A PS3 price cut: Too little too late?

Do you guys think that if Sony announced a price drop for the PS3 at E3 (which is very likely) that it would be too little too late? How much off the price does the PS3 need to start dominating?

Analysts throw in their opinion:

"Despite growing anticipation that a $100 price cut for the PS3 is imminent this summer or early fall, we do not believe such a move would meaningfully improve stagnant PS3 sales and we are growing more concerned that a share shift away from Sony and Microsoft to Nintendo's Wii platform is incrementally negative of all 3rd-party publishers," Savner said.

He continued, "Based on our analysis, we conclude that a $100 price cut for the PS3 (we have dismissed a potential $50 cut as meaningless) would still leave the 'all-in' cost for a PS3 console and basic accoutrements 20-25% higher than the comparable Xbox 360, and does not even reflect the possibility that Microsoft could also lower its hardware prices. Further, an important driver of Sony hardware last cycle was exclusive games, such as Grand Theft Auto. Unfortunately, Sony does not have a similar advantage this cycle. Halo 3, a highly anticipated game release this year is a Microsoft-published game only for the Xbox, and Grand Theft Auto IV, by Take-Two's Rockstar unit, is being released on both the Sony and Xbox platforms."

BusinessWeek

What do you guys think?

$100 Price drop will make me happy :)KillaHalo2o9

I think it needs at least $100 off by Christmas to compete well with Halo. I think it will happen too. 

I dont think its the price thats the problem. The games for the ps3 are old and rehashed- there isn't any innovation and thats why the market is not biting. They should take a lesson from nintendo and try to make more innovative games instead and they might sell a bit more- but a price drop won't do much.sexy_luigi

[QUOTE="sexy_luigi"]I dont think its the price thats the problem. The games for the ps3 are old and rehashed- there isn't any innovation and thats why the market is not biting. They should take a lesson from nintendo and try to make more innovative games instead and they might sell a bit more- but a price drop won't do much.swaginator

[QUOTE="sexy_luigi"]I dont think its the price thats the problem. The games for the ps3 are old and rehashed- there isn't any innovation and thats why the market is not biting. They should take a lesson from nintendo and try to make more innovative games instead and they might sell a bit more- but a price drop won't do much.swaginator

Exaclty- thats half assed innovation- people are not dumb

If there is a price cut I WILL buy one this year, that's the only thing holding me back, and I'm sure majority of the other people here as well. It's likely that Sony see's this problem aswell, peopl want one it's just too much money, really, if Sony chooses not to drop the price this year, they will have made a big mistake.

I dont think its the price thats the problem. The games for the ps3 are old and rehashed- there isn't any innovation and thats why the market is not biting. They should take a lesson from nintendo and try to make more innovative games instead and they might sell a bit more- but a price drop won't do much.sexy_luigi

Same with with the wii. Only difference is the controller. How sad. :(

Just let that piece of junk die on the vine and drag Sony down into hell with it. The PS3 is garbage-ware. No one cares about Blu-ray except DRM crazy execs wanting to sink their fangs into every media transaction possible. If they dropped the price down to $300 all it would do is make me laugh. JiveT

well said :D

[QUOTE="swaginator"][QUOTE="sexy_luigi"]I dont think its the price thats the problem. The games for the ps3 are old and rehashed- there isn't any innovation and thats why the market is not biting. They should take a lesson from nintendo and try to make more innovative games instead and they might sell a bit more- but a price drop won't do much.sexy_luigi

Exaclty- thats half assed innovation- people are not dumb

[QUOTE="JiveT"]Just let that piece of junk die on the vine and drag Sony down into hell with it. The PS3 is garbage-ware. No one cares about Blu-ray except DRM crazy execs wanting to sink their fangs into every media transaction possible. If they dropped the price down to $300 all it would do is make me laugh. sexy_luigi

well said :D

ok im getting a html error when makig longer posts. soz

[QUOTE="sexy_luigi"]

[QUOTE="JiveT"]Just let that piece of junk die on the vine and drag Sony down into hell with it. The PS3 is garbage-ware. No one cares about Blu-ray except DRM crazy execs wanting to sink their fangs into every media transaction possible. If they dropped the price down to $300 all it would do is make me laugh. demonik_360

well said :D

I consider myself a realist more than anything :)

[QUOTE="demonik_360"][QUOTE="sexy_luigi"]

[QUOTE="JiveT"]Just let that piece of junk die on the vine and drag Sony down into hell with it. The PS3 is garbage-ware. No one cares about Blu-ray except DRM crazy execs wanting to sink their fangs into every media transaction possible. If they dropped the price down to $300 all it would do is make me laugh. sexy_luigi

well said :D

I consider myself a realist more than anything :)

To bad everyone else doesn't.

