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The PS3's shortages were (mostly) ended by Christmas 2006 and the PS3 was readily available by mid January 2007; at worst for Sony there were a couple hundred thousand sales lost because of shortages.

The real problem has been that the PS3 is an expensive system with very little exclusive content that can justify the price tag. Sony should have known that they needed an amazingly high quality launch line-up, with a steady flow of high quality games in order to encourage gamers to spend the unusual price for their system.