HappySqurriel on 19 May 2008
If you make large price reductions early and often it does annoy some of your customers and it will discourage people from buying your next console early on ...
Imagine the people who bought a $600 PS3 with little need or use for backwards compatibility, and then 6 months later (before they have played any 'Great' games) an equally desireable PS3 console is on the market for $400. In the next generation, if Sony sells another console for $600 (or more) do you think this customer is going to be as likely to buy a console early on?
I (personally) believe that the proper timing and size for price reductions for the Wii at this point in time would $50 after 2 years, $50 18 months after that and then $50 18 months after that.
