M$ price drop in America will Sony have to respond?

[Scruff7]

starcraft said:

LongLiveTheBeatles said:

starcraft said:

LongLiveTheBeatles said:
Maybe they shouldn't respond. The American economy is weak so I think a price-cut for any console would be slightly nullified as-well. They are making a slight bit of profit per console now and must slowly dig themselves out of this hole they have dug. If the X-box sells 80,000 a week which is my educated guess, then the PS3 is still selling 50,000. Just because the competition is doing better doesn't mean you are doing worse. Focus on your strategy and reduce the price when you can produce the machine and turn profit selling it at 300$.

They have a strong line-up this year so I'm happy and sales will go up to (I'm guessing) the 60,000 mark when the 80gb is in stock.

Actually console sales generally weather poor economic environments well as they are a relatively cheap continuous form of entertainment. Where on Earth do you get the idea Sony are making a slight profit per console? As of Q1 this calendar year they were losing between $80-120 per unit according to their own numbers.

According to the NA sales thread a large number of people have seen significant quantities of the 80GB console in the wild. Though I agree that one console selling better than another isn't a direct sign the lesser console selling poorly, such low sales after the PS3's biggest exclusive so far (and for at least the next year) are very concerning.

 

Goddamn can you be smug and annoying. Anyway, take a source: http://gizmodo.com/344141/ps3-production-cost-down-50-sony-finally-breaking-even

I don't have time for your silly debacles for I am currently engaged in a conversation about religion god and charity. I have all the games I'll ever need so frankly I could care less about sales; I'm only here to talk games.

LOL!!!!

That source quotes someone from CITYGROUP who GUESSED that Sony were making a profit on each machine.

Sony's actual numbers THREE MONTHS LATER proved quite the opposite.

 

why would you laugh at someone from CityGroup? it's the largest bank in world. it doesn't get any bigger. So this one analyst may have got it slightly wrong, but i bet he's not far off... Sony are driving down the costs of hardware, so it may soon be on a par. marketing and development costs will still be massive though.