• On The Insider: Britney's Bikini-Clad Top 10
March 17, 2009 10:34 AM PDT

Does Sony's PS3 value argument hold up?

by Don Reisinger
  • Font size
  • Print
  • 152 comments
Share

PlayStation 3 pricing is in the news again, thanks to a report from Bloomberg that cites developer complaints over the price of the console. According to the story, developers are calling on Sony to drop the price of the PlayStation 3, so more people will buy the console, and thus their games.

"Sony obviously still has a ways to go with their pricing," Peter Moore, sports game chief at EA, told Bloomberg in an interview. He went on to say that even though Sony hasn't dropped the price of its console just yet, he expects it to happen shortly.

Sony

Value or price? You decide.

(Credit: Sony)

A few weeks ago, Mike Hickey, an analyst at Janco Partners, said he expects Sony to cut PS3 pricing $50 to $100 in coming weeks, since the $399.99 version of its console costs $200 more than the Xbox Arcade version and $150 more than the Wii.

For its part, Sony, which has experienced three straight months of declining PS3 sales, shot back at developers and analysts. The company's senior vice president of marketing, Peter Dille, told Bloomberg that while Sony has no plans to reduce prices, "everybody in the development community would love for the PS3 to be free, so they could just sell razor blades."

Sony executives aren't doing enough to make their case. Whenever you look around the Web, the same basic argument is made: the PS3 is too expensive. But on numerous occasions, I've had the opportunity to discuss this issue with Sony representatives. During those calls, they've articulated their point to me about PS3 pricing and value.

Sony is well-aware that the PlayStation 3 costs much more than the Xbox Arcade version or the Wii, but we can knock one competitor off immediately: the company doesn't really consider the Wii a competitor. Pricing against that console doesn't matter much, they say.

But Microsoft is very much a competitor, and although Sony likes to play with percentages and comparisons whenever NPD sales figures are made public, the Xbox 360 is winning in a big way. And most folks believe it's because of its price.

But instead of looking at price as the determining factor of purchase, Sony wants us to look at the value. Sure, the PlayStation 3 is more expensive if you consider initial cost, but over the life of the console, is it really the most expensive video game machine on the market? Sony contends that it's not.

To prove it, Sony officials, in a previous phone conversation, compared the Xbox 360 60GB version for $299.99 with its 80GB $399 console. The initial difference in price is $100, but Sony contends that after you sign up for Xbox Live for $50 a year and consider the fact that the Xbox 360 doesn't have a Blu-ray drive--a possible future purchase for Xbox 360 owners--the PlayStation 3, with its free online gameplay and built-in Blu-ray drive, is actually cheaper over the life of the console.

Not to mention, if you want to turn your Xbox 360 into a Wi-Fi-enabled console and have rechargeable controllers, which come standard with the PlayStation 3, both accessories will add another $120 to the price of the Xbox 360. In just one year, Xbox 360 owners might spend $470 to buy the console and upgrade it before they even consider buying a Blu-ray player.

Though it's a bit more difficult to make this argument, Sony also contends that its $399 PlayStation 3 is cheaper over the long haul than Microsoft's Xbox Arcade version, which retails for $199.99. The company contends that to make it worthwhile, you'll need to install a hard drive, which will run you $100, bringing the real price of the console back to $299.99, where Sony can rationalize the PlayStation 3's cheaper cost as before.

Sony's argument is tenuous, at best, and assumes that users will sign up for Xbox Live, want a Blu-ray player, and buy accessories. But if they do, the PlayStation 3 actually is more affordable over the long term. Whether or not people actually care is another story.

But home finances aren't always run on spreadsheets, and initial cost will remain a major concern to the parent who can only afford to buy their child one gift for their birthday. Furthermore, the Xbox Live offers a more robust online experience than Sony, although Sony has made significant strides over the past few months. And the argument over whether or not Blu-ray is really worthwhile can rage for hours.

Regardless of where you stand on this issue, there is more value in the PlayStation 3 with Blu-ray installed, and the console does have the extras the Xbox 360 doesn't. But it seems that the biggest problem Sony is facing is that most consumers either don't know about that value argument or they just don't care. In either case, Sony's losing money.

And that's why it needs to decide where it stands. Is it going to promote the value argument more effectively than it has in the past or will it concede and appeal to consumers on price? It's a tough decision, but one that needs to be made soon. The PlayStation brand has enjoyed better days and things might only get worse after Killzone 2's allure dies down.

Is it about price or is it about value? Sony execs need to figure that out. And then, somehow, get consumers to see things their way.

Check out Don's Digital Home podcast, Twitter stream, and FriendFeed.

Don Reisinger is a technology columnist who has written about everything from HDTVs to computers to Flowbee Haircut Systems. Don is a member of the CNET Blog Network, and posts at The Digital Home. He is not an employee of CNET. Disclosure.

Recent posts from The Digital Home
Report: Video games possibly coming to Redbox
Game developer: Wii has 'a lot of substandard software'
With CrunchPad dead, the Web reacts
Human rights groups: No in-game war crimes
Nintendo Black Friday: DSi with $20 in DSiware
Another iPhone worm, but this one is serious
Best Buy starts Black Friday craze a week early
Modern Warfare 2 tops entertainment industry, not just games
Add a Comment (Log in or register) Showing 1 of 3 pages (152 Comments)
by devindotcom March 17, 2009 10:50 AM PDT
After two years, Don Reisinger fearlessly steps into the battle and summarizes the arguments people have been making the entire time. Would have been enlightening in 2007, Don.
Reply to this comment
by SteveW928 March 17, 2009 8:01 PM PDT
LOL... and the arguments are still just as lame. Don couldn't argue his way out of a paper bag.
by drbyte March 17, 2009 11:02 AM PDT
Next gen gaming is way too expensive, and Sony leads the way with that. What did they expect? HD tv's still aren't common in homes and who wants to pay $180 for a 3 video games after you have shelled out over $1400 for a ps3 and a decent 32" hd TV. even if you have the money. That isn't fun to me. The Ps2 is still getting it done :-)
Reply to this comment
by chuck_nasty March 17, 2009 11:27 AM PDT
You sound poor.

Seriously though, this is a very valid point. Why own an HD game system with HD movie player if you don't have an HD TV. The text on some PS3 games is absolutely unreadable on a standard TV. Given a choice between a new game system and a new HD TV I would opt for the TV and get the game later...
by DHeraSa March 17, 2009 11:31 AM PDT
$400 ps3 plus $545 Samsung (clik here for prove http://www.amazon.com/exec/obidos/tg/detail/-/B00141AYIC/ref=pd_luc_mri?_encoding=UTF8&m=ATVPDKIKX0DER&v=glance)

so dont you tell me 1,000 for a decent 32 HD-TV. Why would you lie to yourself?

I wish sony lower the price. It would not be bad.

You know why Microsoft discontinued the 360 Elite? Because once the ps3 goes to 300, Microsoft cant afford to sell their Elite for 300. That means that the Pro 360 will have to cost 200 and arcade 100. That will kil Microsoft on revenue right there. Once ps3 goes for 300, by April the 5th, the 360 will be outsold every month for the rest of its life spam, about 5 years.
by goodspeed8701 March 17, 2009 11:37 AM PDT
dhara ur point makes no point.
by ewsachse March 17, 2009 11:52 AM PDT
DHeraSa - Microsoft did not discontinue the Elite model.

They still list it on the Xbox.com website. They still sell it in retail stores.

What the hell are you talking about?
by kachime March 17, 2009 12:35 PM PDT
AND - DHeraSa - the TV you recommend for only $545 is only a 720p, when you need to buy a 1080p if you are going to use Blu-Ray to it's maximum capacity.
by drbyte March 17, 2009 12:37 PM PDT
The cost of the TV's has come down, but they want 1 in every home, and they are still not priced accordingly. My 40" tube tv is still kicking after 6 years of ownership, and it was $230.

