Sony would like to make one thing perfectly clear: It is not cutting the price of the PlayStation 3, no matter how many people whine about it. So shut up already.
Earlier, I told you how CEO Sir Howard Stringer said Robert Kotick's seeming-threats that Activision could stop developing for PS3 if the price isn't lowered are "a lot of noise," and now Jack Tretton, President of Sony Computer Entertainment America, has reiterated his point.
In an interview with Fast Company, Tretton said:
"People are always wanting you to lower your price on hardware. We could've come out with a PlayStation 2.5 for $299 or less, and in the first two or three years it would sell extremely well. But there would be a point where people would be going, "I am not really seeing the incremental leap." We feel that we're sacrificing the short term to pay dividends in the long term. People are having short-term thinking--the platform is not even three years old. It was $599; it's now $399. The focus on pricing is something we appreciate, but you have to have the conviction and the confidence that you are on the right path for the long term and ultimately you'll get all the consumers you want. You won't get them all day one, but we're looking to get them over a 10-year period. It's going to take different things to get different consumers."
If you're following along at home, here are just some of the people who have called for or predicted a price cut in the last few months: Janco Partners analyst Mike Hickey, Microsoft's Aaron Greenberg, Wedbush Morgan Securities video game analyst Michael Pachter, some guy I met on a train, Electronic Arts CFO Eric Brown, Media Molecule co-founder Alex Evans, Activision head Robert Kottick, half of our commenters, and many others.
But just to be different, and contrary, I'm going to say this: I don't think Sony should cut the price of the PS3. It's not crazy expensive for what you get. The price has already been chopped since the thing was launched, and now, finally, it's actually worth the cost. Everyone who doesn't already have a PS3 needs to quit complaining. I know it's tough out there economically, but pick up a paper-route, sell some plasma and save up the price of a PS3. You'll like it better because you earned it, know what I mean?
Also, keep in mind, many of the people calling for a price-cut are game makers, and in a perfect world for them, consoles would be free, so everyone would have at least one and they'd sell a lot more software. I bet if Sony started saying that PS3 games should be cheaper, so Sony could sell more consoles, game publishers would disagree pretty strongly.



Comments
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theangrygimp
They wont lower the price, so I won't buy it. That simple. 3DO/NeoGeo/PS3?.... Maybe not that extreme, but its turning out that way considering how far behind the competition in sales they are. You can get a bluray player for less than $100 now, so if a cheap bluray player was the idea, its not reason anymore, which just leaves the games, and considering how expensive they are, I'll stick with my PC. At least most popular PC games have been extended by plenty of user generated free content and online play.
JingJang
Geez this community just keeps getting worse and worse. On a side note, YAY i can finally use chrome to see the feed! Can anyone tell me what happened?
r_pad
@RRODisBack Sorry, that made me laugh. It shouldn't of, but it did. I'm going to go razz Leahy about it.
l33t360
Ps3 is not worth picking up even after a price cut. There are equally and superior games in the 360, Sony pumps out too many mediocre titles, and there is mo standard for their online service which is why xbox live is known for it's robust online community. Sorry Sony, not buying you this time around and from looking at he npd charts, I'm definitely not the only one.
Brixtonville
What Sony's not considering is that many of us are willing to buy a PS3 for less and not give Sony any money. We do this by purchasing used consoles.
Not only was I (and even after purchasing and playing it, still) not willing to pay $400+ for a console, but the fact that all the new consoles have stripped down functionality was a huge turn-off.
Blu-ray: awesome. No backwards-compatibility: failure. Sony was the company that made me sneer at and turn my back on Nintendo for going through five platform iterations with no compatibility. Sony's games are still amazing, but MS is doing everything right this time around (frequent price cuts, frequent and transparent system upgrades, securing exclusives and preventing other platforms' exclusives). I'm not so sure why Sony's corporate line is "we know what we're doing" when gamers like me are helping game developers but not Sony by buying used consoles.
MegaMark26
what i'd like to see is sony buying infinity ward away from activision
Bellamorte
If Sony doesn't want a larger market share, that's ok by me.
Keep prices high, sell fewer PS3's.
Lower prices, sell more consoles & lose more money.
It'll be interesting to see how this runs its course.
Silky08
You know you can upgrade your ps3 hard drive pretty easily... Mines sporting about 250GB
Zmeeds
microsoft paid activision to tell sony to drop its price!
ender_x
Be a gamer, own all the consoles.
or pick one and stick to it.
the end.
Killua_Zoldyck
is it selfish to say that I'm kind of glad the PS3 is the most expensive console...? anyways, I think it's kind of naive to believe anything at face value, because with the decrease in costs to manufacture PS3 tech, Sony already has an explanation if people call them out on a price cut in the future...I think Sony might be effin with all of you just for kicks...
RRODisBack
@raydog44
80gb is enough if you don't buy a lot of games. I do buy a lot so my 60gb HDD wasn't enough so I upgraded to 500gb for $99. $99 will only get you a 60gb HDD for your Xbox.
MegaMark26
i can understand why some people haven't opted to get a ps3 for its price tag but come on. save your money or find another alternative to get it. its well worth your money. i hope tretton goes as far as disowning and banning whatever corporation who keeps begging for a price cut. i'm pointing at you crappy activision and koei.
you can go as far as getting a low gigabyte version of the ps3 and just upgrade it with a higher gigabyte drive. i went from having a 40 gig and went up to 250 gig. granted when you upgrade expect to lose some gigs for updates and the conversion.
RRODisBack
Very well written article and I agree with it all. Great job Stephen Johnson. You just got access my great G4 editor club. Tell Raymond Padilla and Patrick Klepek that I sent you and don't let Brian Leahy in no matter how much he begs and pleads.
raydog44
Just a thought, Sony just made a great bundle with MGS and Killzone. If they want to push units of course they are going to say they aren't lowering prices b/c then who would by the bundle. And the rumors of this PS3 slim are not going away.
I am actaully one of those people on the fence and waiting for a price cut espically since I have a baby due in a month. But after reading this article and comments I am less hestitant to pay the 400 beans.
Is an 80 gig machine enough? I play a lot but don't buy games like crazy.
ahmedreoksmisox
there gonna lower the price trust me. I dont care cause I ready have one hahahaha.
Meteorflow
good article. I agree with most of it.
cwhas2godhands
when did sony leave the planet earth?
gameweasel
I was thinking of getting a ps3 when MAG came out, but I am going to wait till I see that Sony's online service can handle it without massive lag. Plus I get the sneaking suspicion that the game experience will be hurt by cheaters and griefers who have noting to lose.
Arguello
@stephen
what did the guy on the train say??
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