What Sony NEEDS to do!

Hey guys, i just saw this article form a columnist over at the escapist website, and so i just wanted to share and start some discussion. I love my systems to death, but i understand that competition is needed to bring the best out of all three companies. So read on, and post your opinions. I know this is system wars, but lets try to lighten up on the fanoyism, and get some honest discussion going, this article IS NOT ATTACKING SONY, but merely an opinion on how they can compete from here on, and i happen to aggree because im a gamer, and i like competition. We really dont need MS taking over gaming this gen lol

LINKY

I agree, the price of the PS3 needs attention. I think Sony also feels like it's one of the cheapest Blu-Ray players as well. However, that doesn't work for me because this is a game console that has competition from other gaming consoles. The number of people who want to spend $400 on a movie player is very small.

With Microsoft agressively going after consumers today with the cheapest console available with the arguably best console lineup right now, Sony needs to act fast. They are in last place and their stubborness with price and delays of their key games are not going to change that anytime soon.

Yes, Sony may end up selling more PS3s than Microsoft sold 360s at the end of their ridiculous 10 year lifecycle. And if that is their ultimate objective, they are far too long-sighted. Microsoft delt them a huge blow this generation and if Sony continues to ignore the drastic changes in the industry Microsoft is making, they will be sorely hurting for the next generation.

Brand name and past success will only get you so far. Sony needs to wake up and start focusing on aggresively going after consumers today.

The PS3 is underpriced compared to the cost it takes to make it...kage_53

If you wait to drop the price until the cost to make a PS3 is less than what they should be asking for it, the hardware will be close to obsolete. They made a "super-computer" and should have known that their pricing structure would have them taking losses on their hardware for a long time.

I agree, the price of the PS3 needs attention. I think Sony also feels like it's one of the cheapest Blu-Ray players as well. However, that doesn't work for me because this is a game console that has competition from other gaming consoles. The number of people who want to spend $400 on a movie player is very small.

With Microsoft agressively going after consumers today with the cheapest console available with the arguably best console lineup right now, Sony needs to act fast. They are in last place and their stubborness with price and delays of their key games are not going to change that anytime soon.

Yes, Sony may end up selling more PS3s than Microsoft sold 360s at the end of their ridiculous 10 year lifecycle. And if that is their ultimate objective, they are far too long-sighted. Microsoft delt them a huge blow this generation and if Sony continues to ignore the drastic changes in the industry Microsoft is making, they will be sorely hurting for the next generation.

Brand name and past success will only get you so far. Sony needs to wake up and start focusing on aggresively going after consumers today.

Fignewton50

I think your wrong in many ways... Sony is not hurting... Sony is a company about the long run... they don't care if they loss money at first (They were lossing a lot on ever PS3 when they first game out... It cost more then 600 for them to make them at the start)... Sony set there Eyes on making the PS3 so it would last longer so they could gain there money of of games sold... Right now there hurt by it, but in no way are they going to die from it... Once some of there major games start coming they will start making more money... They will gain even more because the PS3 will still have all of sonys support when the next Xbox is coming out and then the Ps3 will seem more like the casual gamers entrance into the Next gen...

Sony is looking at the big picture unlike microsoft... Microsoft looked for the quick buck with the Xbox 360 when they released it a year ahead and because of there poor planning they lost Billions on RROD... Sony also lost Billions, but the PS3 is going to out last the 360 which will give them more time to make back there money/ get more money...

[QUOTE="Fignewton50"]

I agree, the price of the PS3 needs attention. I think Sony also feels like it's one of the cheapest Blu-Ray players as well. However, that doesn't work for me because this is a game console that has competition from other gaming consoles. The number of people who want to spend $400 on a movie player is very small.

With Microsoft agressively going after consumers today with the cheapest console available with the arguably best console lineup right now, Sony needs to act fast. They are in last place and their stubborness with price and delays of their key games are not going to change that anytime soon.

