Posted Mar 16, 2009 at 10:40AM by Isaac C. Listed in: News, Opinions & Analysis Tags: Microsoft, Peter Moore, Sony, EA Sports, Yves Guillemot, Mark Rein
Ó

Sony Faces Heat From Game Publishers to Cut PS3 Price, Sony Reacts - Image 1Waiting for Sony to finally give the PlayStation 3 a price cut? You're not alone. Even publishers are up in arms, putting pressure on Sony to bring down that pricetag.

Peter Moore, former Microsoft exec and current head of EA Sports, says of the matter that "Sony obviously still has a ways to go with their pricing."

Ubisoft's Yves Guillemot remarks "anytime a console manufacturer reduces the price, software publishers benefit."

Mark Rein of Epic Games also brought up a very common argument we hear in the console wars: "You make very good money on PlayStation 3 if you develop a good game. You can very easily take that game to Xbox 360 or PC."

Sony, however, still won't budge. SCE's Senior VP of Marketing Peter Dille says that:

Everybody in the development community would love for the PS3 to be free, so they could just sell razor blades. Sony is concerned with profitability, as well as the installed base.


Analysts also had some things to say about the matter, but as always, they just state the obvious, so who really cares.

Btw, Watchmen rocks. That is all.



Related Articles:


[Via Bloomberg] Permalink  |   Email this  |   Linking Blogs   |   Digg It!

Bookmark / Find this article on:


38 Comments


Sort by:
   by Advertising -
   by XBrav - 2009-03-16
 » As much as I still cannot justify the price of a PS3...

Given the experience I've had trying to mend my 360, in the long run the PS3 is a better investment!

With the 360, look at the cost:

1) Unit Purchase Price: $300 for Pro
2) XBox Live (Yearly): $60
3) 1 Out-Of-Warranty RRoD repair: $100

$460.

PS3: $399.99.

Just my opinion. ~drop kicks 360~ I'm gonna turn this into a media player... damn gpu...


   Re: papajag - 2009-03-16
 » RRoD...

Is one hell of a problem. The moment you get those lines on the screen you know you should expect an E-74 soon. Mine is coming almost every month man that's sad.

   Re: Darkshneider - 2009-03-16
 » Dont

forget batteries if you decide to buy wireless controllers. Even if you get rechargeable batteries, its still an extra EXTRA investment.

   Re: Shatterdome - 2009-03-16
 » man....

Just the fact that you don't have to worry about PS3 breaking and that it doesn't sound like a vaccuum sitting in your entertainment unit, is worth the price difference. Not to mention, blu-ray, wi-fi, bigger HD, better controls, linux, free online, plus other system options 360 doesn't have.....

   Re: Seoulfood - 2009-03-16
 » awww

cmon~ those problems aren't THAT bad. I think the 360's worth the price of entry, but to me, not anymore than the PS3 (wi-fi and blu ray really add to the value.)

   Re: Shatterdome - 2009-03-16
 » well...

At first I didn't think the 360's noise was a big deal. However when you are in an apt trying to watch a movie at low volume at 3am, you really do notice it when it's not there....not only that, it also speaks about build quality and design quality....
   by DigiTalDeaD - 2009-03-16
 » Why the hell..

..do people seem to emit the fact from their minds that the ps3 contains one of the best Blu-Ray players on the market? If this wasn't the case then yes, the ps3 would be over priced. If you don't have the money, don't f**king complain... -_-


   Re: skate4life - 2009-03-16
 » PRICE CUT WONT HAPPEN~~~ BECAUSE

this is the PS3's YEAR TO SHINE!!!

   Re: Stealth! - 2009-03-18
 » Actually skate4life

The price cut won't happen right now due to the PS3 still selling for a loss per console sold. It's $50 USD loss. This is the problem with analyst and all the people asking for a price cut. They don't realize Sony is still losing money on the console.
Peter Dille is right, everyone would love the PS3 to be $99 USD but the problem is though they'd be selling a huge loss per console sold, and they have been stating for months now, "We need to hit even on sales and gain money per console."

Until these people wake up and realize Sony is losing money, the price cut on the console will not happen right now. Period. PS3 is a steal for what it's offering, but like usual, people see the price of all 3 systems and bombard Sony with complaints, the same people who complained about the 60GB version. And guess how they lowered the price on that? THEY HAD TO REMOVE FEATURES. It's bad enough the 60GB version isn't being made, and we're force to buy a less packed version. It's these same people who ruined PS3 and got rid of the 60GB.
To lower the price, you're going to have to take out features at this time. I'm glad Sony is standing firm at this time. They realize as a business they need to start gaining profits for their consoles sold. Sure 21 million console sold world wide is impressive, but recouping the 2 billion dollar loss is tough.
   by DVD_Sandwich - 2009-03-16
 » maybe

Maybe they should release a newer model that has no wifi, and have a $100 wifi adapter like the 360. Then, it will appear to be $300 for the system, and people will buy the system for what they believe is an incredible deal, only to later realize they need to go back and spend another $100 because they bought an incomplete system. Deceive the consumer. An excellent strategy which will work wonders, taken straight from the competitor.


