There have been a number of articles about Sony's problems with the PS3.
One criticism is that the price is too high compared with the Xbox and the Nintendo Wii. Even though the PS3 is not out yet, I find this argument to be pretty shallow. Frankly, Im sick of hearing it.
The PS3 is pushing out seriously new hardware. If that hardware does not translate into better games, the product will fail. But if it allows versions of games that cannot be matched on any other platform, it will be a huge success. And a section of the market will pay for the top of the line experience, whether that is on a custom PC or a PS3.
The real flaw with the price argument is the PS2.
The PS2 is still putting out great games, it is cheap to make and (unlike the Xbox) profitable. Sony should be able to rev the PS2 hardware, such as adding improved networking or a hard drive, to create a PS2+ that competes head to head with the Nintendo Wii and the cheaper Xbox 360 Core.
A PS2+ would allow Sony to compete in two completely different price points ($150 and $500) and bring their massive game catalog to the party. The PS2+ would give the Wii trouble and Microsoft just couldnt match it since they have abandoned the original Xbox.
With a PS2+ and a PS3, Sony would look very different. Sony would be well positioned to continue its dominance and maybe these stories about Sony going out of business with the PS3 would end.
No one is talking about a PS2+ but the PS2 is profitable and well positioned to be a $150 mass-market game machine for years to come. I hope someone in charge is smart enough to see that.
Nintendo has it right - growth to the overall game market isnt going to come from hard-core gamers. To broaden the game market, we need more affordable systems with female and family appeal. Something the PC is already seeing with casual games.
Older Consoles Lift Game Publishers
Sony PS2 and Nintendo DS Drive Sales as Newer Models Get Set for Holiday Launch
Wall Street Journal
October 31, 2006
The buzz in videogames is all about new hardware, including the imminent launch of Sony Corp.'s PlayStation 3 and Nintendo Co.'s Wii consoles, along with the prospects for Microsoft Corp.'s Xbox 360 in its sophomore holiday season.
The biggest money in games, though, is coming from older, less sexy machines such as Sony's PlayStation 2, which has been out for six years, and the Nintendo DS portable console, which has been out for two years.
...
One reason PS2 game sales are doing so well is price. Sony earlier this year dropped the price of the console to $129 from $149, a move that appears to have attracted a lot of new game buyers. In fact, the PS2 is outselling the Xbox 360, even though it is a far less advanced machine. Mr. Taylor, citing NPD data, said Sony has sold 2.4 million units in the U.S. this year, compared with 2.1 million units for the Xbox 360.
The trend has helped strengthen the PS2's position as the dominant videogame console, with more than 106 million shipped world-wide.
Updated 11-16-06 with article from 10/31/06.
