Bad News: has Sony Dug A Grave For the PS3?

[Sauberbmw]

Has Sony dug a grave for the PS3?
First USA Today badmouths Sony's PlayStation 3 game console, calling it the market loser, and now Best Buy has reportedly stopped carrying one of its two versions. The third iteration of Sony's game system debuted in November with two models, a $499 version and a $599 one. At the time, most gamers eschewed the $499 model because the more expensive one not only featured a larger hard drive, but also built-in WiFi and other features, making it a better value. Evidently, consumers continue to avoid the cheaper model as PlayStation 3s reportedly pile up at Best Buy and other retailers.

Sony's sales also have lagged far behind industry rivals Nintendo and Microsoft. As a matter of fact, Nintendo's Wii, which is half the price of a PS3, outsold the Sony console 2 to 1 in February. Based on research firm NPD's sales data for February, its as if the industry has flipped the standings from the last generation placing Nintendo in first, Sony in last and Microsoft's $399 Xbox 360 remains stuck at second.

Sony's PS3 is the most expensive of the three consoles because it features the Blu-Ray optical drive. The PS3 was Sony's Trojan Horse to win the next generation optical disc format war against Toshiba's HD-DVD technology. While the PS3 may have given Sony a slight lead over Toshiba, the Blu-Ray drive's added cost may have stricken the PS3's success amongst gamers, who may be more price-sensitive than Sony expected.

Microsoft's lead over Sony has led a number of game developers on both sides of the Pacific to abandon exclusive projects for the PS3 and embrace the Xbox 360. The biggest news was Capcom's and Namco Bandai's defections to the Xbox platform because, traditionally, Japanese game developers avoided the first Xbox. Both the Xbox 360 and the PS3 remain technically superior to the Wii, which relies heavily on a motion-sensitive controller to differentiate itself. Consequently, projects started for the PS3 can easily translate to the Xbox without too much trouble for the developers.

With fewer exclusive titles, and a bigger price difference between the PS3 and Xbox 360, Sony may be stuck in a hole it can't get out. If it doesn't cut the price of the PS3 soon, then that hole could become a grave.

this is really bad news for ps3 fans

[MattZani]

om not worried, Sony have basically scrapped the 20Gb, and thw wii is cheaper than both, so more people can afford it, and the 360 is an older console, so more people buy them.

Give the PS3 time, the 20Gb will die off, making it rare, and the 60Gb will go strong, pass 360 easily once really good games come out, then hold the harcore gamer share, with wii in the family section.

Matt

[puggy]

the price really kills them....and losign exlcuives..adds to it

[MattZani]

the price is worse in UK, Jap gets it for £250! its £425 in uk!

Matt

[juicyjuice107]

still 800,000 pre orderz well pretty good! just in uk.

[MattZani]

yeah, thats with 200,000 cancelled after PS2 compatibility slashed (Kids getting parents to buy it)

Matt

[El Davo]

(quotes that guy who killed Hitler in C&C red alert)

'Time vill tell ......sooner or later time vill tell'

[Sauberbmw]

if sony doesn't do something about the production costs, we could see it fall. but i dont get it. sony looses money with every system sold so y do people ****ing complain, those dumb *******s

[NinjaSimon]

(quotes that guy who killed Hitler in C&C red alert)

'Time vill tell ......sooner or later time vill tell'

Oh My god! That was Albert Einstein! How could you not get that!

[PS3 Guy]

I'm not worried...

[kingofgrills]

Sony has nothing to worry about. They are actively seeking ways to reduce their production costs, and officially dropping the 20 gig version would help them out. They lose far more money on the 20 gig version than the 60 gig version, so they should scrap it. They are actively working on reducing production costs associated with the Cell processor and Blu-ray drive, and that will help out a lot. They also went to software emulation for PS2 backward compatibility by removing the PS2 processor, and that will eventually help reduce costs as well. Sony is taking the right steps to be successful this time out with the PS3.

Microsoft is the company that should be worried, and it's beginning to show. Besides the PS3 smear campaign they have been busy with, they are also scrambling to upgrade the 360 to compete with the PS3, but they have really painted themselves into a corner by releasing the 360 so early.