Yes, Sony may end up selling more PS3s than Microsoft sold 360s at the end of their ridiculous 10 year lifecycle. And if that is their ultimate objective, they are far too long-sighted. Microsoft delt them a huge blow this generation and if Sony continues to ignore the drastic changes in the industry Microsoft is making, they will be sorely hurting for the next generation.

Brand name and past success will only get you so far. Sony needs to wake up and start focusing on aggresively going after consumers today.

R0gu3Do0d

I think your wrong in many ways... Sony is not hurting... Sony is a company about the long run... they don't care if they loss money at first (They were lossing a lot on ever PS3 when they first game out... It cost more then 600 for them to make them at the start)... Sony set there Eyes on making the PS3 so it would last longer so they could gain there money of of games sold... Right now there hurt by it, but in no way are they going to die from it... Once some of there major games start coming they will start making more money... They will gain even more because the PS3 will still have all of sonys support when the next Xbox is coming out and then the Ps3 will seem more like the casual gamers entrance into the Next gen...

Sony is looking at the big picture unlike microsoft... Microsoft looked for the quick buck with the Xbox 360 when they released it a year ahead and because of there poor planning they lost Billions on RROD... Sony also lost Billions, but the PS3 is going to out last the 360 which will give them more time to make back there money/ get more money...

Sony is hurting. They are last in sales, the old PS2 and PSP are keeping the game division afloat, and I think they are still in the red from all the losses with the PS3.

And of course Sony isn't going to go bankrupt because of the PS3. However, they are risking coming in last place this generation, which could have lasting negative implications for the future of their gaming division. Sony had a stranglehold on the industry last generation with the PS2. Look how much has changed in the matter of 1 generation.

I think Microsoft is looking at the big picture a lot more than Sony. Microsoft is doing everything they can to overthrow Sony and make a huge splash in the video game industry. They launched first, have released almost all of their flagship games, and have very aggresively been competing on price. Sony meanwhile has launched very few of their first party games, barely changed the price, and is still focused on the 10 year lifecycle while Nintendo and Microsoft are running away with sales.

[QUOTE="R0gu3Do0d"][QUOTE="Fignewton50"]

I agree, the price of the PS3 needs attention. I think Sony also feels like it's one of the cheapest Blu-Ray players as well. However, that doesn't work for me because this is a game console that has competition from other gaming consoles. The number of people who want to spend $400 on a movie player is very small.

With Microsoft agressively going after consumers today with the cheapest console available with the arguably best console lineup right now, Sony needs to act fast. They are in last place and their stubborness with price and delays of their key games are not going to change that anytime soon.

Yes, Sony may end up selling more PS3s than Microsoft sold 360s at the end of their ridiculous 10 year lifecycle. And if that is their ultimate objective, they are far too long-sighted. Microsoft delt them a huge blow this generation and if Sony continues to ignore the drastic changes in the industry Microsoft is making, they will be sorely hurting for the next generation.

Brand name and past success will only get you so far. Sony needs to wake up and start focusing on aggresively going after consumers today.

Fignewton50

I think your wrong in many ways... Sony is not hurting... Sony is a company about the long run... they don't care if they loss money at first (They were lossing a lot on ever PS3 when they first game out... It cost more then 600 for them to make them at the start)... Sony set there Eyes on making the PS3 so it would last longer so they could gain there money of of games sold... Right now there hurt by it, but in no way are they going to die from it... Once some of there major games start coming they will start making more money... They will gain even more because the PS3 will still have all of sonys support when the next Xbox is coming out and then the Ps3 will seem more like the casual gamers entrance into the Next gen...

Sony is looking at the big picture unlike microsoft... Microsoft looked for the quick buck with the Xbox 360 when they released it a year ahead and because of there poor planning they lost Billions on RROD... Sony also lost Billions, but the PS3 is going to out last the 360 which will give them more time to make back there money/ get more money...

Sony is hurting. They are last in sales, the old PS2 and PSP are keeping the game division afloat, and I think they are still in the red from all the losses with the PS3.