   Re: phiyuku - 2009-03-16
 » Problem is MS and Sony

don't make WiFi for $100. Sony's WiFi is probably at most 10 dollars to make. MS on the other hand I think includes A band and is also an external add-on so they have to make it look nice with plastic shell and all so I'll put it at 20-25 dollars. And they sell it for $100. People don't know how badly they getting ripped off with MS add-ons.
   by NathanDrake - 2009-03-16
 » Pft...

Since buying mine back in December for £300 and using it pretty much constantly I think it's been worth every penny. The only extra hardware cost I've paid was £20 for the Playstation Eye just cos I wanted the mic/video functions. And the amount of use I get from the console and the quality of my favorite games and Blu Rays I feel like it was a bargain.

Hm, same price I paid for my PS2...and my PS1... my Sega Saturn on the other hand cost over £400 and spent the next year mostly gathering dust before I sold it. I've still got a few other machines in a big box I need to sell come to think of it.


   Re: hush404 - 2009-03-16
 » exactly

Hell, I paid $700 CAD for my system alone back in early 07 (a 60gb system) and I think it's worth the investment. A ton of enjoyment without a single problem with the hardware. The way it's going I can see my PS3 lasting a LONG TIME! Even when the new systems come along I can see my PS3 still sitting proudly near my TV.

Back to the article. Sony just broke even with the parts in the PS3 a few months back... as in they're selling the system without loss, I can see them doing that for a whiles yet so they can start to make some money back from software to better themselves for the future.

The thing I don't understand is... the PS3 is only $100 more than the core 360 unit and yet people treat it like it's a crazy expensive beast! That kind of price really doesn't justify a comment like "I can't buy a PS3! It's way too expensive!" When you're dropping $300 for a 360 and then $60 for live and possibly $100 for the wi-fi and $100+ for a hard drive upgrade... not to mention you'll prob want more warranty, charge kits/batteries... ugh.

   Re: smokeelaa - 2009-03-16
 » On a side note...

I bought the Saturn for around $400 when it first came out and it never collected dust. Honestly, was probably my favorite console to date.
   by T0mmyt1tt135 - 2009-03-16
 »  » RRoD...

I have a wii, xbox and ps3.
One thing that seems to be missed from all comments is the repair turn around time. I am on my 4th Xbox 360 and thank microsoft for the 3 year warranty but I know that for the 22 months I have owned my xbox microsoft have had it for 4 months! (it died again last night so I will be 360 less again for another month)
My PS3 on the other hand was subject to my 2year old daughter thinking it was a cash machine with my credit card getting it stuck in the blu ray drive, one call to sony and I had a new PS3 the next day! This is priceless customer service that microsoft have a long way in learning!


   Re: damonous - 2009-03-16
 » The best machine is the one you don't have to return

Actually, I've got a story that's one better than that: a few months back, my friend's young son wound up feeding 3 discs into his 40gb PS3. He was able to eject all 3, one-at-at-time.... and the PS3 *still* loads and runs games, movies, etc. just perfectly ever since! :-)

   Re: avidGamer - 2009-03-17
 » rrod not a problem

@T0mmy
You must have some pretty bad luck, firstly to have it fail 4 times in less than two years, and secondly to have every repair take 1 month!!

I have had my 360 for 3 years and its failed twice, the first time repair took 2 weeks, the second failure (couple of weeks ago) took less than 1 week, picked up on Thursday, fixed and delivered on Tuesday (23rd December!)..

I can put up with these issues, even more so now that I have a PS3 with Killzone to fall back to... now I've got the best of both worlds :)
   by Justingraziano - 2009-03-16
 » ...

Why dont you crappy publishers start complaining at Microsoft? They are the ones with the overpriced ***** console. They just disguise the price with tons of crappy extras like LIVE.


   Re: mr.x256 - 2009-03-18
 » -

What about the Wii, its even more overpriced.
   by TouchDaSkeleton - 2009-03-16
 » ...

am i the only person waiting for a wii price cut n64 was $300 dollars and by this time $129 and ps3 after all these people spent $700 keeping their xbox alive they can spend $400 for ps3 now a system superior in every single *****ing way bull***** they shouldnt drop the price nintendo should f $250 for a toy


   Re: phiyuku - 2009-03-16
 » Wii is not going to get a price cut

They have such a huge price cushion on the PS3 though now the 360 is cheaper. A price cut might happen when PS3 gets a price cut as it is seeing the effect of having crappy shovelware on the system. A game like Resident Evil 5 shows how much the Wii lacks behind in the Japanese market that even the 360 came close to its sales and the PS3 way outsold both of them. And for some weird reason the PSP outsold the DS not really sure what was released that time cause it usually takes a good game coming out on the PSP to beat the DS. Also the sales might be like that because Japan is over saturated with DSs and Wiis.

