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Sony Cuts PlayStation 3 Price, Aims to Double Sales.

~Kinggi~ said:
90% doesnt even mean anything, The games sony say that works, actually work, but with glitches, so it doesnt even matter cause its a gimped function anyway, kinda like alot fo the 360 games they claim to work.
got any examples buddy?
 

Firewire

Banned
"Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.

The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.

“Any price cut they try to make puts them more into the red,'' says Doherty of the 360."

http://www.n4g.com/industrynews/News-50578.aspx


Sony was actually making money already on the PS3?
 

Avrum

Member
Psychotext said:
Few things to say on this...

1: It's a 2800% increase in rank, not sales (Amazon is odd like that).
2: Yesterday the 360 elite was #1 for a while (It moved around a lot during the day).
3: This isn't the first time the PS3 has been #1 in those charts.

It's fun, but it doesn't really mean much as people have been saying. Oh, and for Amazon tracking, look here: http://www.eproductwars.com/vg/index.cfm (Site dies quickly under heavy load).

How do you know it's by rank?
 

Mrbob

Member
Probably more PS3s sold through amazon.com today than HD DVD players overall in the last month.

End the hi def movie wars! This is what is important. If PS3 needs to take a hit on the gaming side to do so, so be it!

Hi def movies > Hi def games

I can do both on PS3 though. ;)

Watched 3 Blu Ray movies yesterday on a friends 42" 720P TV on the triple. I don't know if I even need to go to the theater again. The picture quality was astounding. Watched parts of Pirates on DVD and then Blu Ray back to back, and the DVD version looked fuzzy like a bad VHS tape by comparison. Blu Ray picture crystal clear. Such a huge difference, when people see it themselves they'll want it. DVD is dead to me now. I need a big screen HDTV stat. My computer upgrade and Crysis can wait.
 

Narag

Member
The Faceless Master said:
got any examples buddy?

From all I've read, the glitches he talks about are extremely minor and the existence of any had a game marked as not fully BC. I could be mistaken though.

Examples from http://www.us.playstation.com/Support/CompatibleStatus

Castlevania: Symphony of the NightPublisher: Konami Digital Ent.Product No: SLUS-00067Description: At random points when the user's character destroys the glass candle holders on the Marble Gallery level (second level), the "glass shatter" sound effect audio is cut short.

Final Fantasy VIIPublisher: Sony Computer EntertainmentProduct No: SCUS-94163Description: On Disc 1, when the first battle begins at the Mako Reactor, a flashing black square appears around the user’s character's pointer.

Devil May Cry 3: Dante's Awakening (Special Edition)Publisher: CapcomProduct No: SLUS-21361Description: The following conditions have been confirmed on PS3 System Software Version 1.32: Throughout gameplay, when the user's character opens a door, the "warping" sound effect plays overlapped by a static noise. All conditions have been resolved on PS3 System Software Version 1.50.
 

Mrbob

Member
I'm sure PS3 is profitable to produce now, but there are some old units still left in the channel as unsold inventory. This is what Sony will take a hit on.

Sony's stand alone Blu Ray player is also $499.99. No surprise that the PS3 costs less than $499.99 to produce now.
 

FrankT

Member
Firewire said:
"Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.

The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.

“Any price cut they try to make puts them more into the red,'' says Doherty of the 360."

http://www.n4g.com/industrynews/News-50578.aspx


Sony was actually making money already on the PS3?

I saw that in the Bloomberg article this morning. I would love to know where that analyst got that information. If they are turning a profit on it already well that is pretty amazing. I have my doubts. As I said in the other thread Isupply really needs to do a new analysis because there last one a couple of months ago supported the opposite in fact, 360 cheaper than retail while the PS3 was no where close.
 

