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Forums - Sales Discussion - Would a PS3 price cut do it?

Stromprophet on 17 March 2007

I saw an article from an analyst reporting on the February sales of PS3. And they said a PS3 price cut was critical. What do you guys think? Would you buy the PS3 at 100 bucks less? For me I really think it's priced appropriately for all the technology that's inside. But J6P can't just spend 500 bucks when they are used to spending about 300 dollars for a brand new realeased system. *If* M$ price cuts I would expect Sony would have no other choice. Right now Microsoft is losing market share which is the one reason they would price cut. But I expect everyone waits a few more months to see results. I think the first month Microsoft would compare is May 2007 to May 2006 when the 360 was no longer supply constrained. If they don't see a year over year gain I think they would consider cutting the price.



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dallas on 17 March 2007

Of course a price-cut would increase demand for the PS3. However, a Sony will have to find a way to decrease the price of production first.. With the increase in production from the Europe launch, and its newer better games coming out, and the hopeful implementation of HOME, if they can increase monthly production enough, it might happen sooner than later. I am basing this on the fact that it is cheaper for a factory to operate at 80% capacity than say 50%.



gamingdevil on 17 March 2007

Stromprophet said: I saw an article from an analyst reporting on the February sales of PS3. And they said a PS3 price cut was critical. What do you guys think? Would you buy the PS3 at 100 bucks less? For me I really think it's priced appropriately for all the technology that's inside. But J6P can't just spend 500 bucks when they are used to spending about 300 dollars for a brand new realeased system. *If* M$ price cuts I would expect Sony would have no other choice. Right now Microsoft is losing market share which is the one reason they would price cut. But I expect everyone waits a few more months to see results. I think the first month Microsoft would compare is May 2007 to May 2006 when the 360 was no longer supply constrained. If they don't see a year over year gain I think they would consider cutting the price.
I wouldn't give more than 300$ for a console.




euclid on 17 March 2007

I personally would not buy a PS3 if the price dropped. I will wait on the fence for a while more (my wii is keeping me busy) and see how this all falls into place.



dallas on 17 March 2007

I think that the PS2 is selling at about 2/3's of its original price....if the analogy holds then perhaps sony will reduce the price of the ps3 to $400 eventually.



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TheSource on 17 March 2007

Not in Japan, because it is already cheaper than in the US (and will be cheaper than in Europe). I think PS3 would outsell the 360 in the USA/Europe if it was the same price...but it isn't, and I don't think it will be. PS3 can do 500,000/month at the prices it is at worldwide (once it comes out in Europe). Once it goes down $100 in the US/Eur, I think the PS3 does like 650,000/month.



People are difficult to govern because they have too much knowledge.

When there are more laws, there are more criminals.

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zsidane on 17 March 2007

I personnaly never planned to buy a PS3 before 2-3 years because I can't put the price on it, so I won't jump on it just because it costs 100$/€ less. But I'm sure there will be more people that will go and buy it at that new price. How many people? Nothing compared (in my opinion) to the sales that everyone here is looking for. They need more good games and more people with HDTVs. By the way, wiche one will you chose? a 360 w/HD-DVD (Zephyr) or a PS3 (at the same price) ?



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kars on 17 March 2007

Stromprophet said: I saw an article from an analyst reporting on the February sales of PS3. And they said a PS3 price cut was critical. What do you guys think? Would you buy the PS3 at 100 bucks less?
Well, I wold not, but you can be certain, that there would be some other people who would think differently about it. The problem: I am not so sure if Sony could get support from its banks for such a move. It would probably not be as significant as the current price drop of the Xbox 360. For 300 Euro you find much more people willing to buy, than for 500 Euro for a PS-3. FOr 250 - 200 EUro you would probably reach the borderline for several casual gamers, but this would still be a long way. Even the normal price of 400 Euro for the Xbox 360 was a bit high, but if you ask in the 500 to 600 Euro range you could rephrase the question: Do you want a BluRay Player now? For people who answer yes, the price drop from 600 Euro (798 $) to 500 Euro (665 $) would probably not be so significant.



dallas on 17 March 2007

Yeah, people are buying the x-box left and right, so a price cut could go a looonnng way in sales....



Stromprophet on 17 March 2007

dallas said: Of course a price-cut would increase demand for the PS3. However, a Sony will have to find a way to decrease the price of production first.. With the increase in production from the Europe launch, and its newer better games coming out, and the hopeful implementation of HOME, if they can increase monthly production enough, it might happen sooner than later. I am basing this on the fact that it is cheaper for a factory to operate at 80% capacity than say 50%.
65nm, cheaper heads (courtesy of Pioneer or someone producing over volume), cheaper blu-ray laser diodes (which is already happening because of increased production by Pioneer, Samsung, etc on Blu-ray players), and the removal of the emotion chip. Sony is already on course to bring the parts cost down by 100 dollars by the middle of this year.