By using this site, you agree to our Privacy Policy and our Terms of Use. Close

I would say their financial position ...

While I don't think that price is the only problem with the PS-Vita, the fact that Sony hasn't dropped the price of the PS-Vita to spur sales implies to me that Sony is unwilling or unable to cut its price. In my opinion, the most likely reason for this is that Sony can not afford to take the financial hit associated with this. Although I don't think console manufacturers should take losses on hardware, a core component of Sony's strategy has been to lose money on hardware to drive sales and I don't believe they can continue with this strategy in their current financial position.

In my opinion this is a challenge for Sony because selling a $400 PS2 for 300, or a $900 PS3 for $600, is substantially different from selling a $400 PS4 for $400; or selling a $300 PS4 for $400. Nintendo has been successful with it primarily because they've de-emphasized the hardware and have focused consumers attention on the UI and games. Sony may be able to do something similar, but it will not be an easy task.