charlequin
Banned
There are a few key facts that need to be taken into account here when we think about what Sony will do for their next console.
If this news pans out, it means Sony has learned two lessons (don't charge $600 for a console, make a smaller hardware upgrade that reuses a familiar architecture) but made a big mistake on their overall strategy: the only problem with trying to stretch the PS3 out to a ten-year system is that Microsoft might launch a successor first, and there's no broader strategic benefit to Sony to trying to "beat" them to the punch instead of focusing their efforts on competing in the new marketplace Wii has opened up.
- Their high launch price fundamentally puts them on a longer timetable than previous generations. We know for certain now that launching at a price like $600 is a disaster -- Sony has only been able to position the PS3 as a successful console after firesale-like cuts from that initial price, and even now they're still riding noticeably above Microsoft in price. Since they have to aim much lower for a launch price next generation ($400 at the absolute highest, probably lower than that) they can't very well launch anything until PS3 is quite a bit lower -- and it'll probably take until 2012 for PS3 to be down to $150.
- Similarly, the high prices also hurt the possibility of adoption by a large segment of the community. Because people are still buying $400 systems today, there are fewer people who will want to invest immediately in next-gen when it does begin. Someone who jumps into PS3 today is not going to get their money's worth if the system is replaced (and killed, as all losing consoles are upon their successor's release) in three years.
- Game budgets have become high enough that cash outlay has outstripped system power as the biggest determinant of how good games look. Companies that can afford to spend the cash on AAA titles (either due to platform-holder subsidies or aggressive multiplatforming) make games that look amazing, but most companies need to cut back on content, aggressively reuse assets, or simply turn in games that are visually underwhelming or rely on tricks. Developers have already been failing as a result of this cost increase and raising the bar too high will just make the situation worse.
- Similarly, the time needed to develop games has increased. MGS4 took four years to develop; FF13 is leaning towards five. If PS3 is aimed at 2011, many developers will have only had time to create a single title before moving on to a new generation -- thereby losing a huge advantage of console development (the ability to reuse your tools and engine on later titles, letting you improve your polish and performance by building on a known platform.)
- The Wii's disruptive strategy has successfully disrupted the market. Wii is already weaker than existing systems and still sells like hotcakes. You can't compete with it just by launching a yet stronger system. To compete with it you really need a new approach altogether with a unique selling point to the broader market.
- This is a side point, but 2160p? Really? Really? :lol
If this news pans out, it means Sony has learned two lessons (don't charge $600 for a console, make a smaller hardware upgrade that reuses a familiar architecture) but made a big mistake on their overall strategy: the only problem with trying to stretch the PS3 out to a ten-year system is that Microsoft might launch a successor first, and there's no broader strategic benefit to Sony to trying to "beat" them to the punch instead of focusing their efforts on competing in the new marketplace Wii has opened up.