Analyst: Xbox 360 price cut on way, Metal Gear Solid 4 to boost PS3
By Dave Parrack
The month of May saw the Wii continuing to dominate the gaming scene in the States. The PS3 saw a slight rise, while the Xbox 360 continued its downward spiral to oblivion. Could the way back to gamers’ good books be through a price cut of the Microsoft console? Or is it that too little, too late? Is Metal Gear Solid IV signaling the start of a run of PS3 exclusives?
We’ve had the hardware and software sales for May, then Sony, Microsoft and Nintendo’s responses to them, with a healthy dose of spin included for good measure. Now all that is left is to hear from the industry analysts on what they make of it all, and what their crystal ball predictions for the next few months are.
EEDAR analyst Jesse Divnich has become as famous, and infamous in some quarters, as Michael Pachter for making half-hearted predictions with no evidence to back his claims. However, his latest take on the state of the gaming industry is interesting, and I find myself agreeing with the common-sense points he makes.
According to GameDaily, Divnich claims that this month is likely to be the first upturn in Sony’s fortunes, with the influx of exclusive games due on the system likely to give the PS3 a sales boost. He also thinks Microsoft is likely to announce either a price cut, or a new SKU at the forthcoming E3. Lastly, he urges Sony to breathe life in to the failing PSP.
Sony’s PlayStation 3 can claim a relative small victory as its hardware unit sales were up 150% over last year; additionally, they managed to outpace their closest rival, Microsoft’s Xbox 360. This will likely continue in June as we expect Metal Gear Solid 4 [to] act as a bigger catalyst in terms of driving PS3 hardware sales than did Grand Theft Auto IV.
This is likely due to the exclusivity factor as exclusive releases on Sony’s platforms have historically shown to be a better hardware driver than that of multi-platform releases. On average, PS3 exclusive games sell 45% more, throughout their lifetime, than multi-platform titles available on the PS3.
With E3 around the corner, we can expect Microsoft to make some type of announcement regarding a hardware price cut, the introductory of a new hardware SKU with new features, or both. If there is a hardware price cut, it is not known if Sony will follow suit right way, but it would be safe to assume that Sony would execute some type of plan within a 2 month window of any hardware price cut from the Xbox 360.
For the first time this year, PSP year-over-year sales were in the negative at 17% decrease. This trend will likely continue, as we do not see any significant PSP titles in the short-term pipeline that could drive hardware sales in Sony’s favor
Certainly, the claim of a boost that the forthcoming PS3 exclusives could have on the console’s fortunes stands up to scrutiny.
Scott Steinburg, Vice President of Product Marketing at Sony claims on the Playstation Blog that games such as Metal Gear Solid 4, Singstar and Gran Turismo 5: Prologue are just “the beginning of an ongoing software avalanche for PS3 that includes titles such as LittleBigPlanet, SOCOM: Confrontation, MotorStorm Pacific Rift and Resistance 2.”
E3 usually sees at least one big announcement from each console manufacturer, so despite the lack of a source from Divnich, I could also see the price cut happening. The big question in my mind would then be whether Sony would instantly follow suit or not.
As for the PSP, I think its days are numbered, with developers starting to abandon the handheld to focus on the DS, a console they can actually sell some games on.
Related:





Stumble It!

June 15th, 2008
lol DAVE PARRACK those are some harsh words “the 360 continues its downwards spirals”, although i agree, you’ve put yourself at risk of a real fanboy bashing.
Raise your shield DAVE, raise it high.
June 15th, 2008
I only print the facts Bourne…
June 15th, 2008
well im hopeful it will be fact soon, because then developers can dedicate their time on ps3
June 15th, 2008
well said.
i’m hoping Sony pull out all the stops at E3. GOW3, Uncharted 2? New Jak and Daxter? Perhaps a couple of new exclusives? And the confirmation exclusives i.e FFXIII. Oh and some new additions to PSN in terms of features wouldn’t be bad either.
If they can do something like this or better it, I think the PS3 is going to have a VERY nice 2008-2009.
But then again, they might just sit on their arses and just come out with a crap show. Who knows?
June 15th, 2008
So I take it MS should just cut there losses and quit the console biz then…..
