Sony's PS3 to Cost $100 More Than Microsoft Xbox 360 (Correct)
(Corrects spelling of name in 10th paragraph.)
By Daisuke Takato
May 9 (Bloomberg) -- Sony Corp., the world's biggest maker of video-game consoles, will sell the PlayStation 3 from Nov. 11 in Japan, betting features such as a high-definition DVD player make the machine worth $100 more than Microsoft Corp.'s Xbox 360.
The PS3 will come with a 20-gigabyte hard-disk drive and sell for 59,800 yen ($535) in Japan, and $499 and 499 euros in the U.S. and Europe starting Nov. 17, Sony Computer Entertainment America Chief Executive Officer Kazuo Hirai said yesterday at an industry conference in Los Angeles.
Sony is looking to attract gamers with functions not available on the Xbox 360, such as a Blu-ray DVD player and a controller that lets users maneuver games by waving it in the air. The Tokyo-based company showed the console with games including Electronic Arts Inc.'s ``NBA Live,'' and touted features such as online chatting and game-playing, as it looks to catch up with Microsoft, which started selling the Xbox 360 in November.
``Early adopters will buy the console, even if it's expensive,'' said Fumio Osanai, an analyst at UBS Securities Japan Ltd. ``The Xbox 360 graphics are no different from the previous PlayStation and on top of that, the PS3 will have Blu- ray, so they can justify the price.''
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Even with a $599 price tag, Sony will lose about $100 to $200 on every unit is sells initially, analysts said.
The console costs about $800 to make, Hiroshi Takada, an analyst at JPMorgan Securities Asia Pte., wrote in a report today. Sony last month said the video-game unit may have a 100 billion yen operating loss in the year started April 1.