PS3 price cut will not save it
By Jonathan Schlaffer
It’s no secret that the PS3 has been seeing nothing but abysmal sales; it has been behind every other console on the market since launch. Behind the Wii, behind the XBOX 360 and even behind its predecessor, the PS2 (of course the PS2 has a lot of lead time so that’s not a fair comparison) but the PS2 is still selling better than the PS3.
The Wii came right around the time of the PS3 and outsold it by a huge margin, whether we’re talking price point or games, it managed to outsell it. However, the Wii is not a hardcore gaming console and some contend that the relatively “simple” graphics on the system will help it last longer on the market, whether that happens or not remains to be seen.
Nintendo says the Wii will last until 2012 or so, it probably will. In the meantime, Sony and Microsoft will build better, faster, more expensive systems and sell them to the niche hardcore gaming market.
The PS3 only has a smattering of good games that run about $60 (or more) each, the console costs $600 and it seems that Sony has underestimated the price sensitivity of the American, European and Japanese markets. According to Bank of America a $50 price cut on the PS3 would be futile, a $100 price cut wouldn’t help it so what does Sony need to do?
If the Bank of America analysts are right, it needs to cut the price of the PS3 by $200 to really get it off the ground. To make things even better, Sony (or the developers) should cut the price of the games as well.
We’ve talked about a possible price cut on the PS3 in the past and while a $100 cut couldn’t hurt, it’s not going to win the console war, it’s lost and the PS3 will always be in third place which may not have been so bad had there been a fourth contender but as it stands in this console race, third place is last place and it will always be in LAST place.
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Tips N4G
May 29th, 2007
not really its 2 early 2 say if the ps3 is in last place. the console kinda just came out so we have to give it at least 1-2 years den we can say wat is best and wat is not. well dats my point of view ps3 is sickkkk and xbox 360 is a rushed piece of junk while the wii will just get annoying 1 day den every one will no that the wii is not in the next gen console war
lol
May 29th, 2007
lol, pretty laughable analysis, as Nabeel said, wait a good 2 years before calling a winner, in my opinion we may see the Wii drop off in the next year, it has all the hallmarks of a fad product atm, not good. personally i see it being a neck and neck race between the 360 and the ps3 for a long time to come. the only loser here is this article, probally written that way to increase viewage and traffic.
May 29th, 2007
Is it just me or is this the number 1 topic from every website, “The PS3 is last place, The PS3 needs a price cut to even have a chance, The PS3 was outsold by the Wii again, The PS3 has no hope”. Give me a break. Call me a fan boy for saying this but, THE CONSOLE HAS ONLY BEEN OUT FOR FREAKING 6 MONTHS!!! 6 FREAKING MONTHS!!. When the 360 was out for only it’s first 6 months (and yes I own one, actually on my 3rd one due to freezing issues) it wasn’t so hot either. All I was hearing at that time was how it didn’t have any great games. There were a lot of MS haters who loved talking trash, saying that the console had no good games to back it up. A year later here comes “Gears of War” which was a great game that suddenly turned all of the 360 haters into 360 gamers. Once November comes we’ll see history repeat itself. And yeah, talk your crap, but 6 months from now come back to me and tell me what you think. Warhawk, Heavenly Sword, Little Big Planet, Lair, MSG4, HSG5, and Uncharted. If you don’t think the PS3 is a powerful console, go and play Resistance Fall of Man and MotorStorm then come talk to me.
May 29th, 2007
hey learn how to spell man– no wat i meen??– $600 for the console and $60 per game is a joke– i’ll buy a computer or upgrade my machine for that money. that’s where i play my games anyway. i purchased an atari 2600 in 1978 for $200– thats how long i’ve been in this mess. i had a colecovision, intellivision etc. this ps3 smells like the old neo geo– great graphics, but look at that price–damn! don’t knock the wii untill you play it. i can’t imagine that this vitual play will go out of style. heck, they said that video games were just a fad in the 80’s–and would go away.
May 29th, 2007
Who says we haven’t played the Wii? I have more fun playing with my real Wii then Nintendo’s. What do you mean by “vitual”? I couldn’t find it in the dictionary. I thought you might have been an English teacher by your smart little comment. Maybe that was just slang for “boring” from the 70’s. If you were a real PC gamer, I would hope you would be spending more then just $600 to build a gaming pc. More like $1,500 - 2,000. $600 doesn’t sound so bad anymore.