Forgot to mention a decent audio receiver (why experience hd and hd sound thru tiny tv speakers), hdmi cord, second controller, ect. To get a decent game system with some good games it can easily run $1400, unless you can be happy with just 3 titles yearly.

I'm not poor, just frugal. When the price is right I spend. Over 110 ps2 games and counting!
by dracoaffectus March 17, 2009 12:38 PM PDT
chuck_nasty: I learned that the hard way last year. I bought my PS3 I thought I could just use my old CRT tv for a year while I save up money, and even though I technically COULD use it....it was just not practical so within a week I went and bought a 40" samsung LCD, and sony home theater system...which i'm still paying off...

still glad i got it all though, i'll have it paid off in a few months, and I won't have to worry about buying a new TV or surround sound for 10 years or so, and I'm loving the built in blu-ray player.
by SteveW928 March 17, 2009 8:37 PM PDT
@ drbyte - I agree that all of this is kind of pricy. Maybe I'm just getting old. However, I think your prices are kind of inflated. I paid $400 for my PS3 and $1000 for my 37" 1080p set a couple years ago. You can get a HDTV set for much less now. As for games... I don't think I've yet spent $180 and I have more than 3... though I actually only play 1 of them very much, the rest occasionally. I spent $30 for the one I play most (Warhawk... bought it used).

However, that really isn't the point here. The comparison Don seems to be making is with the Xbox, which is kind of in the same boat on pricing on everything. So, if the PS3 is overpriced, so is the Xbox.

As for the PS2, I agree that there is nothing much wrong with it. I loved my PS2, and if I didn't have the PS3, it would still be a lot of fun. The BIG difference here is the leap to on-line gaming. After you've played some good on-line games, it is VERY hard to go back. It isn't just a matter of higher-rez graphics as some would lead you to believe. Of course, then you have to factor in the WAY overpriced Internet services monthly fee into the mix.

Yes, this is all expensive stuff... but as I used to say to a friend who couldn't believe I owned a nice sports car while I was in college... unless you are really poor, it depends on where you place your budget priorities. He would spend $100s each week in the bars, and $100s going out to eat. I cooked cheap stuff at home and didn't spend much on partying. That equaled my car payment. Most people (at least in N.A.) make enough to afford a PS3 if that is something they really want, considering how much they often spend on other things... even if they don't have a super high paying job.
by make_or_break March 20, 2009 10:08 AM PDT
SteveW928: but the 360 can be had for a lot less than the cheapest PS3, as long as one is willing to SETTLE for less 'stuff'.

DheraSa: get your facts straight before posting next time, or stop your spin doctoring. The BLACK Elite may have settled into the background, but only because the RED Resident Evil 5 bundle is now being heavily promoted. Besides, you can still EASILY FIND the black unit if that color floats your boat.

And one other tidbit: MSFT's production costs should by now be pretty cheap on the 360; it's been around for THREE YEARS, and they've sold millions of the bloody thing, RROD and all. Despite tweaks over time, the costs of basic components for the 360 have had plenty of time to amortize to what should by now be a cheap price point for each piece. Even Sony has remarked in the past that their poorer-selling PS3 has seen production price drops, even if it done more to appease investors and analysts than for gamers.

In all likelihood, the 360 in ALL of its forms could be a LOT cheaper than it currently is. However as we all should know by now, that when it comes to most products that's not Microsoft's way. They will price their console just below the competitions' units, to give the appearance of value. If the PS3 does drop yet again, then no one should be surprised that Redmond will be in a strong position to follow suit, with a drop that again puts Sony behind the eight ball once again.

That's the power that MSFT got by getting to market first. That said, I wouldn't be surprised if the Wii sees a price drop shortly to counter undercut by the base 360. Some of the local B&Ms have HUGE stocks of the Wii; they may still be selling but it does seem that supply has more than caught up with demand.
by drbyte March 20, 2009 3:49 PM PDT
nice points by SteveW928. Believe me, when the price comes down I will have over 100 ps3 games when it'all said and done. I guess to be fair, the ps3 has great potential, but I am cheap and I generally wait until a gaming console is near the end of it's cycle, this way I have a lot of choices for games at $20 and under. Frugal living I guess.

For a lot of people it's just not sensible to drop hundreds of dollars on a gaming console and everything that comes with it (yeah, high speed internet is over priced and now they have download caps where I live) even if the games are as nice as SF3 or MGS4. I can also wait on HD tv because DVD's still look great to me, and I watch most of my TV on my PC, and I don't want to pay extra on my cable bill for HDTV broadcasts....that's ridiculous. The cost on next gen gaming is a little to rich for me :-( TO those who can afford it I'm sure it's a great experience.

Sony will have to bite the bullet though and bring the price down, make the ps3 a impulse buy. I know way too many people with wii's now, and they don't seem to care about next gen's HD graphics at all.
by -fjtorres- March 17, 2009 11:07 AM PDT
"But it seems that the biggest problem Sony is facing is that most consumers either don't know about that value argument or they just don't care."

They don't care.
Consoles are about gaming first, second, and last.
The *majority* of console sales go to people who want to stick in a game disk and play.
Multimedia features like movie rental, wireless streaming, and what-not is frosting on the cake.
Sony's real problem is their engineers forgot about the 80-20 (Pareto) rule: 80% of the cost comes from 20% of the features. And 80% of the customers only use 20% of the features.
If they'd trimmed some of the gold plating that targets at most 20% of the customer base they might have ended up with a competitive product instead of one running out of gas now that BD players are dropping in price.
Blu-ray might have sold a few consoles back in 2006-07 but today there are better BD players that cost less than a PS3 and in fact you can get one of those *plus* a 360 Arcade for what a PS3 goes for.
But fear not; Sony *will* shortly announce a big price cut on the 80GB PS3... and a month later replace it with a 200GB model priced at $399.
After all, that's what they did last time they desperately needed a price cut but couldn't afford to do it.
Reply to this comment
by UnloopThis13 March 17, 2009 12:08 PM PDT
I cared. The first system I bought was the ps3, because of all the features, because of the blu-ray player. I do have an xbox360 elite that I won in a raffle. I added the MS rechargeable battery kit and so far 2 years of online play. I refuse to buy the wireless adapters, I wish it was build in. I hard wire both my systems in, but because of built in wireless, I am able to move the PS3 into my bedroom and play online as well, can't do that with the 360.

I use a program called PlayOn made by mediamall that lets me steam Netflix to the PS3 (works with 360 too). This program works better than the built in support on the 360, so I end up using that instead.

I prefer the PS3, the 360 has no games that I am interested in (exclusives). I am really enjoying KillZone2 right now. Looking forward to God of War 3, that game is going to rock.
by SteveW928 March 17, 2009 8:45 PM PDT
I cared too... the fact that it played Blu-ray helped the sale. I also liked that it could stream video / mustic from my computers, as well as be a front-end player for my MythTV (home-brew TiVo +). However, I'm probably not the average user.... but I'd guess Blu-ray did impact the choice of many.

Also, it being a Blu-ray player now costs Sony next to nothing extra (over a normal optical drive) and it probably won the format war for Sony.... which is worth a LOT to them outside the gaming market. It really doesn't matter if you can get a 360 Arcade plus a Blu-ray player if the 360 Arcade isn't an equal system or the game you want don't come for it. I personally want a high-quality system that is capable of doing more than gaming... that doesn't nickel and dime me to death after the purchase... and that lasts long enough to be worth it.
by omair-s March 18, 2009 7:46 AM PDT
so did i !
Value over time is more mportant to me than the apparent initial cost!!
by Inconnux March 18, 2009 3:43 PM PDT
This is exactly why I own a Wii and not a PS3.

I don't care... I want a fun GAMING system. I could care less about Blu-ray... it is a complete waste of money for me. The Wii is a fun system for myself and my family because all I want it to do is play games. I've considered an Xbox360 because it has some great games but I'm still concerned about the RROD issues. PS3? sorry, not interested because it is Too Expensive!! The Wii is a competitor and it is kicking the PS3's butt...