KTallguy

Banned
Mrbob said:
Watched 3 Blu Ray movies yesterday on a friends 42" 720P TV on the triple. I don't know if I even need to go to the theater again. The picture quality was astounding. Watched parts of Pirates on DVD and then Blu Ray back to back, and the DVD version looked fuzzy like a bad VHS tape by comparison. Blu Ray picture crystal clear. Such a huge difference, when people see it themselves they'll want it. DVD is dead to me now. I need a big screen HDTV stat. My computer upgrade and Crysis can wait.

I feel exactly the same way, but people need to learn how to hook up their TVs right first... :lol
 

GCQuinton

Member
Heads up if it hasn't already been posted: just saw that Jack Tretton's supposed to be on Attack of the Show tonight (just started a few minutes ago).
 

Raistlin

Post Count: 9999
Firewire said:
"Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.

The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.

“Any price cut they try to make puts them more into the red,'' says Doherty of the 360."

http://www.n4g.com/industrynews/News-50578.aspx


Sony was actually making money already on the PS3?

If this is true ...

... KK wins.
 

Raistlin

Post Count: 9999
Mrbob said:
Probably more PS3s sold through amazon.com today than HD DVD players overall in the last month.

End the hi def movie wars! This is what is important. If PS3 needs to take a hit on the gaming side to do so, so be it!

Hi def movies > Hi def games

I can do both on PS3 though. ;)

Watched 3 Blu Ray movies yesterday on a friends 42" 720P TV on the triple. I don't know if I even need to go to the theater again. The picture quality was astounding. Watched parts of Pirates on DVD and then Blu Ray back to back, and the DVD version looked fuzzy like a bad VHS tape by comparison. Blu Ray picture crystal clear. Such a huge difference, when people see it themselves they'll want it. DVD is dead to me now. I need a big screen HDTV stat. My computer upgrade and Crysis can wait.

Wow.


welcome brother
 

justjohn

Member
there is absolutely no way they're making profit right now. that would be like one of the most amazing tech stories of the year. and how is ms losing money when its clear the parts they use are very cheap. if anything its ms who should be making money not sony
 
Firewire said:
"Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.

The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.

“Any price cut they try to make puts them more into the red,'' says Doherty of the 360."

http://www.n4g.com/industrynews/News-50578.aspx


Sony was actually making money already on the PS3?


there is no way that's true..

I find that really hard to beleive almost after 20 months.. sounds like FUD to me.
 

Raistlin

Post Count: 9999
justjohn said:
there is absolutely no way they're making profit right now. that would be like one of the most amazing tech stories of the year. and how is ms losing money when its clear the parts they use are very cheap. if anything its ms who should be making money not sony

They are probably factoring in the cost of the 3 years warranty disaster.



If not ... then MS is really ****ed





BTW - Even if MS's ancillary components are cheap, the chips, etc. really aren't ... and MS has to actually pay for everything. The companies they are sourcing from actually need to make a profit too.

Sony has the advantage of actually getting a discount (effectively at cost I would assume) for a lot of the components. BD drive, CELL, etc. Crap, they fab the RSX themselves (though obviously pay a royalty per).

They also have other advantages due to the CE devices and PC's they make. For example, stuff like HDD's, USB controllers, etc. are likely getting a better bulk discount, since they can merge their purchase orders.
 
Avrum said:
How do you know it's by rank?
There's plenty of information out there which explains how the Amazon ranking system works, and lots more stories about how authors have bought their own books up to get them to temporarily appear in the top 10 and amass huge sales because of the increased exposure.
 

Mrbob

Member
KTallguy said:
I feel exactly the same way, but people need to learn how to hook up their TVs right first... :lol

Agreed. I made sure everything was hooked up properly for him. ;) Had HDMI connection, Deep Color turned on, good to go.

My appreciation for the PS3 skyrocketed after yesterday. I mean, I have one Blu Ray movie (Crank, don't ask!) and I'm currently using a 19" widescreen monitor (hooked up via dvi hdcp). The PS3 games looks good, and the blu ray movie looks good, but it seems like a waste on such a small screen. I need something bigger. :)
 

KTallguy

Banned
Mrbob said:
My appreciation for the PS3 skyrocketed after yesterday. I mean, I have one Blu Ray movie (Crank, don't ask!) and I'm currently using a 19" widescreen monitor (hooked up via dvi hdcp). The PS3 games looks good, and the blu ray movie looks good, but it seems like a waste on such a small screen. I need something bigger. :)

Save up and get a nice LCD, at least 40". It'll do you good.