Microsoft was hoping to have a huge lead on installed consoles by the time the PS3 released, but that didn't really happen. Japan and the rest of Asia soundly rejected the 360, and it hasn't been very successful in Europe either. Instead, Microsoft has a relatively small lead, but that is without a built-in next gen optical drive or hard drive, and no HDMI output.

People talk about the 360 not needing the storage capacity a built in HD-DVD or Blu-ray drive would offer, but I disagree with that. Not only would that allow larger games with expanded visual detail, but it also allows greatly improved sound during games as well. Blu-ray discs on the PS3 allow for uncompressed digital audio tracks in 7.1 surround sound, and the sound quality is noticeably better than Dolby Digital or DTS tracks on DVD discs. Those uncompressed surround sound tracks take up a lot of disc space, making them impossible to store on a regular DVD. The 360 will never be capable of delivering this.

Not having a built-in hard drive in every 360 system prevents game developers from fully utilizing it during gameplay. Developers have to program based on the lowest common denominator, meaning the lowest system specs. If some 360s (Core Systems) are out there without a hard drive, programmers will design games assuming it isn't there. Ditto for the HD-DVD external expansion drive.

I don't think Microsoft built a big enough lead to be comfortable with. That is why rumors are rampant on a better "black box" version of the 360 with HDMI output and 120 gig hard drive. That will either force developers to alienate older 360 owners by designing games for the newer version, or they will continue developing for that lower common denominator, rendering the improved version worthless.

Anyway, Sony is just getting started, and they have nothing to worry about. Lopping off the 20 gig version would be a good thing. Once game developers become more comfortable developing games for the system, and the installed base continues to climb, you'll see more exclusives show up on PS3 as well.

Overall, with the features the PS3 offers, as well as the upcoming online community offered by Home, the PS3 is well positioned to be hugely successful this generation. There's no need to worry.

[Sauberbmw]

exactley lets ahve a look at the production costs shall we
>blueray player = $2000.00 !!!!!!!!
>Cell chip= $ 5000.00
>core processores = $500.00 each x7 = $3500.00
>HDMI output = $200.00
>Hardrive= $ 350.00


total = $ 11 050.00 !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!
$ 11 050.00-$800= $ 10 250.00 loss per system

forgot which website i got it from

[MattZani]

thats completely wrong

Blu-Ray : £125
Cell: £100
HDMI OutPut: £40
HDD: £40
Wi-Fi: £20
Memory Card Reader: £10
Technical Gubbins: £120
Software: £10

Total: £465

Price Shops Pay: Around £390 per unit

Total Loss: £75

Matt

[Kasaioni]

Huh, well, I don't really care, Sony'll find a way.

[MattZani]

yeah, moving to 65Nm and not making the cell in house will lower costs, so they'll be making money soon!

Matt

[Sauberbmw]

i was talkin about base price lol. that if u decide to buy each seperatley. i know sony gets a discount on those but im talking if we wanted to buy those stuff.....

[MattZani]

yeah, so they aren't making that loss are they, you make a gain by buying a PS3

Matt

[Birdy]

Everything I hear about the PS3 just makes it seem worse and worse off...especially with losing so many exclusives. Maybe this is Sony's marketing strategy and it'll work out better in the future lol.

[MattZani]

unless you have a PS3, everything seems kind of bad, but its really great!

Matt

[puggy]

yeah i do not think the ps3 sucks at all...i wish i had one...too much bad press

[juicyjuice107]

they hate it cuz they cant have one~

[puggy]

probably so

[Sauberbmw]

its because of those dumb M$ spoke people who think they are so smart. they have contributed majorely to sonys bad publicity and hopefully not their fall of the gaming world


btw......sony literally owns the gaming world

[puggy]

yeah i had an idea most of it came from m$ Sony welll came out victorious over atleast 360.....well i hope

[clonehigh]

It's really optimistic to think the 360 is going to lose. Gears of War held people off from buying the PS3 and really helped them win. There is no way after Halo 3 I see them coming back.

[MattZani]

you know, you've put you're self on a very high "I LOVE 360! I WANNA MARRY IT!" Stool, and you're on a PS3 website, i think one of the legs are gonna break soon...

Matt

[kingofgrills]

Why is it optimistic to think the Playstation 3 will not be able to overtake the XBox 360? Anything is possible. Asia soundly rejected the 360 as a console, instead opting to wait for the PS3 and Wii. The 360 is doing well in the US and Canada, for now, so Microsoft should feel good about that.

