Pro: Playstation 3
Sony finally coming to its senses?
Is Sony finally figuring out that the high-end technology market is not as big as they originally thought? Now that sales for the PS3 have died down in Europe (probably sooner than Sony hoped) they finally are looking at changing their pricing strategy.
While Sony should be commended on having plenty of consoles for the European launch, this also left retailers with way too much stock in their warehouses. Stores across Europe are having sales on the PS3 to relieve excess stock, even though the console has only been out a month. The last large market for the PS3 to penetrate has been made and now the leadership at Sony feels they need to change strategy.
To their credit, Sony built a high-end device that is actually a very good deal when you consider everything that comes in the box. However, when you create a high-end device and it has a $600 price tag, that severely limits your market. Sony thought people would 'work harder' to be able to afford their new console, but that is not how the world works.
The PS3 is an expensive piece of technology that has a limited market. This would not be a problem if it was a TV, or a regular computer, as Sony could just charge more, make less units and turn a profit. However, in the video game business, consoles in the hands of consumers is what you need to make a profit. If people don't own the system, publishers won't make games for it. Sony is losing money on the machine already, and needs to sell more systems to sell more games to make more profits.
I'm not sure what Sony can do to correct their issues, but let's hope that Sony can come up with a good strategy to reverse their earlier poor decisions. A three-way race in the video game arena is what is best for gamers, so if Sony can dig themselves out of this hole, we will all benefit.
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Votes: 1Posted by BillionGysp
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