I need some speakers soon too.
 
Posted this on Evil Avatar - just thought I'd share. Flame away! :)


What I can't believe is that folks haven't figured out there really hasn't been a price cut. Simply put, the price of entry to play a PS3 game today is $499 - the exact same price it was when the PS3 launched.

Yes, there's a bit more value to the existing hardware SKUs - bravo. But a price cut? Sony's marketing has done it again, and you guys are drinking the Kool-aid.

I did do a post with a bit more - feel free to read or ignore as you prefer.

http://ozymandias.com/archive/2007/07/09/PS3-Price-Drop_3F00_-Not-Really_2E002E002E002E00_.aspx
 

tribal24

Banned
Ozymandias said:
Posted this on Evil Avatar - just thought I'd share. Flame away! :)


What I can't believe is that folks haven't figured out there really hasn't been a price cut. Simply put, the price of entry to play a PS3 game today is $499 - the exact same price it was when the PS3 launched.

Yes, there's a bit more value to the existing hardware SKUs - bravo. But a price cut? Sony's marketing has done it again, and you guys are drinking the Kool-aid.

I did do a post with a bit more - feel free to read or ignore as you prefer.

http://ozymandias.com/archive/2007/07/09/PS3-Price-Drop_3F00_-Not-Really_2E002E002E002E00_.aspx

welp seems like its about that time again-_-
 
Ozymandias said:
Posted this on Evil Avatar - just thought I'd share. Flame away! :)


What I can't believe is that folks haven't figured out there really hasn't been a price cut. Simply put, the price of entry to play a PS3 game today is $499 - the exact same price it was when the PS3 launched.

Yes, there's a bit more value to the existing hardware SKUs - bravo. But a price cut? Sony's marketing has done it again, and you guys are drinking the Kool-aid.

Oh for ****'s sake
 

justjohn

Member
are these people ****ing retarded? it used to be 599 now its 499. how the **** is that not a price drop? seriously it boggles the ****ing mind
 

tanod

when is my burrito
In case people are interested, somebody mentioned earlier in the thread that an 80GB hard drive is the largest single platter drive they can make. Anything bigger than that, the cost jumps.

After this, I don't see them increasing the HD size any more. I think 80GB is hear to stay and at $499 by Xmas.
 

tribal24

Banned
justjohn said:
are these people ****ing retarded? it used to be 599 now its 499. how the **** is that not a price drop? seriously it boggles the ****ing mind

well you know with whatever troll goggles people have on they will always see negative
 
And $499 is the same price the low-end PS3 was available for at launch. In other words, it costs the same to play a PS3 game today as it did when the console first launched. Where's the price cut?

I did say there is more value to the PS3 at that price - no arguing there. But no one can point out a way to play a PS3 game for less than $499, or the launch price... can you?
 

Avrum

Member
Psychotext said:
There's plenty of information out there which explains how the Amazon ranking system works, and lots more stories about how authors have bought their own books up to get them to temporarily appear in the top 10 and amass huge sales because of the increased exposure.

I was just asking since I wasn't sure myself. The fact that some sites are citing a 2800% jump tells me either that for a jump to be so insane sales had to already have been extremely low, or something else is up with those numbers. If it's by rank, then yeah, I'm guess then that would be that "something else."
 

Maximilian E.

AKA MS-Evangelist
Just curious about one thing..

All of you PS3 owners that bought a PS3 to watch Hi-def movies.. how are those universal flicks working for you??

afaik, to have access to the whole HD-movie market, you have to have both HDdvd and blu ray right??

So I was wondering how you guys solved the HD-DVD problem?? Just a PS3 won´t cut it (atm)..
 