A price drop would definitely help, but Sony's window to "dominate" is closing fast.SmashBrosLegend

I don't think there will be any flatout domination this generation. We're not going to see a system sell 100 million units while the other 2 float in the 20 million range. Things will be a lot tighter this time around.  

Just let that piece of junk die on the vine and drag Sony down into hell with it. The PS3 is garbage-ware. No one cares about Blu-ray except DRM crazy execs wanting to sink their fangs into every media transaction possible. If they dropped the price down to $300 all it would do is make me laugh.JiveT

Btw, I think a price of $449 for the PS3 is a GREAT price that Sony can sustain for like 2-3 more years.  That's where it should be at, $200 less would be too much of a loss to Sony and $100 would be still too expensive for the consumer.  $449 is where it's at.

Do you guys think that if Sony announced a price drop for the PS3 at E3 (which is very likely) that it would be too little too late? How much off the price does the PS3 need to start dominating?

 

Analysts throw in their opinion:

[QUOTE="BusinessWeek"]

"Despite growing anticipation that a $100 price cut for the PS3 is imminent this summer or early fall, we do not believe such a move would meaningfully improve stagnant PS3 sales and we are growing more concerned that a share shift away from Sony and Microsoft to Nintendo's Wii platform is incrementally negative of all 3rd-party publishers," Savner said.

He continued, "Based on our analysis, we conclude that a $100 price cut for the PS3 (we have dismissed a potential $50 cut as meaningless) would still leave the 'all-in' cost for a PS3 console and basic accoutrements 20-25% higher than the comparable Xbox 360, and does not even reflect the possibility that Microsoft could also lower its hardware prices. Further, an important driver of Sony hardware last cycle was exclusive games, such as Grand Theft Auto. Unfortunately, Sony does not have a similar advantage this cycle. Halo 3, a highly anticipated game release this year is a Microsoft-published game only for the Xbox, and Grand Theft Auto IV, by Take-Two's Rockstar unit, is being released on both the Sony and Xbox platforms."

the-very-best

What do you guys think?

A $100 price drop would be great, don't get me wrong, but what you must keep mind is that Sony is currently losing over $200 a unit. For them to drop the price by a another $100 would put Sony $300 into the red per unit. Which in my opinion is just way too much money, infact I don't know how Sony's gaming division could generate a profit in the face of such a huge loss. Meanwhile, both Microsoft and Nintendo are earning $80 plus a unit. Which means Microsoft could comfortably drop the price a $100, thus further widening the price gap from a system that has no discernible graphical advantage.

It is very likely that this Christmas the Xbox 360 Premium package will retail for $299 and the PS3 (due it's $200 loss) will likely keep the same price point.

$299 vs 599? Not too mention, the 360 will have Fable 2, Too Human, Bioshock, Mass effect, Halo 3 and Splinter Cell Conviction before the year is over.

IMO Sony should drop the price of the PS3 by AT LEAST 200. This holiday season it's going to get demolished if they don't. With an Xbox 360 price drop, and the Wii already being cheap. They really need to cut that price and fast.
swaginator

Not to mention a dynamtie 360 fall/winter lineup... Ps3 is doomed..... 

$200 price cut is where it's at. I was in FYE today and they had a huge BRD section but a tiny, tiny HD-DVD one. Sony could bank on the revenues from that plus 3rd party games to help them recoup some losses. TekkenMaster606

For me it would be a $200 drop and a bundle. I'm in Canada so that would make it $499.99 before taxes. And I want atleast one game with it like Resistance or MGS4 if it's out which is unlikely.

I wanted the 20GB version not 60GB so a $100 drop is nothing to me. 

Do you guys think that if Sony announced a price drop for the PS3 at E3 (which is very likely) that it would be too little too late? How much off the price does the PS3 need to start dominating?

