on earth can the do big anniversary events with new artwork and merchandise for VII, IX and X yet VIII got sweet f*** all.

They could have given it something during its 25th anniversary yet all it got was a single Happy Anniversary post on their social media.

solideagle18d ago

they should know that we are OG fans of VIII as it sold truckload as well. not as much as VII or X. I personally didn't like IX but X and VI are my personal fav.

Shadow Hearts 2 covenant is another game I love. I hope one day someone can make remake, I would be delighted

Relientk7718d ago

Final Fantasy VIII is great and you are always the first to defend it in the comments

40°

15 Years Ago, Mortal Kombat (2011) Saved Gaming’s Biggest Fighting Franchise

A brutal reset, a smarter story, and a return to what made it great—Mortal Kombat (2011) revived the series.

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fortressofsolitude.co.za
italiangamer27d ago

"Gaming’s Biggest Fighting Franchise"

Press X to (seriously) doubt.

DarXyde25d ago

Underrated comment. I used to hate that game so much that any time my siblings asked me to play it, I just picked Hom and shut myself down mid-match.

Soy25d ago

And then MK1 killed it again.

DivineHand12525d ago (Edited 25d ago )

15 years went by so fast. I remember playing through the story mode at launch.

90°

PlayStation legend Shuhei Yoshida says Jim Ryan fired him because he didn't listen to him

Why did Sony push Shuhei Yoshida out of his role leading PlayStation's first-party games? He'd overseen some huge successes. Well, apparently, he didn't listen.

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eurogamer.net
Relientk7726d ago

Yeah I can see that for sure. Shuhei Yoshida should have been in charge not Jim Ryan.

Cacabunga26d ago

It should be free highway for him now.. but Sony are too stupid to see this, especially that moron Hulst

S2Killinit26d ago (Edited 26d ago )

Wtf why all that anger. PlayStation is dominating on every level. Besides I think there is a little more to hiring a CEO than just who is available. Its not like its a athlete your team wants to buy.

neutralgamer199226d ago

S2Killinit

live service failures, chasing trends, closing studios. yes dominating

Cacabunga26d ago

Sony is Dominating because competition is not existing. Compared to previous gens this is the poorest in terms of software offerings.

Last gen we got Uncharted 4 Lost Legacy and TLOU2 from ND alone.

This is so far a remasters gen, with no competition to lift up the quality

1nsomniac26d ago (Edited 26d ago )

..."PlayStation is dominating on every level"....

...Really???

PlayStation are soon heading into a new generation in the not to distant future. They currently have the worst customer satisfaction they've ever sustained as a company. The company is heading for a huge crash while at the same time they'll need to be planning how they are going to try and win back that favour and the build up to their new releases.

Yes financially they're winning but they're going to have to ride out this complete public corporate disaster. No one has faith in the company or the product anymore. They've damaged their public image so much this generation. Greed can kill anyone.

medman25d ago

Hulst is a disaster......

+ Show (2) more repliesLast reply 25d ago
blacktiger26d ago

He would've done the same thing and fire Jim Ryan and Shuhei would be the villain. Why?
Because Elite creates the narrative and distraction for gamers, users and citizens.

Outside_ofthe_Box26d ago

More confirmation that Jim Ryan is the culprit for what has happened to Sony. Hulst needs to go too. What sucks is that a lot of the good top heads at Sony are no longer there. I wish that guys that were forced out prematurely by Dumbo Jimbo like Shuhei and Layden came back.

robtion25d ago

Yep. Yoshida was responsible for bringing one of the best games of this generation to playstation (Stellar Blade). He is an actual gamer and is in touch with what gamers want (creative, fun games, not GaaS and agenda pushing). He also seems like a genuinely nice guy if you watch some interviews. Of course they got rid of him.

darthv7226d ago

Makes you wonder if MS even thought about hiring him after Phil and Sarah were leaving. He certainly couldn't make their situation any worse.

Agent7526d ago

Microflop. After Windows XP and Xbox 360, it all went floppy.

S2Killinit26d ago

Floppy 😆
No pun intended

badz14926d ago

Yoshida for President! Jim Ryan was and always be a hack! Sony should get Shu back

Lightning7726d ago

All the gamer/consumer lead heads are gone across PS and Xbox. shuhei gone phil's gone (questionable) but gone. The future of gaming is somewhat uncertain across the board.

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