Sony loses money on every PS3 made, and a price drop will just cause the the bleeding to increase. Sony can't afford to drop the price and developers are jumping ship because they won't drop the price. Sony should scrap the PS3 and start designing an affordable PS4 before they they completely tarnish the PlayStation brand name. Go back to what made the PS1 and 2 the leading systems.

I'm sure that the people who have bought the PS3 love them, just like the people who bought the Sega dreamcast loved them... but at this rate Sony is going to go bankrupt if it continues to sell systems at a loss.
by pithenumber March 18, 2009 4:07 PM PDT
@lconnux
whoa, did you just call the Wii a gaming system?
by SteveW928 March 18, 2009 7:20 PM PDT
@ Inconnux - the Wii may very well be a fun gaming system. It certainly is a great implementation of an alternate way of doing game UI.

However, then you go on to make several lame points....
1) if the PS3 is too expensive, then the Xbox was too, regardless of the RROD. That is kind of the point of this whole debate. The Xbox only has a perceived lower cost... not an actual lower cost.
2) The Wii isn't kicking the PS3's butt... it is doing just fine. It has sold plenty to be a very viable platform... after that, it really doesn't matter who sells more other than for lame arguments like this article is trying to make and fanboys.
3) The developers are doing just fine for the PS3... ask the folks who made KZ2 or Warhawk, etc. Only stupid developers have this 'jump ship' mentality.
4) The PS2 also lost money on every console at the beginning... Sony has a philosophy of making a long-standing platform that is way ahead at the start in technology. They recoup the $ on games and later when system components consolidate and lower in cost.... and heck, winning the Blu-ray war was probably worth more than anything they will lose on the PS3.
5) Sony is a bit larger than the PS3. I don't know about their financial status, but I doubt they are seriously hurting due to the PS3.
by Inconnux March 19, 2009 3:36 PM PDT
Steve... lets me see...

#1The xbox 360 is far cheaper, I can get one for $200, I can not get a PS3 for the same price. All the extras are just that.. extras that I can pick and choose which one I add to the basic system. The PS3 does not give me that option. All I want is a gaming system and the extra 'fluff' I don't care for. I don't want a blu-ray player, I could care less about bleeding edge graphics (I have a decent PC for that!) I want a console I can play games on, Period.

#2 The Wii is outselling both the Xbox360 and the PS3 combined. That is over 50% of the market, that is my definition of domination. Spin it like you wish, Nintendo has won this generation of consoles.

#3 Developers have been complaining. They have been complaining about how difficult the Cell processor is to program for and they have been asking for a price drop to increase the market. Yes there is always certain developers that will do quite well, but on average developers have NOT been happy with the PS3.

#4 The 'sell at a loss' only works to recoup cash if you dominate the market. The PS1+2 completely dominated the market in their generation. They also were very developer friendly and Sony made back the money in licensing of games. This is not happening with the PS3 and it shows in Sony's bottom line.

#5 yes Sony is larger than the PS3 but the PS brand has been Sony's biggest money maker in the last 10 years. (kinda like the Walkman brand was during the 80's) It has now imploded on them. Almost all of Sony's lines are imploding because the alternatives are much cheaper and do the job just as well.
by sharmajunior March 20, 2009 8:41 AM PDT
I am still waiting for the price of the PS3 to come down. I got one off of ebay which I gave to my brother but its not fair to go to ebay everytime you need something. You should be able to get a good deal outside that world.
by SteveW928 March 25, 2009 10:58 AM PDT
@ Inconnux -
#1 - I suppose you are correct that you can buy a stripped down Xbox for less than a PS3. Just don't try to compare the two other than for basic gaming. I guess I'm saying the other stuff has been worth it for me. Also, if Sony DID leave out some of the extras, I don't think it would allow them to really drop the price much anyway.

#2 - I'm not really sure if anyone cares who is 'winning'... other than the people keeping track of the stats. As I've said MANY MANY times over in these posts... the only time market share really matters for this kind of thing is until you have ENOUGH market share to make game development viable. PS3 has PLENTY to do this.... 22M units plus. That's a market!

For example, LightBox (formerly Incognito) just signed a multi-year, exclusive agreement with Sony. They even got a couple million more than they asked for for dev. Game dev for the PS3 is BOOMING! Just look at Killzone2 sales! Oh, LightBox is hiring for any of those devs needing jobs.

#3 - see #2.... the average game devs are idiots then... what else can I say? The reason they are upset is politics. They just want PS3 to fall in line with M$ standards so they can just push a button on their M$ Visual Studio and pop out a port. I really don't want any games like that, so those studios stick it you know where. I like good games, not ported cr*p.

#4 - no, it works if you bring in more money they you lose. It really has nothing to do with market domination. Sony is losing money because we're in a poor economy (along with many other companies). The problem is, we really don't know how all the balance sheets work out. Maybe they are making more off the Blu-ray format win than the PS3 margin loss. Who knows?

#5 - I don't doubt Sony is hurting overall... but I don't think the PS3 is their big problem.
by wolivere March 17, 2009 11:08 AM PDT
I have to agree that right off the top, the XBOX 360 is more expensive. But they take the Walmart way of pricing, they slide it into you in small steps.

I often argue with my wife never to buy clothing at Walmart, she says its cheaper, then a month later I see the ratty seam split clothing going in the garbage. While the clothing that costs double at a good retailer, goes for months even years. Yes you got it for $1.99 vs $5.00 but thats a $1.99 a month where the other just lasts.

Same concept, the PS3 brings the entertainment center together. Being that its targets as a media center/game console.

I have both systems, and the XBOX 360 easily cost me more, after I got the controllers, and the WI--FI connector.

Not even talking about the Blue Ray player portion which the PS3 is an excellent blue ray player.

When you add features (Value) the cost in the end is less. But Walmart thrives on the fact many consumers only look at up front cost vs Value.
Reply to this comment
by terminalblue March 18, 2009 10:23 AM PDT
but which one do you play more games on?
by make_or_break March 20, 2009 10:23 AM PDT
You're right, the 360 is more expensive...but only if you crave all of the add-ons. Me...I still use a wired internet connection for both my 360 and PS3. I seldom use the Blu-ray capability of the PS3--mostly because I don't CARE if my Hollycrap movies are hi-def or not--so for the most part Sony's so-called 'value-addition' is totally lost on me. When I finally bought my MGS PS3, it was $100 more than what I spent on the 20GB 360 I bought over 2 years before. But that's TWO YEARS of serious gaming that I wouldn't have had. Only now has Sony been able to release more than an occasional interesting title for the PS3, and HOW LONG has it been on the market already? While you may see higher costs with your 360, I've see greater entertainment value with my 360.
by blusky08 March 23, 2009 11:20 AM PDT
ANOTHER VALUE ADDED FEATURE:
Sony has promised 3D games and movies to be released this year for the PS3.
The Wi-Fi and easily upgradeable firmware will likely make the PS3 the ONLY worthwhile player/gaming console as true 3D Blu-ray and 3D capable televisions enter the market.
by Super2online March 17, 2009 11:20 AM PDT
Sony still doesn't understand that having the technological lead doesn't matter if no one can afford it. You can't try to drive the value of your higher prices in an economy like this. No one cares if they can't afford it. Consumers are voting with their pocket books and the once high flying Sony is now dead last in the third generation console wars. Get a clue!
Reply to this comment
by juuken2 March 17, 2009 11:42 AM PDT
Excuse me but if an economic situation wasn't going on, the PS3 would have been selling more consoles. The PS3 was selling fine until the financial meltdown and Microsoft's pricecut.

No one cares, no one cares, no one cares. Did you take a statistical survey of all the people who actually cared? Why do people always assume this crap? People don't care about this and they don't care about that.

HOW DO YOU KNOW?

