TheBigFatJ on 09 August 2007
Um... Why would a console that's been out over a year and still at the same price as release, do better now than when it's brand new?
Your logic is severely flawed. Look at the DS in the US -- it had a $20 price drop in late 2005. The DS sold at a much faster rate in the US in 2007 than in 2006, despite getting no price drop in that time frame. This is because the game library is getting stronger and stronger and stronger. Hell, for the first half of 2006, the DS sold about 40-50K units/week in North America. It's selling well over twice that now, exactly zero price drops later.
The 360's problem and alarming sales drop-off isn't due to price. It is due to a stagnant library, negative PR and strong competition. As the PS3 gains steam, I believe the 360 will lose steam. And as much as Microsoft wants to deny it, it is in direct competition with the Wii.
Did you guys see the recent statistics? 40% of PS3 owners are aware that it can play Blu Ray discs. 30% of gamers know the 360 can do HD graphics (most likely, a subset of that know what HD graphics are). This suggests that, regardless of what MS says, it is in direct competition with the Wii. To most people, they're both game consoles and that's it. So as the Wii gains momentum, it can also affect the 360.
A console is only as valuable as the games you can play on it plus the features. The features don't change, but the game library gets better and better and better. Look at the PS2 now -- it has more games than it did at any point in the past. To someone who hasn't yet played a PS2, it is more valuable as a gaming device than it has ever been in the past.
