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Forums - Sony - Is the PS3 a failure in America?(Compared to the PS2 &PS1)

PS3 deserves to do a lot better in US.



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NiKKoM said:
EGG_OF_D00m said:

... if xbox can overtake a massive marketshare why cant Playstation??


Cause in whatever future Sony marketing will always suck... :P


it didn't in the ps2 days and they just need a better marketing team



One way to look at it is the size of the US market. The US (retail) video game market was like $10-$15 billion before the Wii / DS era, and PS2 was 60% of that for marketshare vs. Nintendo / Sony, while with PS3 Sony is in the low 20% range for market share....but the market is $18-$22b per year now which means Sony really only lost a third of its PS2 revenue with PS3 (although far more by units obviously due to pricing)

PS3 is $600 * 2m + $500 * 3m + $400 * 4m +  $300 * 9m roughly speaking for hw vs. PS2 at ~$300 * 7m + $200 * 20m +  $130 * 19m.

That's an oversimplification for hardware without checking the exact figures but I think its roughly right so currently you have:

$700m in PS3 hw revenue, with PS3 maybe to sell 10-11m units more at an average of $180 or something in the USA. Potentially $8.8b in HW revenue - but most of it sold for a loss.

$8.6b in PS2 hw revenue to date, most of it sold at break even or slight profit a year or two into the cycle.

For software, PS2 reached about 500m games (11 games * 46m roughly) in the USA I believe. Call it 55m * $20 returned to a publisher on average for 10 years, or $1.1b on average.

For software PS3 is around 9 games for 18m users - 162m games roughly. Call it 33m * $30 returned to a publisher on average for five years, $990m on average.

The issue again is the last two years of PS2 have basically been irrelevant, so its more fair to do 500m / 8 when comparing vs. PS3, in which case you get 62.5m * $20, or $1.25b in software to publishers.

Basically, PS2 was a much more economically fair and equitable base for publishers, a bigger revenue producer for Sony, and a far more popular platform as a result. That said, PS3 is a much easier platform to produce hits for than PS2 was in two or three genres - particularly violent western content.

Failure is too strong a word probably but I'd say if PS3 reaches 25-30m in the USA, and it should top out in that range, those are pretty average figures for the USA market now. NES, GB, PS1, PS2, GBA, DS, X360, Wii have all previously reached 28m or more in the USA. Genesis, SNES, N64, GC, Xbox, PSP, PS3 have not so far and only PS3 even has a shot at it.

Reaching 30m requires essentially a three year period where a system sells 15m, which is 65,000 per week more or less, and then four to eight years for another 15m. You don't even need that broad steadiness, a peak year of 7m (100k / non-holiday week), or two years of 5m or better basically assure 30m now in the USA. Wii is actually in its fifth year of topping about 65k per week (~62k per week so far in 2011), and had three years at the 100k a week pace / 7m plus pace as a comparison. Whats strange about PS3 is it may only sell above 5m in a 12 month period once or no times - and still reach 30m because its hung around 3.5m - 4.5m for so long already. It looks like PS3 will top out at around 13m-14m in its best three year period, against 30m for DS, 27m for Wii, 21m for PS2 with PS1 (and X360) at 18m in its best three years.



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VGKing said:

I was just looking over hardware totals and realized the PS3 only has an install base of 20.78million in America. Now compare that with the PS2 at 56.12milion and the PS1 at 40.78million. 

Let's compare it to the Xbox which launched in late 2001 and got discontinued in late 2006. So that's about 5 years on the market.  The PS3 launched in late 2006 and it is now 2011 so that's about 5 years and counting.

Xbox - 16.34 million
PS3 - 20.78 million

Aren't these numbers dissapointing? The PS3 install base in America is barely ahead of the original Xbox which was considered a flop. 
Of course the PS3 still has years left so it'll sell another 5-10 million lifetime. But in the same time period of 5 years the PS3 barely outsold the original Xbox. 
Where did Sony go wrong? Is the Xbox 360 too much to handle? What can be done to change things next generation?

(Fun fact: if you combine the PS3 and Xbox 360 sales in America you get 53.97 million which is slightly less than the PS2 at 56.12)


your forgetting ps3 launched at the most ridiculous price ever, and cost sony heavily this gen in america. theres simply nothing else to say thats the only answer. i believe sonys next console will not launch at 599



...not much time to post anymore, used to be awesome on here really good fond memories from VGchartz...

PSN: Skeeuk - XBL: SkeeUK - PC: Skeeuk

really miss the VGCHARTZ of 2008 - 2013...

Ok so here's what I got from all of your replies.

Sonys mistakes were
-$599 launch price, sold at a loss for Sony.
-Blu-Ray wasn't well known and not a selling point for most consumers
-Bad/or not enough marketing
-The Wii was a surprising hit + the Xbox 360 was a direct competitor with the PS3
-360 launched a whole year earlier than PS3, at a lower price stealing the PS2s hardcore demographic
-Wii launched the same month(?) as PS3 at a much lower price point, stealing the PS2s casual demographic



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The ps3 is a failure in every way possible just look at how much Sony lost on the thing.



no. PS3 didn't and will never sale close to its predecessors, however, this gen has shown that the "losers" can still sell a very good number of units and become very profitable.

The only way you can say something failed is if it was a financial loss. Xbox failed. Gamecube was successful. Granted it also depends on perspective and the goal of the company. This is why MS would not say xbox failed as it was merely a way into the market to get some name. 360 was their first real console.



*Sigh*...what is the point of this thread?
Of course it's a ''failure'' compared to the first 2.It doesn't even come close to their sales.But it is a success in it's own right (sales-wise).
This exact type of threads is one of the reasons people are getting tired of this forum.



RolStoppable said:
superchunk said:
no. PS3 didn't and will never sale close to its predecessors, however, this gen has shown that the "losers" can still sell a very good number of units and become very profitable.

The only way you can say something failed is if it was a financial loss. Xbox failed. Gamecube was successful. Granted it also depends on perspective and the goal of the company. This is why MS would not say xbox failed as it was merely a way into the market to get some name. 360 was their first real console.

So is the PS3 a financial loss for Sony?

And LOL at the running game of the Bears last Sunday.

First off... screw you and your attack on the mighty Bears... but yes they have sucked hard for the last two weeks.

I don't think PS3 will end up being a financial loss. Especially if you tie in the Bluray domination and realized licensing revenue. PS3 had a major stake in bluray winning.



personnaly i like ps3 than normal pc games specially that game...it rocks

http://games.beempoo.com/?p=252