PS3 price cut effect

Not sure how someone can really be anti-Blu on this article other than just wanting to be. I fully expected the PS3 to sell better after the price cut. I knew of quite a few people at work who were just not going to pay the extra $100 and when they finally slashed the price, all of them jumped on it.

Heck, I bought a 2nd PS3 to make both my movie viewing area's purple when the slashed the price. I also bought an A2 for $98.
 
If it didn't boost sales, then they are in a graver position than anyone could have thought prior. This PR is what the price cut is paying for.

I don't really like the tone in the quotes though:

"It's the breakthrough we've been anticipating," Stringer said. "We've been holding our breath."

"Obviously, we've taken so much heat over the year on PS3," Stringer said from his office in Tokyo. "Finally, the turning point has been passed."

A more telling figure of the price cut effect would be the % increase of sales of the 80gb unit compared to trends. Instead it's all lumped into 'we doubled sales over the previous week'.

Like the HD Disc wars, it's about sustained growth... and like any change to a product, it will encourage many to jump off the fence and make a decision they've put off, especially if it's about price.
 
I made the jump last week (got a PS3 and two BD movies for $339 thanks to a pricing error in a Fry's newspaper ad). I've been monitoring the "war" for the past year. Once I learned of the PS3's internet and media server capabilities along with BD, it was a no brainer. Even if BD loses (which it won't anytime soon), I still got a lot of bang for my buck. I would also buy an HD-DVD at some point for under $200 if that's the only way I can see certain studios' movies in HD. I'm format neutral, with a preference for the product Sony is putting out.

I don't have a problem with the tone of Stringer's quote. Obviously they've been holding their breath until they found the happy medium between what price point would really start to drive sales and what their shareholders would bear.
 
People are forgetting about the PS2, the PS2 sales are making up for the PS3 losses.
A PS2 nowdays its very cheap to build, and the price its great!
Sony is relying on the PS2 sales which I think its a great marketing strategy....now that the original xbox its out of the market,Sony's PS2 has a clear road..personally I think Sony will push PS2 until this year's summer...
 
People are forgetting about the PS2, the PS2 sales are making up for the PS3 losses.
A PS2 nowdays its very cheap to build, and the price its great!
Sony is relying on the PS2 sales which I think its a great marketing strategy....now that the original xbox its out of the market,Sony's PS2 has a clear road..personally I think Sony will push PS2 until this year's summer...

Revenue from SCEA increased 42%, but operating losses doubled, to $800M. This includes the PS2, so it's really not taking up much slack, wonder what those figures would be without it.

Sony game unit's Q2 losses double - News at GameSpot

PS2 sales decreasing, but profitability surely either steady or increasing. I'd hope that after this long they've made that production process as efficient as possible.
 
PS2 makes money for Sony, no doubt about that. But it also cannibalizes PS3 sales.
Both models, PS2 and PS3, address the same market and the same demographics, at least for now, as long as there are very few PS3 smash hits.
I believe PS2's "job" is to reduce the number of XBox sales, i.e. if XBox didn't exist, PS2 would be dead the moment the PS3 arrived.

Diogen.
 
The PS3 60gig really took off when it went it dropped in July, Im sure these cuts are going to get them moving out the door too.
 
PS2 makes money for Sony, no doubt about that. But it also cannibalizes PS3 sales.
Both models, PS2 and PS3, address the same market and the same demographics, at least for now, as long as there are very few PS3 smash hits.
I believe PS2's "job" is to reduce the number of XBox sales, i.e. if XBox didn't exist, PS2 would be dead the moment the PS3 arrived.

Diogen.

The PS2 doesn't have anymore competition for last gen (Xbox,Gamecube are now gone).
 

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