May 29th, 2007
I’m sorry, I’ll take my comment back regarding the price of the PS3 as a joke. I just can’t afford a PS3. That’s why I’m mad and trash talking the system. And yes I am an English Teacher. I apologize for the mispelling of “vitual”. There is just no excuse for that. It was wrong and I will make sure that it will hapen agan. Also, I still own my colecovision and still love it. It beats any game console out now. Anyone who doesn’t believe me is a moron.
May 29th, 2007
Lane, its more like lame, you know what I mean? Find a rich friend and play his PS3, I am sure you will shut up after you played Resistance online. Who in this day and age can’t shell out $600.00. I mean really? For all of you kiddy’s out there, don’t become a teacher, it obviously doesn’t pay and will only wind you up with a mear Wii. Sorry lane - no offense, this is fun isn’t it???
May 29th, 2007
espostal, that was just a cold hearted comment. Don’t kick me while I’m down.
May 29th, 2007
“Who in this day and age can’t shell out $600.00. I mean really?”
Well, myself for one, and pretty much everyone I know…
Most of the people I know have children, which means $600+ ($1000+ here in Australia) is a HELL of a lot of clams to shell out for a gaming system. We’ve got ourselves a Wii and the kids LOVE IT, and when they get to bed that’s when I play Zelda or Red Steel, and I love it….
Sounds to me like a Sony fanboy who’s daddy gives him everything he wants….
You weren’t on Xbox Live shouting about chocolate milk by any chance espostal?
May 29th, 2007
I don’t understand why everyone thinks the PS3 is selling so terribly. It has outsold the Xbox 360 over the same time-frame when it was launched in 2005. I think that’s pretty good for a console that’s much more expensive. PROPLR THAT HATE PLAYSTATION FOR SOME REASON JUST WANA SEE THE PS3 DOWN,LIKE XBOX FANS
May 29th, 2007
Mr. Anderson— Resistance Fall of Man and MotorStorm IS JUST USING 20% OFF THE PS3 POWER and you know whats funny;360 is already using 85% to 90%.
even the developers of ubisoft said that the PS3 is the most powerfull console in the market.and its a fact do a research i you like
May 29th, 2007
Its a good time to be a gamer, I own all 3 systems, but the ps3 is leaps and bounds better built system and worth the price tag. Im so tired of people dooming the ps3 its ruining the gaming community, As for you so called journelist Im going to save this article and 1 year from now Im going to post it all over the web just to prove my point again.Stop dooming the ps3 its flat out the best piece built gaming/media player ever created, and its already has games that proving that fact everyday. Look at the fail rate/bugs of the ps3 compared to other consoles.The build it night and day. As far as im concerened Sony has delivered on every promise regarding the ps3, the 1.8 update is a staple of why the ps3 is worth the 600 price tag, and should not recieve a price cut, at least till xmass 07. The system is selling well considering the price tag and once they get the online completed its only going to get better. See this is the problem……. The ps3 is so far ahead of its time the rest of the world is still trying to catch up. My goodness most people dont even own a HDTV yet nor understand what a HDMI cable is or heck blu-ray DVD. People rave/praise the great sales of the Wii even thou its affordable what does it have to offer for the future, What/how is the Wii contributing to the advancement of gaming, If you of gaming, really think about it the Wii is doing more damage than good. instead of progressing to better technology, the wii is still using crap gen graphics which causing lazyies Devs to become even more lazy thus creating even worse game. I compared my wii to my game cube I swear my cube looked better on my sony xbr3. Yeah the Wii controller is different and fun for the first 20 min then you relize its just a silly gimmick that holds no real value. I admit it I fell for the hype I own a Wii but I regret it because I have played it since I beat zelda.
May 29th, 2007
What a bunch of total idiots these guys are…
1 million sold in Europe in 2 months? That’s pretty good by anyones standards. 4 million sold since November globally? again, pretty respectable..
A look at the games recently shows at SGD, like Ratchet And Clank Tools Of Destruction, or Uncharted: Drakes Fortune , shows games that are simply not possible on the other consoles… This holiday season will be PS3, PS3, PS3 all the way…
We can all look back at the fools like the jerks here and laugh out heads off…
May 30th, 2007
Ok im 15 and i managed to get the money for a PS3 and it was soooo worth it, no console even comes close to it!! every one who is bashing the PS3, it doesnt affect our veiws on the PS3 because we ALL know its the best!!
May 30th, 2007
shockingly crap analysis, shutup your boring.