 

Analysts throw in their opinion:

[QUOTE="BusinessWeek"]

"Despite growing anticipation that a $100 price cut for the PS3 is imminent this summer or early fall, we do not believe such a move would meaningfully improve stagnant PS3 sales and we are growing more concerned that a share shift away from Sony and Microsoft to Nintendo's Wii platform is incrementally negative of all 3rd-party publishers," Savner said.

He continued, "Based on our analysis, we conclude that a $100 price cut for the PS3 (we have dismissed a potential $50 cut as meaningless) would still leave the 'all-in' cost for a PS3 console and basic accoutrements 20-25% higher than the comparable Xbox 360, and does not even reflect the possibility that Microsoft could also lower its hardware prices. Further, an important driver of Sony hardware last cycle was exclusive games, such as Grand Theft Auto. Unfortunately, Sony does not have a similar advantage this cycle. Halo 3, a highly anticipated game release this year is a Microsoft-published game only for the Xbox, and Grand Theft Auto IV, by Take-Two's Rockstar unit, is being released on both the Sony and Xbox platforms."

the-very-best

What do you guys think?

i just realized after months of playing online on ps3 its garbage. i wish there was some sucker that would buy my ps3. im piss off i bought this thing now. 

the price drop is too little and it may be too late. at $400 it would contend better against the 360. had they come out at this price when they launched (not to mention at the same time the 360 launched) then i feel that the ps3 would have sold more units than the 360. but sony decided that the format war was more important than the system war so they sacrificed the ps3 and created a crippled trojan horse. had sony drop blu-ray from the console and used a more traditional cpu (like the one in the 360 or a quad core) then things would be a lot different than they are today. instead sony decided to use the ps3 as a showcase for two pieces of hardware that otherwise would have failed by themselves in the market, and tacked-on a hefty price tag. they could have pushed more units if they offered better games; games that showed the average joe what the extra $200 could do for gaming. instead, the offered crap ports and average-at-best launch games; not that the 360 had an uber launch line-up, far from it, the 360 launch titles were lackluster as well, but at least they offered variety and where somewhat sought after.

as of now, the ps3 is still far too expensive for sony to cut the price. they are still losing $200 per unit sold. if they cut the price by $100, they would los $300 per unit. that's what happened to ms last gen and they took a beating which only now they are starting to pull through. they wont break even until next year but at least they learned from their mistake. the ps3 is sony most expensive mistake and may end up being their most expensive failure. i would not be surprised if they left the gaming market and became publishers and developers for their competitors.

Nah I think that's the sweet spot. I'll definately snatch one up after that.MoldOnHold

I think it is the best thing, I just got mine, but I don't regret the price drop. 

The fall line-up is great (Uncharted, Eye of Judgement, Rachet and Clank) and Blu Ray is doing great now (Casino Royal, Pirates).

Things are looking up for Sony IMO since the disaster that was E3 2006. BTW, what happened to Afrika? 

Do you guys think that if Sony announced a price drop for the PS3 at E3 (which is very likely) that it would be too little too late? How much off the price does the PS3 need to start dominating?

 

Analysts throw in their opinion:

[QUOTE="BusinessWeek"]

"Despite growing anticipation that a $100 price cut for the PS3 is imminent this summer or early fall, we do not believe such a move would meaningfully improve stagnant PS3 sales and we are growing more concerned that a share shift away from Sony and Microsoft to Nintendo's Wii platform is incrementally negative of all 3rd-party publishers," Savner said.

He continued, "Based on our analysis, we conclude that a $100 price cut for the PS3 (we have dismissed a potential $50 cut as meaningless) would still leave the 'all-in' cost for a PS3 console and basic accoutrements 20-25% higher than the comparable Xbox 360, and does not even reflect the possibility that Microsoft could also lower its hardware prices. Further, an important driver of Sony hardware last cycle was exclusive games, such as Grand Theft Auto. Unfortunately, Sony does not have a similar advantage this cycle. Halo 3, a highly anticipated game release this year is a Microsoft-published game only for the Xbox, and Grand Theft Auto IV, by Take-Two's Rockstar unit, is being released on both the Sony and Xbox platforms."

the-very-best

What do you guys think?

How could it be to little to late? It's only been 6-7 months from it's launch and it's main games are not even out yet. A price drop would do a great deal to help the PS3 to sell, the price is a big part of why the Ps3 isn't doing as well as sony would like, but's not the main reason, the main reason it's lack of games, and that is all going to change by the end of this year.

No.

That's all the PS3 needs to do better. I'll get one when it's cheaper.