June 15th, 2008
http://www.gamespot.com/ps3/adventure/metalgearsolid4/review.html
MGS 4 10/10
Damn… if only MGS 4 wasnt limited by the… the crappyness of the PS3…. this game wouldve been much better on the 360…. Id like to see Snake fighting it out in DOA 5… or havin a breather in Xtreme Volleyball 3… keeping my fingers crossed…
June 15th, 2008
Agreed Bourne (the first comment) Pretty funny…..
Raise that shield DAVE, raise that shield brother.
Talking about oblivion, might go and play it ??!! lol
June 15th, 2008
Into oblivion? You really think the 360 is going to disappear DAVE PARRACK??
June 16th, 2008
Xbox 360 is as good as dead. There’s no way they can compete with Sony’s exclusives this year Gears of War 2 is not even own by Microsoft just time published. Forza 3 will need two disc lmfao.
June 16th, 2008
http://www.xbox360fanboy.com/2008/06/15/rumor-forza-3-will-have-2-discs-400-cars-more/
Forza 2 two disks… dont forget who said that the DVD format would be an issue…
June 16th, 2008
only 400 cars? disapointing compared to 700 for GT5. AND on 2 disks?… you guys need blu-ray bad huh?
June 16th, 2008
davep- the only thing in a downward spiral is your IQ apparently. Give it up. You’re an official joke to the gaming community. Buh bye losers.
i expect to see an retraction and apology after the holidays when the 360, again, spanks the crap out of the ps3.
thanks for proving kids and computers should not be left unattended together.
June 16th, 2008
Kevin,
Here, I’ll save DAVE PARRACK the trouble:
(after the 360 magically sells tons of consoles with no AAA titles prompting this)
“Hello all, DAVE PARRACK here. Microsoft has managed to pull the 360 out of it’s downward spiral into oblivion by apparently buying thousands of units of its own console to fluff its sales numbers. It’s official: Microsoft has officially gone bat-crap flipping insane.”
There you go, Kevin. A little Future Blog Post from your good friend Arvis.
By the way, you have GOT to try out Metal Gear Online as soon as you can. I’d say that you can play it on a friend’s PS3, but you’ve probably killed all your PS3 owning friends.
-Arvis
June 16th, 2008
dave = facepalm.jpg
… And I own a PS3 and not a 360…
June 16th, 2008
arvis - saw mgs this weekend. very nice. not worth the price of the ps3 tho. (maybe to the hardcore mgs fans) i cannot understand why they put so long cutscenes in a game. it’s completely unneeded and useless filler. didn’t play the online mode tho. hope it’s as good at cooperative mode as splinter cell is.
nice physics engine, i’ll give you that. but nothing earth shaking or ground breaking.
June 16th, 2008
The only thing in a downward spiral is this site because it is full of bullshit form DAVE PARRACK. No one writes more bullshit theh you.
June 16th, 2008
i agree with kevin, the cutscenes are ridiculously long, some of them are and some aren’t worth it. in the end i’ve only skipped one cut scene and i’m on the 4th act…i think….it’s in europe anyways. the plot is rather confusing, however i am totally engrossed into it. I think its brilliant, along with graphics, and gameplay.
June 16th, 2008
also, i seem to be lost as to how the ps3 has suddenly shot to success, what with great games, high sales and great features (home, in game xmb) and microsoft seem to be resorted to price cuts to draw in the customers, tables have suddenly turned and its hilarious. Now 360 fanboys know how it feels to be the ‘underdogs’.
June 16th, 2008
DAMN YOU ARVIS YOU SHOW OFF!!!
I cant play MGS online…. gotta wait 2 more months to get decent net speed…. whats your nick?? Ill add it and we can play MGSO togather (2months later)
So… kevin… MGS 4 is not worth the PS3??? I suppose Halo 3 and Forza 2 and DOA Xtreme 2 is worth the 360??
Yes I completely agree… cutscenes that make a game more than just a game are completely useless bullshit crappy japanese rip-offs… even when the critics give it perfect scores… dont trust Gamespot??? I guess you shouldnt trust them when they gave Halo 3 9.5 …..