May 30th, 2007
I’ve really enjoyed listening to this argument…I mean reading the argument. Pretty funny. Personally, I like all 3 consoles but PS3 is my favorite.
June 1st, 2007
Anyone who is a true gaming fan should realize that nothing is wrong with the PS3. The xbox 360 fans and the Wii fans all have good reasons to like their consoles. Myself, I’m a playstation guy, though I do have an nes and a gamecube in addition to my ps 1, playstation, ps2, and psp. In my opinion sony has made the mistake of not recognizing society as a want it fast and now kind of environment. To truely be able to appreciate a machine as sophisticated as the PS3 will take some time as most of it’s capabilties haven’t even been unlocked yet. The problem is that of course sony had to release a sytem around the same time as the competition or risk being forgotten. I believe that in time most people who own something else, especially a wii will upgrade to the PS3 as soon as it becomes more affordable. People complain about the cost and gas milage of Porsches, Ferraris, Hummers and other high performance ultra exclusive vehicles, but if they could afford one their atttitudes would surely change towards their Camry or Cavalier. It’s basically the same principle. Nintendo’s products aren’t really geared towards people interested in a multimedia experience, just gaming. That’s why the systems are cheaper and therefore more people buy them. For those of us who want more there is the Xbox 360 and the PS3. The 360 is the gaming console of today, no argument, if for nothing than it’s price compared with features and xbox live. If you want HD gaming and great online play there is no other reasonable choice. For others of us gamers though, there is a drive to have the best, even if it comes at the price of being patient and ceding bragging rights. Let me tell you though, I have a little bit of an inroads with Sony and the Playstation family and pretty much, from the things that I know are coming for the future of the console, if you are willing to invest in the PS3 it will be well worth your while.
June 1st, 2007
The expectations are higher for PS3 because Playstation is the dominating force. It should have been released and blown everything out of it’s path, but it didn’t. Hell, it’s being outsold by it’s own baby brother(ps2). So far it’s a huge failure. I know you sony guys don’t want to hear it, but anything other than 1st place for PS3 at any time, is failure.
June 1st, 2007
Well, I’ll tell you, my first system was an Atari VCS, and yes, I also had a Colecovision/Adam and still own it. I had Intellivision and ALL the Nintendo systems and Sonys PS1 and 3 PS2,s. I did finally get a PS3 right around Christmas, and had no problem finding one I might add. In my humble opinion, and I know everyone has one…I realize the XBox360 blows it away, now before you shoot, I’ll explain my reasoning. I own a Mediacenter PC with TV tuner and stuff. The mediacenter Extender for the PC that connects the two works absolutely flawlessly. I can download high def movies on XBox live, Record all the TV shows I want from my 360, while playing games from the remote, watch TV shows while IM’ing, Wtih a nifty little program I downloaded free I can even scan the web on my high def Plasma thru my 360. All the games I want to play are now on it, and the system dashboard is just plain out slick…even if your a sony fan, you have to admit XBox live is pretty damn sweet. My PS3, while the graphics are spot on - VERY clear - soft touch buttons for power and eject are slick, it just don’t do what the Microsoft console does, and likely never will. My reasoning being that MS is a software company through and through, why look what the 360 started life out as, and what it has become - and what they have in store for the future. I think Sony will get of their butt in the future and do something with the PS3, but I predict that corporate will finally tire of the losses and make the Playstation network a pay service, and improve its sad state that it is now in. If not, they might be the next Atari/commodore/Intellivision, All companies that were super successfull, but rested on their laurels.
MS is trying a new approach - Getting ALL your multimedia from your computer to your HD TV - Where you WANT to watch you programming, be it from you tube, or downloaded from your TV tuner to your PC, it will stream - IN high def - Flawlessly. I know, i own them. I figure the sony way will catch on, but what you have here is two POWERHOUSES trying to adapt a new standard for the “Home entertainment console” in your living room, I personally welcome the challenge they have before them, and we will be the winners - Because they both excell in their respective fields, but those fields are now converging…VERY interesting, can’t wait to see how it all turns out! Thanks for listening.