   Re: TouchDaSkeleton - 2009-03-16
 » yeah

next time everyone should buy ps3 instead then nintendo would be forced to make their systems compete with sony but then again people are still playing this xbox piece of junk so i dont know to bad alot more people didnt go ps3 and psp cause the quality and just the whole sony thing they do i think its to late though
   by ptspyder - 2009-03-16
 » Point of fact...

Watchman actually sucked.... BAD!


   Re: Isaac C. (QJ. NET Staff) - 2009-03-16
 » Booooo

You lose comment of the day :p

   Re: whitecloud - 2009-03-16
 » watchmen

a bit off topic but i felt it had to be said.
watchmen was very long but it was a good movie.I didnt even notice how long it went until i left the cinema and went s**t its dark.

   Re: Isaac C. (QJ. NET Staff) - 2009-03-16
 » well

i agree it's dragging, but i suggest reading the graphic novel to get what the movie's all about. if i hadn't read it i would have been bored in my seat for sure.

   Re: Fujin - 2009-03-16
 » Hmm...

Am I the only one who caught that pun in the title of the article? "All the whores and politicians will look up and shout "Save Us!"
...and I'll look down, and whisper, "No". Great line haha
   by Hekynn - 2009-03-16
 » Lol

lol just save up your cash to get one that's what I did. But ya they need to make a new model of the PS3 like cut a few extra's out like Wifi and 1 usb port out and leave the wired network in and put in a lower sized HD people can just upgrade the HD easily :)


   Re: Shatterdome - 2009-03-16
 » This is the thing...

Sony doesn't want to cheap out anymore than they did....

They have gotten rid of as many extras as they could, everything else, as far as their buisness model, is needed....

Can't remove wi-fi, because than it negates PSP connectivity, can't remove any more USB's....*****, there are only 2.....smaller HDD doesn't help, they tried that....especially since so many games need an install....blu-ray isn't going anywhere....

If they start allowing multiple *****ty companies to manufacture their parts....using different brands of parts in every machine, yeah, would reduce costs.....but then you'd have a low quality box....like 360....that *****s up 30+% of the time....
   by trott - 2009-03-16
 » Sony great value

Are you Kidding Me.
I Own Sony PS3, 3 x PSP's, Sony FullHD 120gig Camcorder, Sony Bravia TV, Sony Home Theatre and a PS2 and PS1. All Working Increadably well and have never let me down. All cost fractionally more than anything equivalent but if it gives you no problems and does everthing it says it will (which is the PS3) and more, then I ask you which is the better investment?
Thankyou Sony for making things that just work.


   Re: mr.x256 - 2009-03-18
 » -

Yeah, I'm still using my old Walkman.
   by djman855555 - 2009-03-16
 » wow

this site is full entirely of sony fanboys


   Re: blkthunda - 2009-03-16
 » Read the topic of the article

It's about Sony, so what do you expect? Same goes for the 360 article, you'll see a bunch of xbox fanboy.

   Re: noshoes84 - 2009-03-17
 » No..actually

if you go read the 360 articles it is still full of sony fans bashing Microsoft. You must be new here blkthunda.

   Re: blkthunda - 2009-03-17
 » not new

Noshoe you make it sound as if all sony fans are the evil one here. It goes both ways. I been reading these type of post for awhile and I seen about the same amount of fan bashing each other.
   by djman855555 - 2009-03-16
 » LOL

everytime i go to look at a xbox article its flooded by sony fanboys. i myself am fanboy of MS and sony

   by Link75e - 2009-03-17
 » they should just take stuff out

i am tired of cheap bastards trying to get what i have for less money and expect it to be the same. I bought the special edition MGS4 ps3 for 500. 4 usbs in front media bay, ps2 backwards compatible. They can sell a ps3 with no hard drive 1 usb no media bay no optical output. It be cheaper and whoever couldnt afford it can now buy it if they really want it for the games. I also have an xbox360 elite i enjoy xbox live lag free the huge library of games and the DLC for fallout 3. I love Star Ocean, Gears of War, The lost and damned GTA4, left 4 dead and halo3 on multiplayer story kinda sucked. For PS3 i only have MGS4, drakes fortune and sinstar i sold killzone 2 after 3 days game was real short beat it in 6 hours hard difficulty and online it was stupid ill go back to CoD4mW. oh yea Watchmen was horrible they tried the same outcome like batman dark knight.

   by ElfyEikkal - 2009-03-24
 » aww man.

sony is rich. just for goodness sake lose some BILLION dollars and reap it out by more published games. slowly. but more profitable. it is a RISKY business. so sony. i guess you can well. GET A PRICE CUT FOR PS3!.



Add QJ.NET
Add to My Yahoo!
Google Reader Subscribe with Bloglines
Add  to your Kinja digest Subscribe in NewsGator Online
Subscribe with Pluck RSS reader Add 'www.qj.net' to Newsburst from CNET News.com
Subscribe with SearchFox RSS del.icio.us www.qj.net
Add to Technorati Favorite! Add to My AOL
furl! it Stumble for Treehugger!