They have the games, Singstar, Eyepet, Little big planet, Mod Nation Racer, Ratchet and Clank, Buzz, Sports Champions, many PSN games and third party ones as well. The problem is their console isn't price pointed for the casual market and they have failed to position their brand as a casual system. Their marketing is unfocused. They try to be all things to all people and that is one of their strengths in providing well rounded products but it is also their Achilles heel. Even the price point for the games, Wii games are priced at $10 cheaper on average. That shows that the Wii is set up to attack a target market and they are focused on going after it. Even if a casual game comes out on the PS3 and it's $40 people might just assume it's $60 because that's how much other PS3 games cost when they come out so they wont even bother to register on their radar. If a game comes out on the Wii they will know it's $50 most likely or less. Sony obviously can't lower the price of all their games but it's one of the many problems that Sony faces to try and brand themselves as a console for casual gamers. 

The Move could be a great platform that casuals would love. But the problem is from a marketing stand point it almost creates more problems than it solves for casual gamers because it's on the surface similarities to the Nintendo Wii. If someone sees a 30 second commercial for the Move it's almost impossible not to think, either that it's a cheap Wii imitation or that it is infact a Wii commercial if they don't catch the ending. Kinect obviously doesn't have that problem and they almost have the same novelty excitement in their commercials as the Wii did when it came out which is great from a marketing stand point to sell to casuals. MS does however have many of the similar problems that Sony faces such as the price point of games and such. 

Sony's problem is not product. Sony's problem is lack of information in the marketplace and brand positioning.

In the UK at least a price cut is desperately needed.

The shelf in my local supermarket has the HD Twins sat side by side.

Xbox 150 GBP

PS3 250 GBP

I know the PS3 does loads of extra things but as a games machine IMHO its a dead heat at the moment.

Sony need to drop the price to regain the sales lead !

Why is the answer to everything always a price cut? Its like noone expects that Sony can actually do anything to raise the appeal of the console without first cutting the price. A lot of people seem to be acting like teens as if the console is already unaffordable when the target market is mainly the 18-35 range who have jobs and an income. Anyone who can afford to have an HD TV can afford to own a PS3. The reason more people aint buying is because Sony hasn't convinced enough people that the PS3 is worth $299.

It's not just about cutting the price as you're putting it. It's about cutting it to a COMPETITIVE price.

The Xbox 360 is $299 for its main SKU

The Xbox 360 average selling price was $269

The PS3 is $299 for its main SKU

The PS3 ASP was something like $315

Whats uncompetitive about that price?

Why is the answer to everything always a price cut? Its like noone expects that Sony can actually do anything to raise the appeal of the console without first cutting the price. A lot of people seem to be acting like teens as if the console is already unaffordable when the target market is mainly the 18-35 range who have jobs and an income. Anyone who can afford to have an HD TV can afford to own a PS3. The reason more people aint buying is because Sony hasn't convinced enough people that the PS3 is worth $299.

That's nearly a $46 difference...I honestly think that's pretty significant. What you said plays a role here, in that people will see no real difference between the two HD consoles (going by general marketing, and ignoring Blu Ray), and will just opt for the budget console (i.e. X360).