And so what if the PS3 is in third place? Does it change the quality of the games or what Sony has done for gaming?

Hell ******* no.

You get a clue because I'm sick of place, place, place. It doesn't matter if the PS3 is in third. It's a winner in the eyes of many gamers who own it.
by kelmon March 17, 2009 11:59 AM PDT
@juuken2

Well, speaking personally, I wasn't interested in the PS3 due to its price before economic concerns became a reality. It's too expensive for what I want from a games console.

So, while Super2online may not have surveyed people, you do at least have my opinion. Congratulations.
by juuken2 March 17, 2009 12:48 PM PDT
Yes, it's a very expensive console. Never implied it wasn't and I would have gotten a 360 first if it wasn't for the dreaded rings of death.

Sony does need to drop the price of the PS3.

But what annoys me about people these days is the fact they're always bringing up place. We have three great systems on the market. Isn't that enough? Why do we have to keep using place and pedestals?
by deanbvfx March 18, 2009 7:02 PM PDT
Just to add to these dude's comments. PS3 is a 8th Gen console not 3rd Gen.
NES was 3rd gen.
by michaelo1966 March 17, 2009 11:22 AM PDT
People buy game systems for fun. That it... fun. The Wii is a competitor, it just doesn't compete in the same way that Sony does (Nintendo's Blue Ocean Strategy is well documented and surely Sony's studied it). Microsoft is a more traditional competitor and has eaten their lunch.

Sony should knock of the excuses and change their business strategy to one that works, rather than whining that consumers don't accept the one that they're using.
Reply to this comment
by MajorSlax March 17, 2009 11:32 AM PDT
I totally agree. Sony may be correct about this, and what they say surely isn't wrong. But who cares ? They're not gonna change people. Buyers don't want it that way and that's final. Whether it's a smart choice or not from the buyers (probably not...), that has nothing to do with the problem. Buyers have made their choice, so argue/complain/whine all you want, Sony, you're just digging your own grave.
by iBuzz March 17, 2009 11:48 AM PDT
I also agree that the Wii is a competitor.

What game system do you buy for a 7-year-old? There are not many games available for them on the PS3. But there is a huge library available for the PS2. Sony removed the PS2 compatibility from the PS3, so buying a PS3 is no longer an option. Am I going to buy a PS2? No, it's an obsolete system. I will buy a Wii instead. The Wii offers a lot of the older (and cheaper!) kids games that are available on the PS2 (by being able to run their GameCube equivalents), plus it's not an obsolete system and new games are being developed all the time.

Without being able to play PS2 content, Sony has greatly reduced the market for the PS3.
by zidanetribal21 March 17, 2009 12:39 PM PDT
The Wii is a competitor for sure, but a different type of competitor. I have several friends that prefer PS3 for one type of gaming, and Wii for the other. I'm the same way. I can't really spend more than four hours a week playing Wii, but when friends come over, it's difficult to have a quick sitdown with the PS3. They meet different needs. But the price comparison is silly, I think. The Wii is $250, okay, cool. Less than the PS3's $400. We're brilliant mathematicians. Let's throw in accessories needed. PS3, gaming by yourself or with another, 2 controllers (I don't see a group of people playing it, I'm sorry.). Add 50 for that additional controller. Wii- most games optimized for multiple players. Add 3 controllers (that's Wiimote+Nunchuk), so add $180. Suddenly the price is a lot more comparable.

Let's talk games then. Both are systems aimed at different audiences, generally. PS3 gamer researches the game he wants, wants to spend a lot of time playing it, chooses his titles more exclusively. Spends more time playing the game he does buy. Wii gamer (family, younger kids, adults?) wants to play casually. They casually pick out games and casually buy the shovelware on sale at Wal-mart. They may or may not realize the handful of games they've bought are not worth playing, and buy a few more titles because it has a colorful case that their kid likes. Based on people I know, I want to estimate that the Wii-gamer buys 3-4 times as many games as the PS3-gamer, and plays them for far less. So without even talking about HD resolution, movie streaming, Blu-Ray capabilities, or online play, which one really costs more?
by worsethannormal March 17, 2009 2:43 PM PDT
The Wii's a competitor to the PS3 (and 360) as Monopoly is a competitor to Dungeons and Dragons. Sure they sell more, but I bet those D&D books get cracked open more often than the Monopoly box.
by March 17, 2009 11:30 PM PDT
They are trying to save face and don't want to admit they have a competitor that probably outsells them 3 to 1
by roachbrain March 18, 2009 9:42 AM PDT
True Sony should learn from MS and put out and early released counsel that breaks down, has crappy exclusives titles, and then nickel and dime you for additional features that comes stander in PS3. Yes maybe the mark of a good sales plan is to have suckers buy an inferior product at the same cost. LOL Oh yeah I want an Xbox that can?t save my memory unless I buy the hard drive it?s only $99. LOL

Hey I?m all for saving money but never at the cost of quality. Maybe I?ll MacGyver an Xbox together out of paper clicks and gum one day; play Gears and Fable probably the only games worth having an Xbox for.
by Inconnux March 19, 2009 3:45 PM PDT
This always makes me laugh... The Wii is definitely a competitor. People always whine about sequels of games having no innovation (generic FPS shooter 4) with just updated graphics but the Wii has actually innovated with their system and new forms of games are coming onto the market. Are a lot of them crap? of course, but there are a lot of great new games. Neither the Xbox360 or the PS3 has very many innovative titles simply because all their systems are just more powerful versions of their previous consoles. Nintendo is the only innovative company out of the three and it shows in sales...
by superswiss March 17, 2009 11:23 AM PDT
Particularly in the US, value and TCO are lost on most people. This is the country where cars are advertised with the monthly payment or the newest kitchen gadget as seen on TV can be had for three payments of $33.33 etc. Hopefully the current financial crisis will whip some people in shape and put an end to the buy now pay later mentality in this country. Once that happens I think Sony will be successful with arguing value over price, but until then, I think they need to change their strategy if they want to increase sales.
Reply to this comment
by sythara March 17, 2009 3:30 PM PDT
Great post, completely agree!
by SteveW928 March 17, 2009 8:54 PM PDT
Great post! Amen.

It is possible with less throw-away money people might be actually steered towards the PS3. Though, I'm not sure I hold out that much hope for the consumer intelligence to make such a decision. As you can see from many of the responses here... people don't think things through far enough to get to value or TCO.

Actually, a good model might be Apple here.... they have had good value and lowest TCO for decades, yet it only recently caught on because of their strong entry with general consumer products (like iPod) tied to the platform, as well as IMO, M$ offerings reaching abysmally horrible levels. Maybe Sony can learn a few things from that... as we know M$ has no clue about this.
by Carrick1973 March 18, 2009 8:22 AM PDT
Here, here. Agree totally. TCO is lost on people unfortunately and our landfills are a good testament to that. Why buy a Xbox that will have to be sent back due to RROD and have to buy all the accessories that I want, when a PS3 provides it right out of the box.

I just wish Sony would work on more software upgrades, and not worry about the hardware. They spent so much time and money on Home instead of opening their platform to Netflix and providing an easier peer-to-peer communication platform that the Xbox has.

@SteveW928 - agree that this is more like Apple vs. LG. Yes, Apple's products cost more, but the value is higher as well.
by SteveW928 March 18, 2009 7:27 PM PDT
@ Carrick1973 - the one mistake Sony made, IMO, was how they implemented Home. I think they transferred too much of their PSN functionality to this group who lost focus on what they were creating and decided they were going to be some kind of new 2nd-Life fund raiser for Sony. Sony seems to have realized this more recently and began to implement needed improvements directly, rather than waiting on Home. IMO, Home is more of a toy at this point.

