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Forums - Microsoft Discussion - Mole attack: 360 price cuts on all hardware in September

misterd on 02 August 2008
kowenicki said:
LOL MATURE said:
kowenicki said:
masterb8tr said:
one can only hope that sony follows.

 

This price cut situation was an obvious call really.

Sony are stuck between a rock and a hard place on this.... follow a 360 price cut and keep the status quo on sales but lose a shit load of cash or dont follow the price cut, lose sales and still lose a shit load of cash

 

 Funny, everyone is claiming that the hardware revision on the 360 will help its money situation but when it comes to Sony dropping price they can't do it unless they want to take a hard hit.... Let's see... 65nm -> 45nm Cell and 90nm -> 65nm RSX comming this fall for Ps3 which will decrease the heatsinks

Powerprick, and fans...

same defence 360 fans are giving... so why can't Sony do this too?

 

Most financial commentators think exactly that... Microsoft can drop the price and Sony cant. 

2 reasons

1. The 360 is now making a profit per console... the PS3 by all accounts isnt yet and wont anytime soon

2. Microsoft are very very very cash rich and can take hits... Sony isnt and cant.

I thought the second point was common knowledge... perhaps not?

Or we simply accept the word of the Sony exec who told us that there would be NO price drop in 2008. If Kowenicki has a bone to pick, talk to that guy.

 



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LOL MATURE on 02 August 2008

^ just like they said last year?



misterd on 02 August 2008
Alby_da_Wolf said:
steverhcp02 said:
Alby_da_Wolf said:

Hey, nobody thought of another hypothesis? How about MS intentionally leaking and spreading rumors, true or false, it doesn't matter, to force Sony and Nintendo to uncover more cards? Up until now we only know of the next Sony 80GB model, but still nothing about PS3 Slim. And we don't know anything about Nintendo intentions on price drops and/or model updates. We'd like to know, MS would even more.

 

Edit:

And journalists would like to know more than MS and us put together

 

yes, leak a fake price drop to freeze current sales. brilliant.

Perhaps MS really wants to drop prices, but it would like to provoke Sony and Nintendo and try to force their reaction, because acting first has one advantage, the time one, and one disadvantage, it lets your competitors plan and pace better their reaction.

 

1) Sony has admitted that it cannot afford to do another price drop this year, and with Wii selling out still at $250, they have no need to. If MS cutting price forces them to respond, Sony will take a painful hit, while Nintendo will simply loose out on some of the gobs of cash it's been raking in for two years. In either case, MS hurts its competition.

2) It is rare for consoles to have a "planned out" response to a price cut. The response is usually a fast and panicked one, because they don't want to leave the "cut" console out on the market with such a clear advantage.

 



dolemit3 on 02 August 2008
LOL MATURE said:
^ just like they said last year?

 

Well, they did announce the MGS4 bundle months in advance, which is a better value than buying a gimped 40GB + Dual Shock3 + MGS4 game separately. They aren't always lying, just most of the time.



Currently playing on PS3: God of War III

Currently playing on Xbox360: Final Fantasy XIII

Currently playing on NDS: Chrono Trigger

misterd on 02 August 2008
LOL MATURE said:
^ just like they said last year?

Yep. Of course last year was a bit different - the PS3 was looking to be a complete disaster, and the future of BluRay was on the line. Since no one seemed to be planning a price drop, Sony had enough time to redesign their consoles to enable that price cut. Since, as far as I know, no one has any rumors of further PS3 design changes, and the PS3 is no longer hemmorhaging, I think it safer to think that they really, really do not want a cut.

 



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Alby_da_Wolf on 02 August 2008
misterd said:
Alby_da_Wolf said:
steverhcp02 said:
Alby_da_Wolf said:

Hey, nobody thought of another hypothesis? How about MS intentionally leaking and spreading rumors, true or false, it doesn't matter, to force Sony and Nintendo to uncover more cards? Up until now we only know of the next Sony 80GB model, but still nothing about PS3 Slim. And we don't know anything about Nintendo intentions on price drops and/or model updates. We'd like to know, MS would even more.

 

Edit:

And journalists would like to know more than MS and us put together

 

yes, leak a fake price drop to freeze current sales. brilliant.

Perhaps MS really wants to drop prices, but it would like to provoke Sony and Nintendo and try to force their reaction, because acting first has one advantage, the time one, and one disadvantage, it lets your competitors plan and pace better their reaction.

 

1) Sony has admitted that it cannot afford to do another price drop this year, and with Wii selling out still at $250, they have no need to. If MS cutting price forces them to respond, Sony will take a painful hit, while Nintendo will simply loose out on some of the gobs of cash it's been raking in for two years. In either case, MS hurts its competition.

2) It is rare for consoles to have a "planned out" response to a price cut. The response is usually a fast and panicked one, because they don't want to leave the "cut" console out on the market with such a clear advantage.

 

IMVHO to really afford a consistent price drop, Sony should release PS3 slim and for this to happen it will need to lower power consumption, to avoid heat dissipation problems. It will need Cell and BD drive cost difference from Xenon and DVD to become smaller, obviously, and this will come with die shrinks, production processes refining and economies of scale.

As for planning responses to price cut, I hope every big company has plans to do it, obviously a huge cut could panic them, but knowing HW and SW sold and pricing of components, they can roughly predict  when physiological price cuts can happen.

 



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djwoodgrain on 02 August 2008

Hello all, newbie lurker here, just thought I would add that I checked in my system at work and came across a sale we are having on the arcade and the elite, both at the prices rumored. For whatever reason our store inputs them as a sale item and then usually drops the permanent regular price the next week when it comes to console price drops.

I wasn't sure how to input a picture into this post, so I just added the picture into my photo album to show you how the sale appears in our system. Good chances September 7th will be the day. Ok, back to work.