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Forums - Sales Discussion - Sony speaks (SCEE's David Reeves)

It may be taking a YOY drop, but I'm not sure what else they can expect for a console so old
It is still selling ridiculously well for such an old system plus I think Sony has a hard time convincing themselves to cut the profit margin of their biggest cash cow at such a time when they are hemorrhaging money



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Add back B/C



Sony really are between a rock and a hard place arn't they. The thing is they are losing so much money on the PS3 that by going lower will risk the company in the same way it did Sega. Going cheap does not gurantee you win. Look at sales after the PS3 price cut last year, the 360 still sold more then the PS3 at xmas. Then before the 360 price cut this year the consoles were running neck and neck from after MGS4 release to september. More proof that going cheaper does not automatically mean loads of sales. If Sony come out and price drop Nintendo and Microsoft will do the same and still make money where as Sony will lose even more money. If that happens it is game over for Sony as they have bled money for so long will banks continue to bail them out when they themselves are in a bad place? Obviously not. This holiday period will hurt the company really bad. The PS3 image will have been busted up some more. I just cant see Sony cutting the cost for the PS3 so i agree with the guy, were see no price cut for the PS3 until they can get the costs down. That seems a long way off.



"Our strategy is very much value added. That doesn’t mean we are going to add pieces of software"

Wonder wat they'll add maybe ps2 b/c

i still think a new sku with 20g HDD and no wifi for 299 and keep the 80g for 399 at march would be best that way there'll b something to compete with the arcade it will look better than the arcade since it well have a 20g HDD and bluray and they can won't lose money on the 80g

then fall time start cutting prices



                                                             

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BHR-3 said:
"Our strategy is very much value added. That doesn’t mean we are going to add pieces of software"

Wonder wat they'll add maybe ps2 b/c

i still think a new sku with 20g HDD and no wifi for 299 and keep the 80g for 399 at march would be best that way there'll b something to compete with the arcade it will look better than the arcade since it well have a 20g HDD and bluray and they can won't lose money on the 80g

then fall time start cutting prices

 

they would have to gain a profit on the current skus first wifi, is not that costly, and they need the bottom sku to make money 



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Im pretty sure sony will have a price drop in the spring. I would bet money on it.



craighopkins said:
Im pretty sure sony will have a price drop in the spring. I would bet money on it.

I agree, their situation is too dire to ignore the low sales.

 



Currently playing on PS3: God of War III

Currently playing on Xbox360: Final Fantasy XIII

Currently playing on NDS: Chrono Trigger

Damn they are so screwed...

Post Christmas PS3 sales are going to dwindle to shockingly low levels. Even if the global economy was great, the amount of people willing to pay that much for any game console is getting smaller. Let alone the amount of people willing to pay that much for a console when there are two other great consoles out there.



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stof said:
Damn they are so screwed...

Post Christmas PS3 sales are going to dwindle to shockingly low levels. Even if the global economy was great, the amount of people willing to pay that much for any game console is getting smaller. Let alone the amount of people willing to pay that much for a console when there are two other great consoles out there.

How do you figure that? Exactly what constitutes "shockingly low levels"? PS3 will be better off then it was in Q3 2008 during a dry season where no exclusive games were being released and the 360 had just been given a huge price-cut. At least come Q1 2009, PS3 will have had a slew of great new games (LittleBigPlanet, Valkyria Chronicles, BioShock, etc) as well as a good amount of new exclusive releases and big name multiplats such as White Knight Chronicles, Killzone 2 and Resident Evil 5. PS3 will definitely do better in Q1 2009 than it did in Q3 2008.



I'm not suprised that the PS3 is not getting a price cut anytime soon. They are still losing cash on the system since release, and with raw material prices increasing thanks to the credit crisis (as well as finding it difficult to find anywhere to loan cash from for major projects) I wouldn't be suprised if they are losing even moreso. Added to that, recession brings along doubt of expensive investments, so the PS3 is at a major disadvantage there as well.

Personally, I think it would depend on how long this global crisis continues before we see anything happen with the PS3 in terms of pricing.