http://www.1up.com/do/newsStory?cId=3159628

NPD Fallout: Sony Blames April on Lack of Software
Microsoft silent on sales drop, but Nintendo's high on life.
By Patrick Klepek, 05/18/2007
April was a rough month for Sony. Though the company saw a bump in PSP sales, Nintendo DS continues to curb stomp the portable PlayStation. More disappointing, however, must have been seeing PlayStation 3 decline in sales of almost 50,000 units between March and April. A high price point and lack of compelling exclusive software seem logical reasons to explain the drop, which Sony half agrees with.

"PS3 did see a dip in sales in April that we attribute mostly to a lack of new software in the market," said Dave Karraker, Sony Computer Entertainment America's Sr. Director of Corporate Communications, pointing to games like Heavenly Sword and Uncharted: Drake's Fortune as heavy hitters meant to spur sales in 2007. "We feel strongly that this robust library will help drive hardware sales in the upcoming months."

If April was tough, May looks bleaker. Karraker wouldn't speculate on sales, but outside of MLB 07: The Show's release at the end of April, there are no first-party releases coming to PS3 in May. In fact, there are only two May PS3 games period: Surf's Up and Pirates of the Caribbean: At World's End. Both are multi-platform releases.

Just today, Ubisoft CEO Yves Guillemot told the Reuters news service a price drop was in order. "For sure Sony will have a different market share ... lower than before," he said. "They have to decrease the price quite significantly." Will Sony listen?

And even though Microsoft more than doubled Sony's console sales with Xbox 360, they didn't have much to brag about in April; their sales were down more than 20,000. You know a company doesn't have much to say about NPD numbers when they haven't sent a press release trumpeting their victories. 1UP contacted Microsoft the moment NPD numbers were released yesterday, but they've yet to respond.

Nintendo, of course, was quick to brag about selling more than Xbox 360 and PS3 combined, as Wii walked over the competition with 360,000 sales. This comes just a few weeks after Nintendo promised to increase Wii production. If this is how Wii sells with shortages, expect an interesting summer. So far, we're still not seeing the infamous "Wii tail" signaling a decline in the gangbusters-like sales of Wii.

Nintendo also had the top four best selling games in April -- look at Pokemon Diamond and Pearl with a combined 1.7 million in sales -- not to mention pushing nearly half a million Nintendo DS portables, with 471,000 new handheld gamers.

For reference, here's how the console platform holders have faired to-date in 2007:

  # 2007 in Review: April vs. March vs. February vs. January Wii: 360,000 / 259,000 / 335,000 / 436,000
  # Xbox 360: 174,000 / 199,000 / 228,000 / 249,000
  # PlayStation 3: 82,000 / 130,000 / 127,000 / 244,000
  # Nintendo DS: 471,000 / 508,000 / 485,000 / 239,000
  # PSP: 183,000 / 180,000 / 176,000 / 221,000
  # PlayStation 2: 194,000 / 280,000 / 295,000 / 300,000

    Total Platform Sales to Date in North America
  # Wii: 2.7 million
  # PlayStation 3: 1.3 million
  # Xbox 360: 5.4 million
  # Nintendo DS: 10.9 million
  # PSP: 7.4 million
  # PlayStation 2: 38.2 million

Surprisingly, both Xbox 360 and PlayStation 3 sales have declined since the holiday period, while Wii remains undeniably strong and even shows signs of growth. Unlike PS3, however, Wii has several strong releases coming in May -- Mario Party 8, Mortal Kombat Armageddon, Tamagotchi: Party On! -- that should keep sales alive. Xbox 360 sees Forza Motorsport 2 and Shadowrun, but neither arrives until the end of the month. 

I thought they could sell 5 Million systems without a single game?

Anyways, if you're a company who is marketing a $600 gaming system you should provide enough content (on your own) to ensure that the system sells at adequate levels; third party publishers are not going to sell your system for you.

The fact that Sony didn't even try to spin the numbers shows just how bad they are. To spin you have to have some iota of truth even it is only marginally related. Like last month's "supply constraints", it was entirely possible the Euro launch left them with low supplies in March. That doesn't explain why the PS3 didn't sell just that Sony didn't ship many here. Put it next to a sentence about the low sales and presto it looks like they are related. This time, nothing. There isn't even the smallest thing Sony could say to cast those numbers in a better light, not matter how unrelated it may have been. They could have tried to outright lie again like they did 4 months ago but that wore thin the moment they tried it.

Maybe Sony should examine WHY they have no software coming out. High price point >> low sales >> games held for fall and Xmas, bad press, loss of hype >> lower sales, etc. There is no floor to PS3 sales. Under 60K is in play for May.

I think it's just a sign of arrogance. They thought the PS3 would sell whether or not games were released. They could have easily seeded developers with money to ensure there wouldn't be a game drought. But they didn't because they believed it was not needed.

I don't think they'll sink below 60k for May. That would be insane. I think it will be another sub 100k month for them. If last weeks numbers are a sign, the 360 could possibly get a jump back to 200k due to consistent sales of the Elite and Halo 3 announcement, and the PS3 would hover around 90k maybe due to Sony Gamer's day. This is me being optimistic

software is not the major issue its the price. Dave Karrakker is rather on drugs, interrigated by sony or retarded.

no shiet, maybe they will tell me selling a car with no wheels is not easy lol. and lol at the wii fanboy posts.

PS3 will sell 5M no problem. It just may take them 2-3 years... PS3 will probably be around 15k/week so 60-70k for the month. Add in another 35k for Japan and they might break 100k. Just horrible. Sony ignored Nintendo and tried to get into an arms race with MS. But they were late to the party and MS is far ahead, then they got blindsided by Nintendo who both Sony and MS dismissed. Now what can they do... They should release the PS3-Lite at $250 and take out whatever they need to...