I think the fact that the PS2 is still kicking the 360 in the @ss in terms of both console and game sales after 1 1/2 years on the market would be a bit troubling for the 360 camp. They officially announced the XBox 360 Elite Edition, which basically shows they're scrambling to keep up with the PS3. The $479 price includes an added HDMI port and 120 GB hard drive, but it doesn't include the external HD-DVD drive, which is another $199 or built in WiFi, which adds another $90 for the adapter. $678 without WiFi or $768 with it. Oh, and for those now ****ed off 360 Premium owners, they can upgrade their 20 GB hard drive to the new 120 GB hard drive, by shelling out an additional $179. Unfortunately though, there's no upgradable solution for the missing HDMI connection.

Still, the addition of the 360 Elite will not solve the problem Microsoft created for themselves by not building in the HD-DVD drive or hard drive right from the start. The new Elite Edition will still not change the fact that games for the 360 cannot be designed assuming each system has a built in hard drive, or take advantage of the storage capacity and huge sound improvement offered by HD-DVDs.

Do any of you remember the fiasco SEGA went through with the Genesis 32X, and Sega CD expansions? That strategy was confusing, poorly received, and snowballed into the Saturn's failure and premature death of the Dreamcast. Microsoft is now barrelling down a similar path with the 360, and it's multiple tacked-on accessories, and they should really think twice about it.

Sony, on the other hand, has a sound strategy in place, and made the right choice to delay the hardware release until the hardware was actually ready. They wanted to make sure even the 20 Gig PS3 contained all the features necessary to have the best gaming experience. That is why every console has both a Blu-ray drive, as well as a hard drive and HDMI connection. Every game can be developed knowing those features are on every system. Sony got it right.

Microsoft, on the other hand jumped the gun to be first to market, but by doing so the 360 hardware lacks a couple key built-in features such as HD-DVD and hard drive.

So no, I don't think it's Sony who should be worried at this point.

[El Davo]

Thats gotta be the longest post i've ever seen (well said by the way)

*kicks 360 marriage stool*

[puggy]

yeah great post..ps3 is definetly the better buy ....even though it cost more than 360

[kingofgrills]

yeah great post..ps3 is definetly the better buy ....even though it cost more than 360

PS3 costs more? Actually, the cool thing is that it doesn't really add up that way. Here's a breakdown of costs in the US. Check this out:

Option 1
360 Elite..............$479
HD-DVD Drive.......$199

Total..................$678

($79 More than a 60 Gig PS3 which also adds built in Blu-ray, and Wi-Fi)
(By the way, a 160 Gig 2.5" drive for PS3 costs $83 online. $179, which is the separate cost for the 120 Gig 360 drive, is a rip off.)

Option 2: 360 Premium with 20 Gig HD
360 Premium........$399
HD-DVD Drive.......$199

Total..................$598

($1 less than a 60 Gig PS3 which also adds built in Blu-ray, HDMI, and Wi-Fi)

Option 3: 360 Core
360 Core.............$299
HD-DVD Drive.......$199

Total..................$498

($1 less than a 20 Gig PS3, which adds built in Blu-ray, HDMI, and HDD)

Given the combined costs under all three options, I would choose the PS3. That way, games are optimized for use with the Blu-ray drive and hard drive.

That option doesn't exist with the 360.

[puggy]

well i ment out of the box....no add-ons but i believe what you saying...if you add stuuf to 360 it will cost more than ps3

[MattZani]

KOG, the 20gb doesn't have wi-fi, and you forgot to add HDD, to the core pack, making it almost the same as a 60Gb

Matt

[kingofgrills]

KOG, the 20gb doesn't have wi-fi, and you forgot to add HDD, to the core pack, making it almost the same as a 60Gb

Matt

Yeah, I know. I was trying to throw the 360 Tard Pack a bone in the comparison. I feel bad enough for those 360 owners as it is.