The ONE feature the Xbox has that PS3 needs that I can think of is cross-game or system voice-chat (though my friends tell me it doesn't work as good as it sounds on Xbox). This might actually be fairly tricky for Sony to implement, as Xbox dedicates one of its 3 cores to this kind of network related M$ stuff. The PS3 doesn't designate cores for this... so I guess it would depend on how fully the current content utilizes computing power Sony might need... and if they can work this into the development specs. But, I think it is something they need to do. I just hope they aren't relying on Home for it. We'll see.
by La_Mont March 17, 2009 11:27 AM PDT
All sony has to do is create a few amazing games, then the sales will grow and other developers will jump on board. Some sustained excitement needs to be developed around the product. people are paying $900 to have an iphone for 2 years, $150 for jeans or sneakers. The price is not the problem, it's the lack of hype and hoopla. Sony needs a new advertising firm.
Reply to this comment
by kelmon March 17, 2009 12:03 PM PDT
No, Sony simply needs to cut the price. I'm not paying £300 for a games console and it's as simple as that no matter how many whizz-bang games there are for it.
by juuken2 March 17, 2009 1:25 PM PDT
And yet people are willing to pay for addons for the 360?

'Oh, $50.00 a year ain't so bad.' Five years from now, you'll be paying $250.00 for a service you can get free.

Unbelievable.
by SteveW928 March 17, 2009 9:31 PM PDT
@ La_Mont - Sony already HAS more than a few amazing game! They maybe do need better advertising to make people realize that. Part of the problem is that so many are attracted to various titles than they are to games that are actually good... for example Warhawk is SO much better than Halo. And many of the 'hot' FPS titles aren't worth the effort of putting the disc in (CoD, GoW, etc.), let alone buying them. But many of the gamer 'kids' (and I'm speaking here of maturity, not necessarily age) just have to have the latest thing the other 'kids' are raving about, rather than actually considering their purchase first.

One thing this economy might do is is put a bit more pressure on game titles to actually be good and worth the money... as the disposable income of these 'kids' won't let them buy a new $60 game to play for a week before they go after the next one. I bought Warhawk for $30 over a year ago now, and it is still a game I play 90% of my gaming time.

@ kelmon - I guess that's fine, but then you aren't going to have an Xbox either when you consider the overall cost.

@ juuken2 - So TRUE! And that isn't considering all the other stuff like Wi-Fi... or the ability to expand the hard drive space for many times less $.... or that the M$ headset is cr*p and you can't just add most good ones like I have for PS3... or can't use most standard USB or Bluetooth devices on Xbox.... etc. Plus, remember the Xbox hardware... they have 3 cores, one of which is basically dedicated to their network services. This leaves 2 cores (much like one of my older Macs) to do the gaming. PS3 has lots of extra cores to push off the special processing capabilities... which have been largely untapped yet. KZ2 is a good example of what happens when developers start tapping that ability. There will be many more from these studios that 'get it'.
by pithenumber March 20, 2009 4:41 PM PDT
@Steve
the fact that you play Warhawk 90% of the time is why devs aren't developing for your fav console

they can't sell you anything more than a game or two in the beginning means no cash from you

CoD is a great game, so is Crysis and Halo
just because a game isn't ps3 exclusive doesn't mean it sucks
warhawk and kz2 are great games, but look outside the box
by SteveW928 March 25, 2009 11:04 AM PDT
@ pithenumber - well... yes and no. First, I've bought EVERY Warhawk expansion pack. So, the WH franchise has more than doubled my original purchase in what they have made from me. What is easier, selling more content to someone who already loves your game? Or selling someone on a new game? I suppose there are enough fanboys of the various 'flash in the pan' games that these developers of the 'hot' titles seem to have a business plan. While that is sad, I still prefer the direction Sony went because it ultimately means better games for those of us who do care (and aren't just playing a new fanboy game each week). Now, with the economy going downhill... maybe the fanboys aren't going to be able to buy a new game each week. Who knows. All I know is that on the PS3 at least, the exclusives seem to rock! My guess is because they are actually developed to utilize the PS3 and not just ports and/or the same old tired game engine with some new graphics slapped on top.
by grilledcharlie March 30, 2009 1:49 PM PDT
Killzone 2 hype prompted Killzone 2 sales.
Halo 3 hype prompted XBOX 360 sales.
That is the difference. That being said, I think that both of those games were overhyped. I got tired of Halo 3 before it even came out. It wasn't a big enough improvement over Halo 2. As far as Killzone 2 is concerned, I actually regret buying a PS3 just to own this game. Sure it looks great, but I've never been so frustrated with a game's controls. Why does realistic have to mean sluggish and inaccurate? Why were they so concerned with "realistic" controls anyway? Radek has a personal cloaking device for God's sake! Is that realistic?
by cujo711 March 17, 2009 11:34 AM PDT
Those with who can apply and get approved for another credit card can apply for a Sony Card, and received $200 back in credit when they purchase anything over $349. This makes the PS3 cheaper than dirt.
Reply to this comment
by mike_flynn March 17, 2009 11:35 AM PDT
I find it interesting that sony seems to do some back flips in trying to explain that the PS3 is more affordable then any other game console. While I own a PS3, it was because at the time, the PS3 was cheaper then a BR player.

Most people looking for a game console are not considering the TCO, but rather how much $$ is going to come out of their bank account now and how many games are available. Finally even though sony doesn't consider the wii a competitor, everyone else does. Just because they bury their heads in the sand regarding the wii doesn't make it true.
Reply to this comment
by SteveW928 March 17, 2009 9:38 PM PDT
Well, what you say is true for most products. Is Apple doing poorly because so many people haven't realized TCO? It really doesn't matter if M$ or Wii sell more machines, as long as Sony sells enough for their to be a market. And trust me, 22M units is a MARKET! If a game hits, say 10% of the units, that's 2M+ copies. Can you develop and market a game for like $100M? I'd think it might be possible.

Re, the Wii.... Sony doesn't consider it a competitor because it really isn't. It is kind of like saying some motorcycle is competing with a sports car. I guess under some criteria it is... it is a vehicle, both might be fast around the track, etc..... but they are essentially different markets. The Wii is a previous generation game console with a new twist in interaction. It's quite cool, but a different market than the Xbox or PS3 ultimately. But again, see my above argument.... it really doesn't matter if they consider it competition or not.
by pithenumber March 18, 2009 4:19 PM PDT
@steve
no, its xBox vs PS3 vs PC

stop ignoring us
by SteveW928 March 18, 2009 7:38 PM PDT
@ pithenumber - are you trying to say PC gaming is included in the competition? The Wii is a more direct competitor than PC gaming. VERY FEW owners of Xbox or PS3 debated at all about whether to game on these consoles vs putting together a gaming PC.

But, this really isn't the point. Market share is largely irrelevant once you've reached enough to make a lucrative market. If you can't convince the stupid developers of this, new studios will come along who don't mind making a hundred million or two. The developers claiming the PS3 is too hard or not worth it are lazy or stupid. Just ask devs of Warhawk or KZ2 to name a few.
by juuken2 March 17, 2009 11:36 AM PDT
And why wouldn't it? It's an amazing system with some serious kick ass games. Look how many games are coming out this year alone.

The PS3 just needs a reasonable pricecut to compete with it's competitors. They cut the price and PS3 sales will skyrocket.
Reply to this comment
by umbrae March 17, 2009 12:16 PM PDT
Only a handful of those games are exclusive to the PS3, so there are available elsewhere: sometimes even the Wii. Of the exclusives I have been less than impressed.

I honestly doubt lowering the price will do much. They may sell more as a Blu-Ray player, but if they cannot get exclusive back they will remain in last place. With the scr3w the developers attitude Sony has had this generation, that is not likely to happen even with an improving install base.
by juuken2 March 17, 2009 12:51 PM PDT
Most of those games are first party exclusives. Why would anyone not care about those?

Here we go again with place. Once again, the PS3 is a great console regardless of place. It is a winner in the eyes of people who have it and use it as a gaming console/media hub.

