...what would you have done differently and what things you would have kept?

Would you have kept Blu-Ray but ditched the Cell?....the other way around?...ditched both?...would a motion control interface even have crossed your mind?

Would you have used marketing to actually focus on people playing? (not on 'creepy babies' >_>)

I would have focused less on advertisements in which a dude's penis is replaced with a thumb.

Dropped the Blue Ray, Made the system at $399 from launch, and release most of the PS2 causal games onto the PS3 only in high def. Made GOW 2 PS3 exclusive, just make it in High Def!!! Stop talking about power cause its impossible to live up to its own expectations!!

the only thing that sony didn't do correctly was time its launch. blu-ray, cell, and all the other technological crap they made were all in preparation for the future, and those are good things for us gamers.

problem is, they came out with the console in the current gen where there were two competitors already that were much cheaper than their product was.

i would have waited until this gen burned itself out, then released ps3 in the next gen, with much more technological wonders, and get the jump on the first release of that gen. i believe very much that console wars are only won by two things: timing, and price.

Have to keep the Blu-Ray, people forget how the PS3 may have won the format battle for BR, opening a long revenue stream for Sony, any money lost on the PS3 hardware will come back to them from the BR. 

I would have advertised more heavily, Id keep the 'Saliva' add format, perhaps tweak it a little, change songs from time to time, and showcase about 3 games per quarter HARD. 

Id advertise the PSN games in their own commercial during times where 'casuals' are watching (i.e., not UFC).  Gets kinds to want elephunk and pain, get stoners watching Adult Swim to want Flow and Pain :D

I would have made the PS3 logo bigger, on commercials for multi-plats, its lost...though very recently I have seen it moved into the middle, moving XBOX to the right...this could be paid for? I dunno...but I notice it much more now.

Id be saving up money to buy two HUGE exclusives in the US (FFXII is not needed here,it being exclusive in Japan is a win).  Id lock up "UFC"...

The only hardware Id change, is more RAM, I think the Cell is (more and more obviously) beginning to show its potential, and even KZ2 is not using all the processors...its a powerful shiny box.

I would have waited until about the June after and done a WW launch, hopefully with the price lower, the firmware more complete, and the lineup more full.

Hardware BC, use all the money developing software BC, and other firmware stuff on development tools.

Slightly bigger advertising campaign.

HDMI cable in box. DS3 from launch. Longer charge cable. Including scaling chip. Unified RAM, faster Blu-ray drive.

One model: The 60gb (perhaps 80), to prevent consumer confusion. Three colours: Black, White, Silver.

Bundled headset with console.

My biggest thing. Remove WiFi. I'm guessing %90 of PS3 have broadband internet. I'm guessing less than a 3rd of those don't have a wireless router. Basically I'm estimating that just over %25 of PS3 currently have WiFi ready homes. Of the PS3 owners I know 7, only 5 have PSN networks, and I'm the only one with a wireless network(1 in 8) although others are looking into buying one; and I didn't get my wireless network for about 3 months after my PS3. They could of sold something that blends in beautifully(unlike 360 WiFi adapter), like something that goes under the 'hood' (next to memory card slots) and then still sold the WiFi adapter at a loss, so that extra loss would only effect people who had WiFi in their homes. Like if costs Sony $70 for WiFi, then sell the adapter after market for $40 at a loss even. The other %75 of PS3 owners who can't make use of the WiFi(yet or ever) could of saved them millions. Assuming my estimates are right and 10 million units(round down for worst case scenario) not using their built-in WiFi and that I'm correct in assuming it costs Sony $70, that would of saved Sony $700,000,000. Assuming I'm way off and actually half of PS3 users use their WiFi 7,000,000 PS3s x $70WiFi costs = still $490,000,000 saved. Almost half a billion.

Kept the 60gb and ate the cost. Just keep improving the motherboard.

My number two is getting people to understand why the PS3 costs more than the 360. Help them understand the extra value they get for the extra $50-$100.
I worked at an electronics retailer to get me through my studies and still work there part time.
Most people see PS3: $399 or $499
and then see XBox 360: $349 or $499 now $299 or $449

Okay so I'm saving $50 buying a 360. That's where they are wrong. %60 of these people will spend $5 on AA batteries per week. They come back 2 days later and spend $80 on a rechargable controller and charger. The PS3 comes rechargable controller costs $55! Or they come back a week later to buy a $40 charger pack. The PS3 comes with that out of the box. They come back to spend $70 on a Live account. Live is superior than PSN but the main things about them noteably game play are practically the same. Again PS3 comes with %80 of what Live has to offer, out of the box. If someone buys a core and then needs a 20GB HDD, they've spent $270+$120. Basically the price a 40GB PS3, however the PS3 gives twice the memory, a rechargable controller, free online gameplay for $10 more. Add Live to that and the PS3 is now cheaper by $60. Add WiFi, they've easily matched the the 80GB PS3.

Ads should stress that for $399 you get all you need. With the competitor by the end of the week you're most likely to have spent an extra $150.

Last week a guy had bought a Arcade/Core 3 weeks earlier and came to me to ask him for help to unlock and sell him what? A 20GB HDD, Live and a WiFi adapter. $280!! Easily more than a 80GB PS3($270+280=$550!). He couldn't buy it all and just went with the 20GB HDD and Live "for now". He'd come next pay check to get the WiFi.

At the check out as a PS3 fan I couldn't hold back to explain that I got everything he had for $499, PLUS x4 the HDD, PLUS a rechargable controller, PLUS my first taste of HD movies for $50 less than he did.
Yes Live in better than PSN, but just by a tiny bit but I think giving me a front seat to be one of the first to enjoy 1080p movies tips the scales to the PS3.

His reaction?? Seemed a bit suprised like unaware of all the easter eggs that come in the box from slightly more that you will eventually spend over in a short time with a 360.

Of course once his 360 is at home and unpacked, the chance that he'll go through the hassle of trading it in for a PS3, is lost.

if i were to make a gaming machine...

1)worse hardware in every way except the hdd. no cell, no blu ray, worse gpu. much cheaper and quick to market. much easier development for games.

2)do exactly the same thing with no 20 gig, but launch in mid december, have 512mb of memory for both the cell and gpu each, and have a 4x blu ray

edit* 4x blu ray