As a matter of reference, none of the 360 models (including the new Elite version) has built-in WiFi, and that's another $99 add-on for the adapter. Feel free to add another $99 to options 1 and 2 above, further jacking up the costs of the 360)

[Sauberbmw]

true although sony did anger *millions!!!!! of fans, they were only doin it to make sure they haven't forgotten about anything to include with their system. M$ saw the gaming world as another way for mega profits.like matt said, and others, Sony uses completly new and highly developed technology while the 360 uses old xbox technology. it was noted that there were less xbox 1 year before the release of the 360 than there was 2 years before. the amount was nearly 500 000 units in all of northamerica. compared with the 3 000 000 systems there were 2 years before the launch.

u cant make an old car a winner by adding a new paint job and some screws that M$ did with the 360. u gotta put money to get the latest as the case with sony. compared to the 360, sony had maybe 20 troubled units when it came out compared with the 360s 200 000+ systems that were troubled. yes gears of war is a wicked game and so is halo. but Gears of war has no sequel and Halo 3 is the final game in the halo series. so what will happen to the 360 after people get bored with those games. exactly.

its like a race. microsoft has taken the lead but they burnt up much of their fuel. soon they will run out and come to a screeching halt. while sony is accelerating conserving fuel. sony is going to last longer and is better looking. #60 looks like its empty inside while the PS3 is fat and looks like it is going to burst with the content inside of it.

As for the new 360, they are just adding stuff that comes standard with every PS3 unit. the 120 g harddrive is the only acception. i don't know what the hell microsoft is thinking but when they entered the gaming world, they were smart at first(YA RIGHT!!!) but soon, Sony and Nintendo will slaughter M$ and they will fall. as for u clone. y cant u look at theF***ing facts and face it. the ps3 will rain supreme. Sony and Nintendo are the best whil M$ is a piece of dirty trash that needs to be thrown out.

M$ and their software share something in common....... They are pieces of S*** and are not dependable.
Sony and Apple are the best, dependable(ipod eg) and last for a long time.
Nintendo is Nintendo

[El Davo]

I dont remember microsoft ever making anything good i mean look at the attrocity that is windows xp i think my next comp will be a mac well thats my house microsoft free.

I dont see whats so good about Halo1 + 2 on my mates xbox and it is annoying and slow games like timesplitters quake and red faction kick its ass

[Sauberbmw]

if u guys were strong, u wouldn't pay attention to the press, ud pay attention to the facts. the fact is ps3 outpreforms and outlasts 360. so what if they have lost exclusives. so did the 360 (Oblivion elder scrolls)

[kingofgrills]

Dude, with the exception of Clone, we're with you trying to counter the huge propaganda of lies that Micro$oft is shoving down their fanboys' throats.

The PS3 is the better machine, and each version was built to deliver the best gaming experience possible. Plus, the PS3 is the most well built piece of gear I've ever purchased. It's overbuilt like a tank, if anything.

Unfortunately, Microsoft cannot make the same claim on build quality. As much as they deny it, I bet the new Elite version is the same piece of sh!t just as a different color turd. Check this out:

http://news.com.com/2061-10797_3-6066991.html

Total junk.

[puggy]

m$ got scared and copied in a way by creating the elite version..talking about desperate

[MattZani]

yeah, the PS3 is really well built, abit of a squeek on the logo when you lightly push, but other than that its fine!

Matt

[puggy]

i like the way you put in game disc in ps3 ...instead of the 360

[VGcollector]

Maybe this is Sony's marketing strategy and it'll work out better in the future lol.

could be sony is seeing who is loyal and have rewards for loyalty

[puggy]

heck yes

[juicyjuice107]

dudes you seriously want to get as many post in as you can man heck yes is just not enough for a good complete post!

[VGcollector]

dudes you seriously want to get as many post in as you can man heck yes is just not enough for a good complete post! why do i want get as many post as possible

[puggy]

he was talking about me, sorry about that heck yes.

but whatever sony thinks of, i am sure its for the best of us, we lets hope

[El Davo]

I had a look on a 360 forum the other day, its like reading some cold war propaganda Bill gates needs therapy Its a games console not a nuke


BTW Thanks for Birthday message puggy :D

The big 1 9 lol

[puggy]

lol no problem :D

[MattZani]

happy birthday El Davo!

Gates is running the 360 the same way as Windows, hopefully Sony will do an apple style resistance, fight back i say!

Matt

[puggy]

sony better fight back, apple style would be weird.

[MattZani]

yeah, but its working!

Matt

[puggy]

awesome, making progress!