Sir Howard Stringer, Sony's CEO, is an actual knight, and he ended his jousting tournament early recently to talk to Reuters about Activision head (and commoner) Bobby Kotick's call for a price cut for the PlayStation 3.
As you may know, Kotick has lately become very serious about Sony cutting the price of the PlayStation 3, going as far as saying Activision might drop the console altogether if the price isn't cut. "If we are being realistic, we might have to stop supporting Sony," Kotick said. "When we look at 2010 and 2011, we might want to consider if we support the console — and the PSP too.”
Stringer responded by basically calling Kotick a loudmouth: "He likes to make a lot of noise... He's putting pressure on me and I'm putting pressure on him. That's the nature of business." Oh, snap!
Stringer went on to explain that his company is not going to cut the price of the console because it would lose money on each unit sold if it did.
Reuters went on to inquire about rumors that Sony was thinking of selling off some assets. That, too, is not true, according to Stringer. "We're learning to fuse content and hardware. This wouldn't be a time to get rid of either," he said.
This back-and-forth between Kotick and Stringer is unlikely to end in an exciting duel to the death, but it does raise some interesting questions, which I will answer for you because I am a great genius.
- Is Kotick going to make good on his company's threat to not develop games for the PlayStation 3? I seriously doubt it, but if it did, the fallout would be enormous and might add up to a death knell for Sony's gaming machines.
- Is Sony going to eventually cave on ceaseless demands to lower the price of its flagship game system? Sure doesn't look like it in the near term, but in the long-term, of course.
- Is Sony going to succeed in fusing content and hardware? Partially, but they'll really need to overhaul the PlayStation Network and the PS3's firmware to accomplish this.
- How funny is all this back and forth to Nintendo, who have discovered the age-old secret to earning endless amounts of money? Very, very funny.
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JohnnyBuku
@Mr_PS3
So let me get this straight - paying more for superior quality is GOOD when buying a PS3 console, but BAD when paying for a superior quality online experience?
tsk-tsk
Arguello
@jewish monkey ps3 did do a $100 price cut a little over a year ago homie. a bluray player by it self cost like what man $200 dollar minimum, one that auto updates when it needs to at that? the psa3 also has a built in wireless internet and an internet browser. microsoft can drop the price to the systems but have fun paying the extra hundred dollars or running a 200 foot ethernet cable all over the house. Then you can tack on the countless number of $20 mics and battery packs. Ps3 comes with all of that bulit in, excluding the mic. By the way guys im just saying this from a retail perspective, not trying to a fanboy or anything like that. ok so i might be a little bit biased because ive had my xbox for 14 months and have sent it off for 4 RROD and a busted harddrive. Microsoft defiantely has the better online play but just like the ps3 you pay for quality.
Mr_PS3
It's sad to see people can't get past the price of the PS3. People need to realize it pays off in the long run. I know people say "The XBOX is cheaper," but that's only in the short term.
First Scenario: After two years with each console and the online capabilities, both consoles cost the same. After that, the XBOTs keep paying more while the PS3/Smart people get to chill and home and save money.
Another scenario: Let's say the PS3 didn't have a blue-ray player, still had free online, and was the same price as the 360. What would you buy? Here, I'll answer it for you: The PS3. So in a way, you buy a PS3 and get a HUGE discount on a blue ray.
Third scenario: Like T_Rexx said. Quality. Actually this can be summed up in four words. XBOX Three Fix Me.
Nuff said.
Tman88
Kotick just got owned. I agree that it's doubtful that Activision would drop support for Sony seeing how that would send 1/3 of Activision's support down the drain.
mikemill
@ Stephen Johnson
You mis-quoted Sir Howard. He did not come and out say "there will be no price cut". He merely said that he loses money on each Playstation sold. He did not say "we lose money on each PS3, so no price cut is coming."
Nice flame bait article though.
snookgum123
by jewishmonkey5 - Uhm it was 600 when it first came out and now its 400...that is a big price drop. You guys want a price drop and SOny did drop the price and yet you guys still complain. Preety rediculus! Uhm there is a 10 year life span.. If it sell for 300 by ten years from now ps3 would be about 10 dollar?
snookgum123
Limit games on ps3 ? Thats plan BS you know it to. Sony have planty of games and right now they are rolling strong with games. What do you have Halo3 and gears of war? LBP, KZ2, Motorstorm2, Infamous can already justify me owning a ps3. Like I said only xbox lovers want to get a ps3 but can't afford it so they whine and complain. And all you xbox can come up with is that its got no good games? Why dont you just say I want it I can't afford it so I'm stuck with a piece of.... brick hardware (xbox) and have to wait for it to be fix. If Sony and Taiwan clear that deal there will be more 1st party games O.O...
Kaeglin
Well I own all the systems and I say to you Mr. Kotick, if you do decide to go through with this idiocy, I will not buy any Activision products regardless of platform. It's a matter of principle to me. It's bad enough that you've whored out Guitar Hero, now you are making demands your ass can't cash. Kotick, you really need to shut it.
jewishmonkey5
There's no reason the ps3 should still be at the price it is in my opinion, I meen the ps3s hardware is almost 2 years old and it still cost the same as the day it came out. Yet PC hardware usually (even high end stuff)gets price drops almost a few times a year. and who ever said that the ps3s graphics are STILL revolutionary, they really are not very intelligent.
ps, a modern day gaming computer can usually outdo both the ps3 and 360, but at least the 360 gotten price drops
shmaron
The only reason xbox has sold more systems, is because people keep having to replace their f@$#%ed up ones. And, with the sales statisticks of last month, sony made more money than microsoft, even with less systems sold, assuming the stats that I read were correct. Both systems have quality titles on their side and more to come. So what does it matter?
mothr101
i don't understand why you fools are sticking by sony in regards to pricing. why would you want something to cost more? is it cuz you're pissed that you paid that much and want to get your moneys worth before it goes down in price? i just don't understand that fanboyism on either side. do you realize how foolish you sound fighting the the bragging rights of a plastic case with computer thingys in it? do you really think sony or m$ really give a crap about what you think when it comes down to the nitty gritty? how bout you all grow up and play the damn games and have fun what happened to that aspect of video games? key word being GAME!
Sigil
I won 2 Xbox 360 (s), Wii and a PS3...... .. That said, I'm damn happy I bought the PS3.....and I'll be even more Happy when God of War III drops!!!!
Arguello
lol you guys give him such a flattering picture
JohnnyBuku
@Vesipham
1 Upstairs for me (on 58: plasma)
1 Downstairs for kids (on 65" projection)
Both used as media extenders
Great for father-son halo/gow/cod (i hate split screen)
Bulbachar
I have no doubt that we'll see a price drop soon. There is no reason for him to say that now though, until the time is right.
Arguello
there was totally supposed to be the word sony after the words i hope in that last comment. because that last sentence really dosent make sense with out it
Vesipham
@ JohnnyBuku
Why in the world did you buy two Xbox360s? Don't you only need one?
UltimateWar
the mole said a price cut is coming with the PS3 Slim so i'll believe that, and of course fatso isnt going to say that there is a price-cut coming so they can sell off all remaining systems.
Arguello
@cyjoker it makes you the antichrist lol
dude anyone else thinking that new killzone2/metalgearsolid4 ps3 bundle is like a price cut??i wish i would have bought mine now. both of those games are awesome. i hope does fix up the psn alittle bit i just hope they dont fix it up too much and then i have to pay for it.
MahBoiTaarec10
Sony accounted for 1/3 of Activison profit in 2008. That's PS3,PSP, and PS2.
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