While I agree that Sony's PR has been awful, with countless mistakes. I don't think the reaction to Activision's threat was one of them. Activision was clearly overstepping its boundaries by requesting a price-cut.

Most likely activision CEO is getting pressured that ps3 titles are not performing as well as shareholders would like. Also, if you have enough wieght (activision does on HD consoles) then you can make statements like this. It is a mutual relationship, but Sony WOULD hurt more from the loss and that is why he can make these statements. Sony cannot afford to lose them, cause if he does, then it is a greenlight for other third parties to start making demands. And activision can easily succede without the ps3. 

PS3 fanboys are making the mistake of thinking the ps3 is more important than it is this gen. It is a third place system that should get the least amount of focus unless you are a party that is making an effort to get out of the limelight and find a niche to cater to. Why do you think alot fo ps3 titles are going multiplatform? It is not because of moneyhats most of the time. The same thing with 360 exclusives. They perform better, and if a company wants to maximize the tech they can do this with a lower cost than a ps3 exclusive. 

There are alot of fanboys for all systems, I admit that I am a bigger fan of Nintendo than of either of the HD systems, but alot of what we see this gen is a combination of business decisions, smaller third parties ran by wanna be rockstar devs (who got this attitude from the ease of profit from last gen + being hardcore gamers from youth thet never needed to learn professionalism) and the market showing what it cann support currently and what it cannot.

Lastly, the market can only support so much as there are limited consumer dollars ESPECIALLY NOW. Sonyshould not be blamed for not predicting the recession. What it should be punished for, and is, is getting the attitude that they could do whatever they wanted and stay leader (the exact same thing nintendo did). And they are getting punished for it even now. Stringer looks to be a good CEO, but time will tell us how good he does. Even if Sony has more troubles in the near future, right now it is not the time to judge his performance by the bottom line. This will judge him in time because it takes time for him to turn it around. He may have been ceo for awhile, but the company is hesitant to change, and do not forget that he is also accountable to the board of directors (which there is alot of stuff already saying he could not do what he wanted in the past and his hands were tied). And, Sony is a bigger company, and changing a big company is a hard task. It is easier to change directions with smaller companies. For Sony to be a strong company again it will need time and good management and direction. Without it it will continue in its troubles and will continue to lose money. If Stringer is a good CEO (which means reading the market in advance and pacing the right people in the right positions) then they will do better.

So in ending, the PS3 is the third place system that is the most expensive to dev for. This means it gets the least amount of attention and it is the fault of the company that this occured.Sony went from having over 70% market share with the ps2 to having 21% this gen. It loses money with every unit and has lost astounding amounts of money in R&D. It has lost alot of its brand power. It is not making these back with liscensing costs because software sold is far lower than any other of the systems. So, the ps3 is a total and abject failure. But, with the right direction Sony can turn the tides and have a better go around next gen. Stringer looks to be a good CEO so it is very possible this happens. But, if they make the same mistakes they have been making (and pspGo points to this) then they will continue to lose money, brand name, marketshare and relevence. 

If you are going to try and defend the ps3 then refute these points, otherwise you are missing what the ps3 is and why it is where it is and what it means for the industry, Sony and the future.

Edit: Wii_Master, you can't get rid of the blu-ray player on the ps3 now, it would not be able to play any of the games out now! That would be prolly the stupidist possible move they could make. This decision would have had to be made in R&D phase of the ps3 before it launched. 

Unreasonable, pointless and downright stupid bashing of Sony is the new cool thing to do. We got used to it a while ago.

One home console *cough*Wii*cough* is enough for everyone. Sony should quit and let the industry flourish again.

Market cannot sustain 3 well atm. This is what happens when the market has more products than needed.

but the market is growing isn't it, and has been growing since xbox came out. We now have more consoles on the market than ever before. 6 including pc.

yeah guys i said sorry about my post i know it was stupid but i forgot all about how ps3 games are bluray so sorry all i was thinking about when writing that post was on how to reduce cost by like $150 to $200

Handhelds are not in the same market exactly. The growing market is that of the new type of users:wii sports, wiifit, etc. They will buy some traditional games, like mario, etc and some can be moved up but they are not going to go out and buy an expensive HD machine.  The "Hardcore" forum goers that like rpgs, etc is shrinking while the cost of the machines and games go up. All this while income is stagnet and layoffs are occuring means there is less of a market for traditional games. Not only that, the games this gen cost FAR more to develop for. Smaller market + increased costs +smaller or similar sized market = less profit and more losses.

It was one of the reasons I bought a PS3, along with Tekken 6 (coming to 360), Last Remnant (where is it???), Devil May Cry 4 (on 360), GTA IV (expansions exclusive to 360) and some first party games. Let's not forget the inferior multiplats and delays. It's almost 3 years since the PS3 has been on the market, and it's still getting the inferior version. Ghostbusters looks blurrier, lower resolution, has framerate problems and other stuff. It's all thanks to Sony's ridiculous PS3 pricing, high development costs, stupid marketing/advertising and complicated architecture. For $499, it's not worth it, and I'm sure many consumers feel the same way. For half the price, you can get the same, if not better gaming experience on the 360.