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KBG29 said:
I get were you are coming from but, the PS3 is in much better shape than you are trying to put it in.

1. PS3 is priced well out of the mass markets acceptable price range, which even if it is cool, people are not going to just snatch it up.

2. Sony has many no sacrificial price reductions in the works right now. The drop to 45nm tech in the Cell and RSX, the smaller BD drive, less cooling tech, and a smaller motherboard. They may even be able to look at a smaller form factor as early as this September, or as late as next September. In any case they are looking at an easy shead of $100 dollars with everything said and done. Then it will not be long before they drop to 32nm tech, and shave another chunk of change.

3, As PS3 becomes profitable, which it will be for sure by this holiday, Sony has no reason not to take its push to move the system into overdrive. They could leave the PS3 righ were it is at $399, and decide to push the fact that PS3 has motion controls, it has Blu-ray, it has VOD, it has games, internet, Home, Music, Pictures, and more. With the hardware being profitable, Sony can shove butt loads of money into advertising. They can run commercials all day long, on every channel, as long as they want. That is were Nintedno was day one with the Wii, and that is a big reason why it got off to the start it did. Turn on the TV, and there are people having fun, teaching exactly what the Wii is.

@S.T.A.G.E.

Sony put Blu-ray in the PS3 because they new that a system with the power of the PS3, or the 360 needs more storage space than a DVD can offer. They went with Blu-ray because they were already behind the format. The PS3 could have launched at $399 without the BD drive, but it would have been pathetic. Forget Metal Gear Solid 4, Killzone 2, Uncharted Drakes Fortune, and Little Big Planet. Forget every game that is coming out for PS3 for the rest of its life cycle.

Sony looked at Blu-ray the same way back then as they do today. PS3 will make it viable, and Blu-ray will in turn sell PS3's. Why do they think this way? Because they have data that shows, people bought a $129 PS2 for DVD use over $29 stand alone players.

Dude....the PS3 is the sole reason Blu Ray survived. Sony played it very smart. It's always a good business rule to undermine the market and use another market to meet your quotas. When I took marketing classes in school, my teachers told me that the people decide the lifespan of a product. This holds no candle to the fact that if you have multi-billion dollar corporations controlling things, they can take away choice and make the choice for you. You cannot find a computer in a notable store that isn't Apple without the MS OS. Do you see where I'm getting at? MS might have to gain respect from consumers to gain marketshare, but Sony no longer has to.

As for the PS2 DVD player sales, haven't you guys already noticed the trend that Sony survives using the gaming industry because if they have a format selling and implement it into their systems, it helps their electronics division? It's a instantaneous translation.Their electronics division was in deep shit before they joined this industry.