Well, while I always thought a price cut on the PS3 would be a strong play for Sony, I didn’t realize it would be that strong. Sony released word that they have sold one million Playstation 3 (and PS3 slim) devices since the cut and introduction of the PS3 Slim 3 weeks ago. Sony really played the price cut right by lowering the price of the existing Playstation 3 immediately, and also informing people that a slimmer, more enhanced model was coming. It gave consumers the two things they wanted: options, and a lower price. I think I could make some pretty crazy economic formulas to represent how just $50 can totally change momentum for console like this. Sony is looking alot stronger going into the holiday season, and I think interest in the PS3 and new PSP Go will drive great sales for the company.
Anyway, he PS3 is priced at 29,980 yen in Japan, 10,000 yen less than its earlier version. The recommended retail price is 299 dollars in North America and 299 euros in Europe.
However, I feel that the Playstation team is lagging behind in America – it is time to bring a network of streaming television channels. Why can’t we have a Playstation Network Channel listing with videos from Engadget, Gizmodo, gdgt, the dozen or so awesome Playstation-related sites and so forth? The Playstation 3 content teams need to start forming relationships with all these new young websites that are venturing further into video. There also needs to be a way to enjoy movies we’ve purchased or rented off the Playstation Store with others in Home.
Regardless of my ideas, Sony is still sailing strong with the Motion Controller. While some have found rather interesting ways to negatively describe it, I still consider it a strong play for Sony to capture interest in new areas – kids and those other elusive market segments gobbled up by the Wii. The Motion Controller is a way to attract those audiences who felt the console was too complicated, and cater to those who are already a fan of it. What’s more impressive is that Sony can now say that this is an intelligent console for kids; the Motion Controller could fuel education games in a way never before possible. The Wii is also capable of this experience, but the PS3 has much more advanced graphics and storage capability with Blu-ray discs.
Jack Tretton, chief executive of Sony Computer Entertainment of America, said he expects the price cuts and a lineup of popular games due ahead of the Christmas holiday will lift the entire video game industry, following some six months of sales declines.
“In a very difficult economy, I couldn’t be more optimistic about our fortunes for the rest of the year and for the future,” he said.
But he noted that higher demand for the PS3 could leave some retailers out of stock.
“If things continue at this pace, it is conceivable that there will be product shortages,” Tretton said.