Kintaro

Worships the porcelain goddess
Ozymandias said:
Yes, there's a bit more value to the existing hardware SKUs - bravo. But a price cut? Sony's marketing has done it again, and you guys are drinking the Kool-aid.

bloodyslap.jpg
 

Raistlin

Post Count: 9999
Maximilian E. said:
Just curious about one thing..

All of you PS3 owners that bought a PS3 to watch Hi-def movies.. how are those universal flicks working for you??

afaik, to have access to the whole HD-movie market, you have to have both HDdvd and blu ray right??

So I was wondering how you guys solved the HD-DVD problem?? Just a PS3 won´t cut it (atm)..

Wow ... gaf will not survive E3 this year :lol


What in the **** does this have to do with this thread?
 

DCharlie

And even i am moderately surprised
are these people ****ing retarded? it used to be 599 now its 499. how the **** is that not a price drop? seriously it boggles the ****ing mind

yup- but just to go over it from a semi-sensible point of view...

the price cut is great for people who held off because they get more value for your $, however, the price of entry to the PS3 when it launched was still $499 for the 20 gig drive (which plays the same games, the same movies, etc...) and that is still the case.

So i guess the theory is that if people wouldn't bite at $499 last time, then an extra 40 gig hdd , wireless and a card reader probably won't make that much of a difference to the general public because the barrier to entry (the price) is still the same.

It's great news for the hardcore gamer looking for more value on their outlay, but i'm not sure it'll have the desired effect of driving PS3 sales up 100%.

We shall see.
 
Firewire said:
"Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.

The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.

“Any price cut they try to make puts them more into the red,'' says Doherty of the 360."

http://www.n4g.com/industrynews/News-50578.aspx


Sony was actually making money already on the PS3?

You serious? Did you not see this part?

"according to Richard Doherty, an analyst at the US research firm Envisioneering Group."

FYI, here's what Sony themselves thinks on the subject.

http://japan.seekingalpha.com/article/35692

Record sales of Bravia LCD TVs and improving financials at its Game division (which is not expected to be profitable until the FY ending March '09)...

This was from their year-end financial statement. And this was before they factored in an early price drop. This also includes their profitable PSP line.
 
ComputerNerd said:
You serious? Did you not see this part?

"according to Richard Doherty, an analyst at the US research firm Envisioneering Group."

FYI, here's what Sony themselves thinks on the subject.

http://japan.seekingalpha.com/article/35692

Record sales of Bravia LCD TVs and improving financials at its Game division (which is not expected to be profitable until the FY ending March '09)...

This was from their year-end financial statement. And this was before they factored in an early price drop. This also includes their profitable PSP line.

Isn't there a lot more to the gaming division than just hardware though? Marketing of the system, development, marketing and distribution of internal game titles and services seems like it'd cost a pretty penny, and in many cases can't be expected to turn any profit until the products and services have been on the market for some time.
 

p_xavier

Authorized Fister
AltogetherAndrews said:
Isn't there a lot more to the gaming division than just hardware though? Marketing of the system, development, marketing and distribution of internal game titles and services seems like it'd cost a pretty penny, and in many cases can't be expected to turn any profit until the products and services have been on the market for some time.

Exactly, I wouldn't be suprised if they were making a profit on the console too, blue diodes are 100x cheaper than last year. Sony folks are pros at engineering. Remember the PSP, it will cost 500US, they won't make any profit for years... 6 months after the launch they were making money on the system.
 

DCharlie

And even i am moderately surprised
The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months

*boggle* they solved the production issue with diodes last week and it has a retroactive profitable effect stretching back 'several months'?

err....
 
DCharlie said:
*boggle* they solved the production issue with diodes last week and it has a retroactive profitable effect stretching back 'several months'?

err....

They announced it last week. It's not the first time Sony has talked about production increase due to having solved certain issues with precisely this technology; as I recall, it was talked about as early as January.
 

