Sony Hints It May Cut Prices on PS3 Game System

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Squilliam on 18 May 2009

I wonder if the fact that the PSP is doing poorly in the U.S. has anything to do with the Iduo of iPhone and iTouch?

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NJ5 on 18 May 2009

Munkeh111 said:
@ NJ5, aren't they hoping PSP sales, which I assume will produce profit, and increased software sales will help offset that. Now we are into 2nd or even 4th games for Sony developers, the costs are going to be lower, with the massive cost of Killzone 2 gone (it cost them nearly as much to make 3) that should help somewhat, but they are still likely to make a loss

I suppose they took that into account in their forecast. There are positive things happening in Sony's gaming business, like PSP and PS3 increased userbase / decreasing costs, but there are negative things as well like PS2's decline and the need for a PS3 price cut to attain their sales goals. The negative factors are winning for the foreseeable future.

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Munkeh111 on 18 May 2009

NJ5 said:

Munkeh111 said:
@ NJ5, aren't they hoping PSP sales, which I assume will produce profit, and increased software sales will help offset that. Now we are into 2nd or even 4th games for Sony developers, the costs are going to be lower, with the massive cost of Killzone 2 gone (it cost them nearly as much to make 3) that should help somewhat, but they are still likely to make a loss

I suppose they took that into account in their forecast. There are positive things happening in Sony's gaming business, like PSP and PS3 increased userbase / decreasing costs, but there are negative things as well like PS2's decline and the need for a PS3 price cut to attain their sales goals. The negative factors are winning for the foreseeable future.

True. What I want to know is the breakdown of revenue and costs. How much profit do they make from a PSP, PS3 or PS2? And How much do they make on software. How high are their development costs, and how much do games like inFamous or Resistance cost them. I wish they were more open with these figures, but I do think that they will not be able to fully offset those negatives, but certainly decrease the loss

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HanzoTheRazor on 18 May 2009

Price cut AND slim PS3 are definitely comming! It is just a matter of when really.

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BMaker11 on 18 May 2009

ZenfoldorVGI said:
I think when he said "underwhelming software lineup" he meant from launch till now. Don't forget, before MGS4, it was generally perceived that the PS3 did not have a single AAA exclusive. Only very recently has the Sony software lineup risen to expected levels.

Later in the article, he also mentions that the future lineup of PS3 exclusives looks excellent, meaning that when he said "underwhelming software lineup" initially, he was referring to the past, and not future library.

I agree with him. At this point in its life, I think the PS3 library is on par, or below what most would have expected before this gen began.

Well, that $400 price point and "underwhelming" library at the time sure didn't stop it from outselling the 360 at the end of 2007 and more than half of 2008