bill
June 5th, 2007
The PS3 is not a failure. i own a 20 GB PS3 and i only paid 453.00(Wal-mart Discount)est.700.00 for every thing. You dont have to be rich to own a PS3 just manage your money right i make 8.00 per hour , im poor college student(lol) and all i did to afford a PS3 was save 120.00 a month six months before its release and now the proud owner of a PS3 grill. LOL but i LOVE MY PS3 its a great system the only problem with the PS3 is its price. If you were to put all the things in PS3 the xbox 360 would be expensive to. not to mention the psp and PS3 Remote Play is Cool feature people forget about i cant wait until Sony really gets things rolling for the PS3. SONY WILL NOT FAIL
June 9th, 2007
I don’t think the PS3 as a console is a failure. Its too early to make the call. Its sales are not brilliant, but its to be expected due to the price and the complete lack of games. Its like introducing the i-pod to the world and saying its the bees-knees but you will have to wait a year for any decent songs, just use these four phil colins tracks until then. you may get bored, but hey what a machine! If Sony want to reclaim the market, they need to get some games out there and cut the price by the end of the summer. Eveyone knows that its not worth buying til this happens, and when it does, i’ll know that i will be spending my time playing on the PS3 instead of writing on a website to pointless and ill-thought piece of schoolboy journalism.
June 19th, 2007
[…] it has laid out on paper then a price cut is most certainly in order but the predicted $100 cut, won’t cut it but don’t expect to see a reduction in price any more than […]
June 19th, 2007
Can we get the opinion of casual players around here? I mean, besides the English teacher, who seems extremely happy with his Wii purchase.
Remember, Nintendo’s out to get the casuals, not the hardcore crowd.
June 19th, 2007
So, IM an avid Gamer.. I used to own an x box 360.. i went through 3 consoles and bought a ps3 before tossing it in the trash.. Now Im the Proud owner of a 60 GB PS3.. I got it ON RELEASE day..
true.. RIGHT NOW, there arent very many games for the PS3.. But look in 2005 when Xbox came out.. there wasnt shit for games.. Give ps3 another year and it will be back on top..
All my friends that own an xbok ended up getting ps3’s.. Just wait till 08′ there are going to be some FREAKING SWEET GAMES FOR IT! MGS4, RESIDENT EVIL 5, Uncharted, Devil May Cry4, and others.. But I have FULL connectivity to the internet, have linux to it.. USE AIM and chat with people using a bluetooth headset! AT NO EXTRA CHARGE! i have FULL movies on mine.. It really will be a TOP COMPETITOR.. and a connection from a usb cable makes me able to transfer multimedia to/from my comp.. The thing that no one knows is that SONY was planning for the future..
with the HDMI cable 1.3 THE PS3 CAN SUPPORT UP TO 1440p!! and 13 Channels of AUDIO! even though no TV OR Receiver takes that input… YET!
So, dont say that SONY lost, IF YOU DO youre just an MS fan boy..
I indeed do have a Wii as well. but i dont like it.. i use it when my little cousins come over.. and even they LOVE MY PS3 INSTEAD!! but dont hate on SONY.. Lets see what they will don in the next year…
June 27th, 2007
[…] it has laid out on paper then a price cut is most certainly in order but the predicted $100 cut, won’t cut it but don’t expect to see a reduction in price any more than […]
September 15th, 2007
DannOMite!!:, I don’t believe you for one minute.
Even if you got a launch console, and it broke every six months, it would STILL be covered for the RROD. Do I believe you are so stupid you would throw $400 in the trash rather than get it fixed and sell it on Ebay? no. I don’t.
Fanboy rant.
December 5th, 2007
Sorry took so long to get back at you all. Let me clarify, I have three kids and daddy didn’t give me anything. I just work really hard for what I have and I think more people should do so, then they could enjoy the finer things in life, like a PS3. It’s not the end of the world to shell out a little extra for something better. I would rather invest in something that has a bright future, you know what I mean?
December 24th, 2007
so what do all you guys have to say now that ps3 has lost the holiday season? your supposed to come back and make fun of all the people who doubted ps3 would rule the holidays. prob not gona be so mouthy now that ps3 is still clearly in last place.
December 30th, 2007
I reken 2008 is going to be one hell of a year for the 3 console. i do agree with billybob that it’s not good to be mouthu about ps3 since it’s still clearly in last place. the only chance ps3 has is to bring somthing new to the table that can close the 5 or 6 million gap which is hugh and divideing more with products and software for the xbox and will. The harder they work the better it’s gonna be for us.
February 25th, 2008
Billybob - Why would you write a remark about the PS3 one day before Christmas when statistics of Holiday sales don’t come in till a month after Christmas? Sound like a 360 fanboy to me. Anyhow, looks like the PS3 has a good future while Xbox is quickly loosing it’s ground, know what I mean?