Sean*O

Member
"Isn't there a lot more to the gaming division than just hardware though? Marketing of the system, development, marketing and distribution of internal game titles and services seems like it'd cost a pretty penny, and in many cases can't be expected to turn any profit until the products and services have been on the market for some time."

They were talking consoles specifically. Turning a profit on each console sold or taking a loss on each console sold specifically.

That analyst seems to have his systems reversed.
 

J-Rzez

Member
Ozymandias said:
Posted this on Evil Avatar - just thought I'd share. Flame away! :)


What I can't believe is that folks haven't figured out there really hasn't been a price cut. Simply put, the price of entry to play a PS3 game today is $499 - the exact same price it was when the PS3 launched.

Yes, there's a bit more value to the existing hardware SKUs - bravo. But a price cut? Sony's marketing has done it again, and you guys are drinking the Kool-aid.

I did do a post with a bit more - feel free to read or ignore as you prefer.

http://ozymandias.com/archive/2007/07/09/PS3-Price-Drop_3F00_-Not-Really_2E002E002E002E00_.aspx

Incredible... Sony duped us all!

They cut the price of the PS3 by $100... if the 20gb was still in mainstream here, i'm sure that would've received a cut as well... but, it's been phased... WTH is wrong with people anymore? People are on one hell of a crusade against Sony... Instead of blaming what Sony did to your company, blame Nintendo/MS themselves what they did to you...

A price cut, is a price cut... like it or not... it's $100 cheaper, as reflected in ads and stickers... too bad to the haters...

Anyways, I know ppl that didn't grab the 20gb cause they wanted the frills of the 60gb, and now those ppl waiting on the drop got it...
 

Sean*O

Member
By the way the PS3 was $499 at launch, piss and moan all you like but it's a fact. price drop on the 60 GIG model, yes. Price drop on the cost of entry to the PS3 world, nope.
 

Maximilian E.

AKA MS-Evangelist
Onix said:
Wow ... gaf will not survive E3 this year :lol


What in the **** does this have to do with this thread?


Oh come on now.. so you can´t see it?
Ok, my comment is based on the argument that blu ray is such a deciding factor. Many here have said that they bought a PS3 to have the ability to watch hi-def movies and my point was to them.

As I see it, you still need at least two machines to have access to the whole hi-def market, meaning that a PS3 alone will not cut it. With this statement, we are entering the cost factor as well. A PS3 + a HD-dvd player (to have access to the whole market) is a rather hefty investment. There are folks out there that buy a HD-dvd movie and think that it will work in their PS3 (or vice versa), which sucks ass.

So yeah, my comment was to them who bought the PS3 as a hi-def player and who the have solved the "HD-dvd movies" debacle.

Because I still think that buying a PS3 (or an HD-addon for 360) is not the ideal way to enjoy hi-def.. (hybrid player yes please)..

So again, my comment were to the ones that bought a PS3 to watch the hd-movies.. i was curious on how the solved this issue....
 

Mrbob

Member
RamzaIsCool said:
What's that fragFX controller thing and why did it jump 30.000% in sales on Amazon?

3rd party controller for PS3. It is a nunchuck + mouse together. Hawtness. I see it is actually in stock. I may cancel my gamestop order later tonight if I don't see it shipped.
 
Sean*O said:
They were talking consoles specifically. Turning a profit on each console sold or taking a loss on each console sold specifically.

Who are "they"? What I read and responded to specified "gaming division", which includes more than just console hardware.
 

DCharlie

And even i am moderately surprised
They announced it last week. It's not the first time Sony has talked about production increase due to having solved certain issues with precisely this technology; as I recall, it was talked about as early as January.

why would they hold a "we sorted out production issues" press release for 7 months? it's possible, but yeah....

anyways, i also want to clarify that even if we are talking about 'profit' they are talking about profit on each console which , well, i don't believe is true just yet, but as far as the PS3 as a -project- is concerned i'd say it's a good 3-4 years away getting anywhere near being profitable.
 
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