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Kyros said:
Sony is running out of options here


Eh no they aren't. They simply do not use their one option: Lower the price. If Microsoft can sell their base version for 160 Euro they should be able to sell theirs for under 400.

Now they may not do this because they sell decent numbers and get all the great games and are in no danger of dying. But if they want to sell more they will have to lower the price. Its that easy.

 

DO not or CAN not?  Here's a hint:  it's option two.  Sony is cutting thousands of jobs, financial analysts are cutting them up left and right, and their flagship console is not selling well.  I know you're going to say that the analysts don't know what they're talking about and that the PS3 has a great library and blah blah blah.  Well, unfortunately, analysts look at numbers and performance based on patterns in the past.  And right now, they're looking at a company that's cutting jobs, not selling nearly as many consoles as they were projected to sell, and basically floundering in marketing and pricing mistakes.  THAT is the kind of stuff analysts look at.  They don't care if Killzone 2 is coming out or if Gran Turismo 5 will make 2009 the "year of the PS3".  That's console war fanboy bs.  They're looking at numbers.  And right now, the numbers are telling them that the situation ain't good.

As for the second highlighted point, if they're in no danger of dying, they can just keep doing things they way they're doing them and everything will be fine, right?  Wrong.  Every company in the world is in danger of dying.  The smart ones adapt to market changes and demand.  The dumb ones don't.  Sony will fall into the category of the latter if they don't do something.  Will Sony as a company die?  Hell no.  But they are currently in the process of pulling out of markets that aren't doing well for them.  Do you really think the PS3 is immune to this?  Please.

Unfortunately, whether you think financial analysts are idiots or not, people listen to them.  Investors listen to them, shoppers listen to them, sometimes even gamers listen to them.