PS3 price cuts arn't the answer: what Sony should do instead

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HappySqurriel said:

Sony's in a pretty rough position because they have to keep the PS3 alive for (at least) 4 years and it has to sell at a respectable level ...

When a console fails it introduces doubt in consumers, developers and retailers which dramatically hurts your ability to sell future products. Consider Nintendo, with the challenges Nintendo faced with the N64 and Gamecube, and with the impending release of the PSP, Nintendo had a great deal of difficulty finding third party developers to produce Nintendo DS games. Even with the success of the Nintendo DS, Nintendo still had difficulty convincing third party developers that their approach with the Wii was compelling ...

If the PS3 doesn't get to a respectable level of sales and doesn't have a reasonably long life Sony will be unable to launch a PS4

 The Xbox had rather meager sales and an abnormally short life, yet MS went on to create the 360.  Sony will create a PS4, if only because they've tasted victory with the ps1/2,and they'll want that again.  They now how much money can be made from the video game industry, and they'll try very hard next gen to regain their lost market dominance.