I think lowering the price will boost sales. PS3 games are selling. I don't know why people are implying that people will just use it as a bluray player when there are cheaper bluray players out there that do the same thing.

Sony and the PS3 may just surprise the people who keep putting it in a negative light and that includes you.
by SteveW928 March 17, 2009 9:42 PM PDT
@ umbrae - huh? can you name a non-exclusive title that is any good? I can't think of any off-hand.

@ juuken2 - Yep... in fact I think Don was one of the writers predicting the demise of Blu-ray because it stood no chance against HD-DVD. ;o)
by Nataku4ca March 18, 2009 1:19 AM PDT
uh, just to prove that there are ppl using it only for blue-ray exclusively...

my uncle uses it as blueray play, and thats all he does with it.... interesting isnt it?
by fgsdfgdsfgdsfg March 17, 2009 11:48 AM PDT
I own both. I have a elite 360 and an 80 gig PS3 (older).
IMHO:
PS3 wins on the following:
value = blu ray (i actually own a HDTV), SACD player, built in wireless, rechargeable controllers, 7.1 surround (xbox is 5.1) free online gaming (xbox owners always dismiss this), many many many FREE add-ons such as wallpapers, game downloads and themes (xbox you pay for EVERYTHING), cost of accessories, interface/user experience is much more streamlined and pretty on the PS3. upgradability, as i can install a new SATA laptop hard drive in my PS# in about 15 minutes and spend less than 100 bucks to get over 300 gigs of storage space. and it doesn;t even void my warranty on the console. the owners manual even provides instructions on backing up data and replacing the drive.

xbox wins on the following:
Game titles available and online gaming experience/xbox live capabilities. PSN doesn?t compare to xbox live. If PSN were more like xbox live I would gladly pay. I like being able to join a friends game already in progress, change chat sessions while in a game, etc etc etc. none of which Sony supports.
Game console purchasers care about two things more than anything: titles available and online game experience. Since xbox wins in both departments, PS3 will always be doomed to lag behind. It is a shame really because it is such a nice console. I wish they would get with the times. Make the PS3 easier for developers to develop games for and make PSN more like xbox live. SONY, ARE YOU LISTENING? WE WILL PAY FOR XBOX LIVE FEATURES!!! GIVE THEM TO US!!
Reply to this comment
by mr_sm March 17, 2009 3:14 PM PDT
I have both consoles as well. What I would like to know is why has no one really put out a real review of the differences. I agree that your absolutly right about the PS3 advantages over the 360, and vice versa.

Look MS is a software company, Sony is a hardware company. It's funny the PS3 has way better software running it. When I play movies on my PS3 not only do they look better than the 360 plays them, but the screen smoothly fades to black brings up the movie it's classy. The 360 has a spasm, pop, click, flash white, purple, crackle then plays the movie. What up with that?

Big point, no one's made about the 360. The Xbox is totally locked down aside from demos and music, everything you put on that hard drive you have to pay for. In essence it's not your hard drive at all, you just buy it from MS to put their content on. PS3 allows me to copy my movies to it, rename, copyback to another drive, and upgrade it. I bought it, it's really my hard drive. I can even download movies and shows to other hard drives. I only expect the playstation online to get better, yes 360 is more mature now, but I remember where they used to be as well.

The $99 wireless adapter is outrageous, I can buy a Gigabit router to use as a repeater for that price. (BTW PS3 is Gigabit) there is no question the 360 costs more over time, for less features on patched together hardware. But the games do redeem it. Sony just felt this is the time for a total media center to be in your living room. They are right, they should not compare the PS3 to game only systems (Wii). This console life cycle will be long the 360 was right for it's time, if they don't fix the quality of the experience overall to the level of the PS3, I would expect to see the PS3 take over once again.
by SteveW928 March 17, 2009 9:52 PM PDT
@ mr_sm - you make a good point about the features M$ does have... they are implemented at a lower quality. For example, I often am quite vocal about the fact that PS3 doesn't have an overall voice chat between games, etc... however, one of my friends who has an Xbox says it isn't what it's cracked up to be. The feature is there, but not that well implemented.

You're also right about the Xbox being totally locked down... but not just software wise. For a company that supposedly prides itself in 'working with everything'... Sony is the real 'open' player here. I recently set-up an awesome headset with a Plantronics .Audio 370 and a Syba SD-CM-UAUD USB Stereo Audio Adapter which I paid less than $32 for (and could be had on sale for less than $22). Try THAT with an Xbox! Or, plug in just about any camera.... or upgrade the PS3 with any typical laptop hard-drive.
by grilledcharlie March 30, 2009 2:04 PM PDT
@ SteveW928
Tell your friend that he must be doing something wrong with his 360. The party chat works...well, perfectly. You can start a chat party and keep it going even if you're not playing in the same game. You can keep a chat going no matter what you or your friend are doing, as long as both of your 360s are on. How is that not what it's cracked up to be? Maybe your buddy just doesn't have any friends.
by jsnowbordr47 March 17, 2009 12:01 PM PDT
I love how they always make the argument about the value. Well the truth is, not everyone needs all that "extra value". My uncle bought his kid the 360 Elite with the 120 hard drive and all that good stuff. I went over to their house the other day, and all my cousin does is play games, he doesn't download the movies or anything, he's just playing Halo 3, etc. That 120 hard drive is nearly empty. As for the whole wi-fi part, my uncle doesn't allow his kid to play online anyway, so there's no need for him to buy either Xbox Live, or a Wi-Fi adapter. And like many other people I know, the router is right there by the TV or at least in the same room, so why spend $100 on a Wi-Fi adapter when a wire is so much cheaper.

Case in point, my uncle could have saved so much money if he just bought the Arcade version of the 360. Microsoft understands this, that's why they make things optional, because they have learned from their computer business that not everyone uses every dang feature you can cram into a computer/console.


Then you have the PS3, you are REQUIRED to have a hard drive, not because you can download movies and games/demos, but because a lot of the PS3 games require installations. RE5 just came out, and it has a monster installation. If you have several games and you only have say, the 20GB PS3, you'd have to uninstall some games just to play others, ridiculous. Sony plays it like Microsoft is forcing you to buy extra accessories, and that Sony is giving you extra accessories.

When in fact it's the exact opposite. Sony forces you to buy a Wi-Fi adapter, forces you to buy a large hard drive (not so you can download DLC/movies, but so you can install the games to play), forces you to buy a wireless controller, and of course forces you to buy a blu-ray player.

The only thing that Microsoft really forces 360 owners to buy is the Xbox Live Subscription. And after playing on both networks, I've observed Xbox Live to be much more stable than PSN, and this is coming from someone who has a "Strict NAT" on my connection for Live.


This whole generation has shown that Sony is no longer focused on the gamers, but more on trying to increase their own profits (they've failed), drag in new customers (failed again), and win this generation on technology alone (failed just like every other tech heavy console of the past generations).


When it comes down to it the 360 is still the cheapest way to play multi-platform titles like Fallout 3, RE5, Assassins Creed, EA Sports Games, Call of Duty 4/5, etc.
Reply to this comment
by umbrae March 17, 2009 12:20 PM PDT
I 100% agree with you. However, I would hardly says the 360 forces you to by an XBL subscription. You can use a local only profile or a free silver account.

And it is a joy to put in the disc and play right away. If I wanted install times I would just buy the game for my PC which I already own.
by juuken2 March 17, 2009 12:53 PM PDT
Can you get Meta Gear Solid, God of War, Gran Turismo, Uncharted, upcoming ICO game and many others on the 360?

I thought not.
by juuken2 March 17, 2009 12:54 PM PDT
The ignorance here is astounding.

Sony forgot about the gamers. Then I must have been seeing things when I have 16+ games for my PS3 and only three bluray movies.

Sony has made mistakes but it doesn't change the fact that the PS3 is a gaming console.
by juuken2 March 17, 2009 1:27 PM PDT
And another thing, not all games require installation and installations don't take that much space.
by DrtyDogg March 17, 2009 3:03 PM PDT
@Junken2: You are not the norm though. The attachment rates say that.
by juuken2 March 17, 2009 5:07 PM PDT
Yeah, the attachment rate.