And of course Sony isn't going to go bankrupt because of the PS3. However, they are risking coming in last place this generation, which could have lasting negative implications for the future of their gaming division. Sony had a stranglehold on the industry last generation with the PS2. Look how much has changed in the matter of 1 generation.

I think Microsoft is looking at the big picture a lot more than Sony. Microsoft is doing everything they can to overthrow Sony and make a huge splash in the video game industry. They launched first, have released almost all of their flagship games, and have very aggresively been competing on price. Sony meanwhile has launched very few of their first party games, barely changed the price, and is still focused on the 10 year lifecycle while Nintendo and Microsoft are running away with sales.

Microsoft is not" Running away with sales" the PS3 is getting closer and closer to it... What sales charts have you been looking at... The PS3 is in the Danger of getting last and if they go for a 10 year lifecycle they could start selling there console for a profit when Microsoft releases there new console and they would still get more support because it would be cheaper and have a much better library... They are planning on making most there money off of games so dropping the PS3 before they have to would be stupied... they could make a lot of money when M$ releases there new console and the PS3 becomes the Cheap Casual Entrence into gaming like the PS2 was...

Sony knows what they are doing. They have dominated 2 generations hardware and software-wise, as well as many other markets. They are great business people. I remember hearing a Sony representative say on the radio a few days ago that "globally, were unbeatable", and I believed him. They need to be turning a profit on the PS3 by the end of this gen so cutting the price now would probably mean PS3 selling at profit until maybe its 5th year. Thats just not good business sense.

Microsoft is not" Running away with sales" the PS3 is getting closer and closer to it... What sales charts have you been looking at... The PS3 is in the Danger of getting last and if they go for a 10 year lifecycle they could start selling there console for a profit when Microsoft releases there new console and they would still get more support because it would be cheaper and have a much better library... They are planning on making most there money off of games so dropping the PS3 before they have to would be stupied... they could make a lot of money when M$ releases there new console and the PS3 becomes the Cheap Casual Entrence into gaming like the PS2 was...

R0gu3Do0d

I anticipate the sales gap to widen greately this holiday season with the 360 being the cheapest console and half the price of the PS3.

I think you put too much faith into the PS3's longevity. 10 years is a long time for hardware to remain relevant and intriguing. The PS2 has been out for 8 years and it is barely relevant with the next generation of consoles having been out for almost 3 years in some situations. Does the PS2 have anything relevant planned for the next 2 years?

Yes, the PS3 will be cheaper and more appealing to people when the next Xbox comes out. I don't think Microsoft is going to suddenly drop support for the 360 like they did for the original Xbox. The 360 will have sold many millions more than the original Xbox, and they'll definitely keep capitalizing on it for as long as it makes sense. They aren't going to hand over the lower price points to Sony before the new Xbox comes out.

I don't have the exact numbers, but you gotta believe that manufacturing an Xbox 360 is a lot cheaper than a PS3, probably by hundreds of dollars. This gives Microsoft a competitive advantage to be able to lower the price on their console. Sony can follow with their own price cuts, but the manufacturing costs of the PS3 are still too high and Sony could lose even more money. Sure, they may move a lot more PS3s, but they will lose more money.

Here's another thing that hardly anybody mentions, but it's still an important point. Sony has many Blu-Ray partners who have an interest in moving their own players. These partners (Samsung, Panasonic, Pioneer, etc.) do not have the luxury of selling their players at a loss like Sony can with the PS3 because Sony can recoup those losses with game sales. These partners cannot recoup their losses with Blu-Ray movie sales. They are trying to churn a profit with their players by selling them for more than what they cost to make. If Sony continues to drop the price of the PS3, then Sony is entering a competitive price war with its Blu-Ray partners.

Some people may wonder, "So what? Sony can do what it wants" but there might be some kind of clause between these companies and Sony that stipulates that Sony cannot engage in big price cuts with its PS3 that would threaten sales of other Blu-Ray players. That's just an assumption on my part, but you have to believe it's a big concern. How can these companies possibly compete with the PS3 if Sony can sell the PS3 at a big loss and they cannot do the same with their players? They can't.