GET YOUR FACTS STRAIGHT

Jesse Divinch is an analyst with Electronic Entertainment Design and Research

Here is the proper story;

If there's one console maker that should worry about Xbox 360's multi-model price cut, it's Sony, claims analyst Jesse Divnich with Electronic Entertainment Design and Research.

"[Between Sony and Nintendo,] Sony should be the most concerned [about the 360's price cut]," he told Edge on Thursday. "...Going into this holiday season, the PS3 will not only have the highest price point, but also the smallest software library, weaker line-up of exclusive titles (compared to Xbox 360’s Gears of War 2 and Fable 2), and a less popular online network."

Divnich said that Sony should "heavily consider" a hardware price cut in the next few months in order to keep pace.

Currently, Sony's de facto standard 80GB PS3 retails in the U.S. for $399, while Microsoft's range of Xbox 360s now start at $199.

Sony has said that it will not be reducing the price of the PS3 this year.

"I suspect that the reason why Sony has been so adamant about maintaining its current price point is because it has not reached a more efficient scale in its manufacturing of the PS3," said Divnich.

"Long-term, I don't think anyone doubts the success of the PS3, however it is currently looking like the Xbox 360 will win another holiday season against the PS3 in North America."

Across all three models, Divinch expects a 20-30 percent short-term jump in Xbox 360 unit sales thanks to the price cuts.

Analyst Michael Pachter with Wedbush Morgan told Edge that he thinks the price reduction will "spark an increase of 15-20 percent in unit sales over the next 12 months."

Colin Sebastian with Lazard Capital Markets called Microsoft's move "good news for the videogame industry," adding that it may boost sales of the upcoming Rock Band 2 and Guitar Hero: World Tour.

He added that his analysis of historical U.S. console sales shows a leap in uptake after hardware breaks the $200 mark.

"In addition, given the weaker consumer spending environment, the Xbox 360 should also now be in closer reach of more price-sensitive consumers," Sebastian said.

What about Nintendo?

With Xbox 360 and PS3 sales virtually neck-and-neck every month in the U.S., the focus has been on that horse race. But it's Nintendo's platforms--the Wii and the DS--that have been consistently outselling its rivals by large margins.

But now that the Xbox 360 Arcade is $50 cheaper than the $249 Wii, should Nintendo be on its guard?

"Nintendo need not worry about Microsoft, or anyone else for that matter," Divnich said plainly. "Nintendo will always be its own worst enemy (in terms of keeping up with demand).

"...Nintendo has so much wiggle room on the Wii’s pricing that they will never be afraid of a competitor trying to use price as a differentiating feature.

"If they ever felt threatened, they could drop the Wii down to $149 and destroy a competitors momentum. But in this particular case, Nintendo won’t feel too threatened by an Xbox 360 price drop."

Sebastian also said that he doesn't expect Nintendo to change its pricing strategy in the wake of Xbox 360's price drop, noting that the Wii remains in short supply at retail, despite being on the market since late 2006.

http://www.edge-online.com/features/360-will-beat-ps3-this-holiday-analyst

This article isn't talking about WW I dont think, now that I look at it. It is only talking about NA,amirite?

So.. he expects a 30% spike short-term?

Last week it was 47,734

So it should become 62,054 then? That's not really "beating", is it? :-/

That same week, the PS3 was at 69,528

PS3 will crush the 360 in Others ( where the 360 already had a big price cut this year by the way) and the 360 won't be able to make up for Others numbers in NA...........

And if this is NA only, it's time he realizes NA isn't the biggest gaming market anymore, Others is slowly taking the crown.......

/thread

VGChartz Hardware data for the period 05th Jan 2008 to 30th Aug 2008:

Maybe it was the good will towards M$ from the EU.  /sarcasm

Sorry for that error, I just copy this from the internet, somebody's article.

Too early to say, but the price cut will definitely boost sales of the PS3, and I think these guys are strickly speaking about NA, not worldwide.

In order for this comparison to be valid, you have to compare current sales to those from immediately before the price cut.  The price cut took place in March of this year, so as it is you're including two and a half months of pre-price cut data in your '08 figures.

Look at this graph:

http://vgchartz.com/hwcomps.php?cons1=X360&reg1=Total+Other&cons2=X360&reg2=Total+Other&cons3=X360&reg3=Total+Other&start=39453&end=39691

For the last month the 360's sales have been averaging slightly below what they were averaging in January and February at the beginning of the year.  The price cut's effect has already diminished.

The 360's sales have improved this year, but they improved across the board in all territories, and it was most likely due to the major releases last holiday season, including the juggernaut Halo 3, and not a price cut.

 WHOA!!! OH MY FUCKING GOODNESS! I WOULDA NEVER FIGURED THE WII!!!!

what a bold prediction! OMFG! I can't get over what a risk taker you are. seriously if the lottery company put out the odds it would be:

Wii: 0.5-1

PS3: 1,000,000-1

360: 2,000,000-1

thats right 0.5 to 1 odds. You actually lose money betting on the wii, even if the wii does win. If you bet $100, then you win $50.