That's all we're hearing about these days...
by FireyIce01 March 17, 2009 7:29 PM PDT
My buddy with the 360 Arcade would argue that there are many games for the xbox that run like crap if you don't install them to the hard drive. GTA4 and Gears of War2 for example, both freeze from time to time, because of the slow seek speeds of the optical drive.
by Nataku4ca March 18, 2009 1:42 AM PDT
To the really "hostile" juuken2

can't u post all 3 of ur comments in one =.=

and the if talk exclusive there r exclusives on 360s that u can't have on ps3 too. of then u'd hear all this self-centered dudes that scream and yell that only games that they like are real games and worth buying all others are just hype, u know what i like halo, and i like cod series. what r u going to do? its choice and preference, if u dont like it its your problem don't be rude to the ppl who like it.

let me say this, i agree with jsnowbordr47, they are just options and guess what im gonna get 360 arcade in a month or two so i can play re5, hawx, and ace combat(ok its old but i like the series but just havent had the money to get a new console)

i dont need or want all those extra "goodies" at least not right now, so until i want it i won't get it. so what is the exact TOC? u can't make one TOC and say everyone is the same, at least in this case u cant just add everything up and say tahts the TOC, it's wrong.
by omair-s March 18, 2009 8:11 AM PDT
sony forces u to buy buy all that fr a cheaper overall price.
if u cant shell out another 100 bucks fr your own good, then its nt sony's problem
by umbrae March 17, 2009 12:03 PM PDT
The Add-On stuff is just a load of bull. Saying "well you have to get XBL, and buy a BR player, and buy wireless". The fact is that many people could care less about Blu-Ray, and probably use their game console someplace different than where they watch movies. XBL is not a requirement and you can do a lot with a the "free" silver account ($50/year for XBL stands on its own, but you do not have to have it to play). And why you would want a gaming console on latency heavy wifi is beyond me. So I am happy to have my system of choice, which is much cheaper, without all the extra stuff I never wanted anyway included. Its about customer choice; not about squeezing extra money about adding "value" I never intend to use.

I will even raise the bar on this argument and say the PS3 is "WAY" more expensive because you have to buy a Xbox 360 along side it just to play decent games. Total cost? $399 + $299 = $698 :P

Sony just does not want to admit that they screwed up by FORCING features on users that few people are willing to pay for: especially with the economy. Value obviously is in the eye of the consumer and more of those are buying 360's.
Reply to this comment
by thomaspuzio March 17, 2009 6:51 PM PDT
"The fact is that many people could care less about..."

To say people COULD care less, is to say that it is entirely possible that people care more about this topic than other topics and that there is still room for the possibility that these people care less about other things.

You mean to say, "COULDN'T" care less, i.e. that this topic is at the bottom of the totem pole of things these people care about.
by FireyIce01 March 17, 2009 7:42 PM PDT
I can agree that the wifi isn't my connection of choice, I use an ethernet cable, but have my wifi configured anyway. That I have a switch next to my TV is not always common, I have a PC as a DVR. So, remove the wifi, and you've saved what, $25? I mean, I know microsoft sells their wifi adapter for $100... but honestly, how much do you think they pay to make that part? a usb wifi adapter doesn't cost $100. As for buying an xbox - there isn't a single xbox exclusive that I must have, and the many PS3 exclusives (GranTourismo5, Killzone2, Heavenly Sword, etc.) more than make it worth the value. People are shortsighted, especially here in America lately, and people like to complain about big evil companies. Nobody's forcing you to buy anything. These features are part of the device, if you don't want those features, don't buy the device. From an article I read the other day, the xbox was released a year earlier than the PS3, and yet, only has a couple million (thing 22million ps3s vs. 26million xboxes) console lead. My numbers aren't exact, cause I can't find the article, but honestly, I don't think sony's hurting *that* much. It's just the $2-300 losses they took on every PS3 they sold that is hurting them.
by vikinzer March 17, 2009 12:14 PM PDT
This is the stupidest argument I have ever seen on Sony's part. The simple fact is that making Blu-Ray a necessity by making it the format for the games was a major nail in the coffin for this console.

I do not care about Blu-Ray. Let me repeat I DO NOT CARE ABOUT BLU RAY!

I know plenty of people do, but the Playstation 3 is more than just Blu Ray. It's also a divx player, and an audio media player, and it has all sort of other bloat in it.

I have a desktop computer hooked into my flatscreen TV. My TV is the monitor for that computer. The computer feeds audio into my sound system, and viola I have all the media center I need. I can watch Hulu, I can watch anything I download, I can run Pandora through my good sound system, the list goes on.

We are hitting a point where internet devices are becoming far more normal connected to the TV. As more and more people want to stream their Netflix or Hulu to their television, and they get some other device, and over time those devices support the other multi-media functions that the PS3 provides then where is the value?

What about the people who have Blu-Ray players that do Netflix, where's the value there? This added value is in a market that is light and developing very quickly, and consoles don't develop quickly. By their nature they are unmoving targets for the sake of game developers. So unless Sony can find a way to move away from that model and really push an total entertainment experience that gaming is only a part of then they are going to be completely out of luck.
Reply to this comment
by sting7k March 17, 2009 12:18 PM PDT
Sony naturally forgets that their system isn't HD ready out of the box, you have to buy your own cables. Also no mention of the Xbox 360 Elite system. Or the fact that not everyone wants WiFi on their console, so why should EVERYONE have to pay for it if I don't want it? Xbox LIVE costing $$ is really their only advantage, but with subscribers to LIVE climbing all the time it seems most people really don't care. Especially when you can pick up a 13 month card on sale on any given week from some retailer, I got one last month at Best Buy for $29.99.
Reply to this comment
by SteveW928 March 17, 2009 9:59 PM PDT
LOL! Go to monoprice.com and get your cable for like $5. Geez.

Re: LIVE.... so after 3 years, you've already spent the extra $ the PS3 cost... and that is only IF you don't want or need the extra stuff the PS3 comes with. What about when you want a better headset? Or want to expand the hard drive capacity? Or have to buy battery pack rechargers? Or find out the D-Pad on the Xbox is a royal pain? Or the best games are on the PS3? Or your Xbox doesn't make it those 3 years?
by darkr March 30, 2009 2:17 PM PDT
thats 3 years with quality service that contunitiaully gets subscribers
vs psn which i have to ssay i can wait 5-15mins for Cod 4 a game matching on ps3

my nephew when i watch him play cod 4 the same game i wait at max 5 mins
by grilledcharlie March 30, 2009 2:39 PM PDT
@ SteveW928
I gladly pay the price for XBOX Live. It is totally worth it. I have never played a game of COD WAW with less than 50,000 people online on that game alone. And that is during the down times. Most of the time, its between 150,000-300,000. Whenever I play it on the Playstation Network, I'm lucky to find 60,000 at peak times. (I own it on both systems because my friends play it on XBOX Live, and my brother got a PS3 and COD WAW with his 10 years worth of tickets at Dave and Buster's). In other words, I can eat all the free samples of chocolate cake from Costco that I want, but it is just more worthwhile to just buy the whole cake and eat it with my friends.

