I must apologize. The title of this blog is a bit of a ruse to get your attention. So if you were expecting a big rant about how Sony is failing, you're going to be disappointed. Rather, I would like to offer my perspective on Sony's current problems, having fairly intimate knowledge about the North American and Japanese game territories. Now allow my to explain what my blog's title:
Last Place
Currently, in all territories, Sony is in last place. Of course, since they haven't released yet in Europe, it doesn't seem fair to say but with the current generation already hitting its stride, being this late is going to hurt Sony considerably. That is, if Sony's goal is market share domination in that territory. I think at this point though, turning a profit is the most important agenda.
Why has the PS3 been met with cold feet when compared with the PS1 and PS2? To understand the many problems surrounding the PS3, it may be a good idea to take a good hard look at the PSX, a console Sony released about two years ago in Japan only.
The PSX was a console that cost in the neighborhood of $850 USD. What it was, was a DVD player, recorder with TiVo-like capabilities and a wealth of multimedia functions. It also played PS2 and PS1 games. Nobody bought this machine. It sat on store shelves and collected dust in Akihabara, the capital shopping district of Japanese electronics. The last television commercial for it I saw of Japanese TV where Sony was trying to push sales, it didn't even mention the game playing functionality. It had in previous commercials, but now Sony had learned a hard lesson: the type of consumers interested it a DVD player/recorder/TiVo unit are not interested in playing games. Not for $850 USD.
Why would Sony do exactly the same thing a few years later with the PS3? They fell in love with the idea of their Blu-Ray format. They justified the PSX's failure with the notion that the PSX didn't offer anything really next generation. The PS3 offers a next generation gaming experience and a high defination video experience. Cheaper than other stand alone HD-video players on the market, even at $600 USD the PS3 sounds like a pretty good deal. Make no mistake, the technology Sony is offering you with the PS3 is an amazing value. The PS3 is a technological marvel. The PS3 is way ahead of it's time.
Therein lies the source of many problems. First of all, consumers all around the world are not ready for the next generation video format. It might amaze you to know that many people all over the world are purchasing thier first DVD player. VHS tapes are still being bought and sold in this day and age. Most people will not buy a high-definition television set within the next 5 years. The world doesn't really need a next generation video format yet. Nerds do, but remember, nerds are still a minority.
This box of Sony's does more than play movies, it plays games. This is where Sony's machine doesn't perform quite as well, simply by design alone. Spending so much time devoloping amazing hardware for the PS3, Sony neglected other important aspects of a game console. These are:
Online Infrastructure: Sony's Online service pales in comparison to Xbox Live. The Xbox 360's online integration has set the standard for this generation and all that will follow. While Sony's Online experience is not horrible by any means, it just does not compete. Achievement points, Live Arcade and constant access to other players are some aspects where Sony is lacking or altogether missing. Sony needed something almost exactly like Xbox Live.
Backwards Compatibilty: While some argue that the importance of this feature is questionable, it has become clear that it's a growing concern. The PS3's ability to play PS1 and PS2 games has a few forgivable flaws, save one: the lack of access to previous generation's peripherals. Not being able to use unique controllers and stardard memory cards really hurts the PS3's appeal when you realize you have to have your PS2 hooked up beside it in order to play your faorite games. This design flaw alienates the casual game consumer.
PSP connectivity: As of now, the method in which you download PS1 games for the PSP is convoluted and the result of trying to get some download service out to the market without developing it fully. It is such a sloppy system that it shakes confidence for future service even with the Sony faithful, and alienates consumers who are not tech-savvy. This design flaw hurts consumer confidence in the product and service, alienates the average comsumer.
The PS3 can't provide game consumers with the same experience as the competition...yet. While these design flaws can be overcome eventually, they hurt Sony the most at launch. With no major PS3 releases drawing consumers, and such limitations on the online/connectivity/backward compatibilty experience, it isn't much of a surprise that the PS2 is outselling the PS3.
Under the hood, the PS3 is capable of amazing games. Unfortunately, few PS3 games released thus far have shown anything that even hints at this potential. Pair this up with the fact that most players are playing on a standard definition television and some more wind comes out of the PS3's sales. At this point in time, it takes to many factors outside of the PS3, to get the most out of the PS3's technology. As of now, the PS3 is not the best buy for the average person interested in playing some video games.
These design flaw are currently the shackles to which Sony is bound. Intelligent management and time will help counter or altogether eliminate these issues. Unfortunately, the things outside of Sony's control might be even more of an alarming concern.
Next: (Part 2) Bad timing and the last generation