Again I must ask.. if you dont like this site… if you think this site is stupid.. then why bother commenting or reading it??? There are plenty of 360 fansite where you can diss PS3 owners… or PS3 fan sites where you can start flame wars…
Meh… the more you bitch… the more hits this site gets… the more DAVE PARRACK makes… so… in a way….. you are helping out the people who you hate….
June 16th, 2008
ps3 nickname - anihal8r, add me
i’ll be on mgs online soon, once ive completed the game, but im on resistance fall of man very frequently, burnout occasionaly, and gt5 prologue sometimes.
June 16th, 2008
Lovin’ the gameplay and cutscenes here!
It’s like i am playing a game and then being treated to a mini movie
Really enjoying the game. Very entertaining.
Online from the short time I played is good too, will be giving it more time once I get thru the SP.
@DWH, I don’t agree with Kev but look how the article starts. He opens the page, and boom another article that starts with ‘the 360 is tanking’… Gotta wonder if he’s trying to wind people up at tis point
June 16th, 2008
SW,
Glad you’re enjoying it. The game is far better than I ever EVER imagined it would be. And I imagined it would be REALLY good.
I still find it difficult to believe that Kevin won’t be playing through this game at some point in his near future. It’s universally appealing, and I’m living proof of that.
-Arvis
June 16th, 2008
arvis - if the mgs series was universally appealing it would have sold more. last gen, with 120 million ps2 owners (sony’s word, not mine), they only sold, what… 8 million? not very appealing by those percentages.
you’re living proof of lots of things, but to say you’re proof of a games appeal is one of the silliest things i’ve read you post. thanks for the chuckle.
congrats. i’m glad you like the game. i just can’t see spending $500 to play it, so i’ll prolly go play at a friend’s from time to time, but i’m currently too busy playing other 360 games to really care about mgs. Just no time.
i think blockbuster is going to start ps3 rentals like they did with the ps2. once that happens, i’ll rent the console and the game. Play it, beat it, and use the $450 i saved to buy more 360 games.
June 16th, 2008
Kev,
……sounds like a sound and economical plan. Just… don’t sell yourself short. Play this game. I don’t care how you do it.
I’d like to point out, though, that I didn’t say the series had universal appeal. I said THIS GAME does. And it does. I don’t generally care for action titles, but this is the best video game I’ve played in a long time.
Oh, and because I can’t quite describe how good this game is, I’ll let these guys do it for me:
“It is not only the best Metal Gear game, but one of the best games ever made, period.” - GamePro (5/5)
“Indeed, Metal Gear Solid 4: Guns of the Patriots shatters the proverbial bar, becoming a technical, cinematic and gaming standard that future action and stealth titles will be judged by.” - IGN (10/10)
“Metal Gear Solid 4: Guns of the Patriots is the most technically stunning video game ever made… every part of its design seemingly fulfills its vision, without compromise. There is no halfway.” - Gamespot (10/10)
-Arvis
June 16th, 2008
I’m going through the game again to get the Stealth Suit and Bandanna at the minute.
Bourne, I’ll add you, if you don’t mind, when I next go on.
My PSN ID is… Royzy (for anyone here who cares).
On MGO I am probably the crappest Snake ever in the Sneaking Matches, I’m yet to win one as him.
Kev, you should definitely at least rent. If that makes you happy, we are happy.
June 17th, 2008
no i dont mind, anyone can add me, the more the merrier.
June 17th, 2008
arvis - i love how you cherry picked the reviews, omitting those claiming the level design is meh, and the cutscenes being needlessly long. but hey..the ps3 needs all the good press it can get, so i forgive you.
to say ANY game is “universally appealing” is silly. people are different.
June 17th, 2008
And I like how you blow off one of the best reviewed games of all time because you’re “to busy” playing FPS on your xbox. Maybe the next time it breaks and you’re without a console for a month or 2 you can rent a real piece of tech at Blockbuster & play MGS4.
June 18th, 2008
Metal Gear Solid is so boring I can’t even stand playing it. And I play games like SimCity.
Pass the cutscenes?
June 20th, 2008
Matt,
You are a liar.
-Arvis
June 21st, 2008
Arvis,
Please refrain from touching yourself while writing.
-Bourne
June 21st, 2008
Arvis,
Please refrain from touching yourself while writing.
-Bourne
June 24th, 2008
@ Matt…i just love how you take my name……how about matt 2 or something?