If you want a better headset, you have to buy it no matter which console you own. At least the XBOX 360 Elite console comes with one. I agree with you on the hard drive issue and battery packs. I've never had an issue with the d-pad, but I imagine that it could be cumbersome with a fighting game. I find that the XBOX controller works better for shooters, which I play a majority of the time. The best games are on PS3? That was a fanboy comment, and you know it. Besides, Killzone 2's realistic controls SUCK...so frustrating. Why were they so concerned with "realistic" controls when freaking Radek has a personal cloaking device. Is that realistic? Yes, 360s have had serious rrod issues, but the hardware has been fixed. At least MS extended the warranties to 3 years instead of denying that their console had an issue as Sony did with the PS2's "CD READ ERROR" problem that it had it's first 2 years. G4 did a special on how to fix it for God's sake, and Sony still denied it as a problem. That is actually the reason that I ended up buying an original XBOX.
by fitzgm3 March 17, 2009 12:36 PM PDT
I would bet at this point Sony doesn't care much. The PS3 served it's purpose and killed HD DVD... anything Sony makes off PS3 from now on will be icing on the cake.
Reply to this comment
by goolee March 17, 2009 2:17 PM PDT
This is a good point. Sony's PS3 not only came out as a next gen gaming system, but also to fight against the new hi def standard (HD DVD). If I remember correctly, most of the people bought a PS3 for their bluray player because it was the best value at the time (which it still may be, not the cheapest, but the best value). The PS3 was the biggest factor in winning bluray vs HDDVD competition so like above post said, Sony has already won on that front.
Now that that's done, if they did take out the bluray player and cut the price by $100 then I'm sure it make great sales as a gaming system.
by deanbvfx March 18, 2009 7:20 PM PDT
What most people forget( I suppose it was nearly a decade ago) that the PS2's use of DVD for its games introduced DVD movies to most homes.
It's pretty much the same strategy with the Blu-Ray, just in this case Sony has more of a vested interest.
In fact Sony has never used the same disc format in any of it's consoles. Actually the only one I can think of thats used the same discs in its consoles is the 360, just heres hoping the 720 uses Blu-Ray or an equivalent.
by gabelevinson March 17, 2009 1:03 PM PDT
Love my PS3 cost $ 100 less with a Sony Card and I use the blue Ray player all the time- Sony should make a bare bone PS3 without the blue ray or the remotes for $ 100 less. Some people want the cake and eat it too.
Reply to this comment
by SteveW928 March 17, 2009 10:04 PM PDT
I doubt that would save them much $. Blu-ray is just a mechanism much like a any other optical drive. I doubt the actual cost to Sony is more than $10-$20 these days.

"Without the remotes?" do you mean the wireless controllers? I suppose they could do that... but again, they are pretty nice, and I'm not sure how much money that would really reduce the overall price.

I think they would probably be best to bundle a few more games and movies with it if they can. I doubt they can lower the price of the actual base package too much currently... though we might see a $50 drop not too far down the road.
by Nataku4ca March 18, 2009 1:55 AM PDT
"I doubt that would save them much $. Blu-ray is just a mechanism much like a any other optical drive. I doubt the actual cost to Sony is more than $10-$20 these days."

dude blue-ray is a technology different than the good old dvd vcd etc... if it's already that cheap to make the drive we would be seeing players selling at $150 range as the main stream price =.=

there isn't enough source to make the price for making them cheap yet, its always like that
by deanbvfx March 18, 2009 7:17 PM PDT
A Bare bones PS3 without the Blu-Ray.
You having a slow day or something?
Blu-Ray isn't just to play movies but its the format the games come on. You know how like you maybe backup your work onto a DVD, the same disc format that movies come one. and how you may have used CD's to back up too, jsut like Music uses. well Blu-Ray is a data disc too not just a HD movie disc.

You remember how like the PS2 used DVD's for playing movies and its games, and the 360 continues to use still (heaven forbid if the 720 still uses DVD)
by SteveW928 March 18, 2009 8:12 PM PDT
@ Nataku4ca - The component cost was under $100 over a year ago (when Blu-ray players were more $ than the PS3). I'm sure they have come way down since. I thought I read $40 somewhere, but can't confirm that... but I wouldn't doubt it too much. So maybe there is like a $20 to $30 difference between using a Blu-ray mechanism and a DVD one. What Sony gained was much more valuable than that bit of savings.
by thakash March 17, 2009 1:12 PM PDT
Most people who go on the face value and don't analyze the actual cost before buying are plain dumb
Reply to this comment
by juuken2 March 17, 2009 1:23 PM PDT
No, people who go by the blind assumption that the PS3 is just a bluray player are plain dumb. These are people who don't do their research period. The PS3, like the PS2 and the PS1 is a media hub. You play games, you watch movies, you play music...etc, etc, etc.

Sony may have made a lot of stupid mistakes this generation but it doesn't change the fact that they built a very unique system that can only be more successful with more impressive software sales and a reasonable pricecut.

Media centers like cnet have blinded people into thinking the PS3 is just a bluray player. It's truly, truly sad.
by SteveW928 March 17, 2009 10:06 PM PDT
@ thakash - yep.... and the one thing this article does have correct, is that there are a lot of those kind of people.
by Mike+1 March 17, 2009 1:28 PM PDT
You cannot buy a Blu-ray player with all the features of the PS3 (not counting gaming features) for $399. I have bought several BD movies and use the BD Live feature as well. It is also the fastest loading (no tray) BD player you can buy for $399. Someone mentioned PlayOn in another post and I use it as well as PlayStation Media Server to share media over my home network. The online web browser experience of the PS3 leaves a little to be desired, but is a quick fix when I am too lazy to go in another room and log on to my desktop or don't want to get my laptop out and go online wirelessly with it. Streaming and downloading features are very handy from my easy chair with the PS3. The games are more expensive to develop and design for the PS3 but the greater capacity of the Blu-ray disks allows for more extensive designs to be experienced in full 1080p HD Blu-ray. I am using and enjoying my PS3 every day while others wait and wish that the price would come so they can feel like they got a good deal. I wish the price of the games was $15-$20 and the price of BD movies was $10-$15, but I also want a brand new Porsche for $25k as well. ;-)
Reply to this comment
by make_or_break March 20, 2009 10:30 AM PDT
Great as long as you WANT the BD movie capability. You'd be surprise how many have tunnel vision and ONLY want a console for its GAMING capability (ohh, hand's raised...pick me...pick me). The convergence strategy hasn't panned out; all anyone has to do is see the PS3's sorry sales figures to get confirmation.

The PS3's core market is gamers, period. Sony assumed gamers and videophiles were one in the same. Too bad they can't take a mulligan for that call.
by Mike+1 March 26, 2009 2:17 PM PDT
PlayStation 3 games are Blu-ray format, so you cannot remove that capability, it is just another one of the advantages of the PS3 over Xbox or Wii. Why not get both a great gaming system and the best BD player you can for less money than another gaming system and a separate BD player wuold cost if you intend to buy a BD player anyway. If not, be satisified with inferior technology that will be (or already is) outdated soon. Most every PS3 owner I know is a videophile as well, some are videophiles first and gamers second like myself, exception being my nephew who uses his PS3 to watch the Simpsons when he is not several levels deep into one of the many games he plays daily with the fantastic HD graphics of the PS3.

The PS3 sales numbers may be in 3rd, but if the highest price game console can sell that many units and have superior technology, then the game developers cannot ignore them. Sony's leads all-time sales of all game consoles (PS1, PS2, PS3 and PSP) sold, so I think that they do know their market. Their all-time sales of videophile electronic products, (ie, televisions, bd players, etc) is pretty impressive as well, so they probably know more about their market than most companies.

Most cell-phone users just want a telephone, but thankfully someone decided that some people might want e-mail, internet, camera, GPS, etc., heck even games all in one device, imagine that!
Showing 1 of 3 pages (152 Comments)
advertisement
Click Here

The yogurt makers of tech: Gadgets to avoid

Don't buy these one-trick ponies--unless you like gizmos that gather dust.

Google wants to unclog Net's DNS plumbing

The Net giant, ever eager for a faster Internet, debuts its Google Public DNS service. With it, Google could become even more central to the Net.

advertisement

About The Digital Home

Don Reisinger is a technology columnist who has covered everything from HDTVs to computers to Flowbee Haircut Systems. Besides his work with CNET, Don's work has been featured in a variety of other publications including PC World and a host of Ziff-Davis publications.

Don writes product reviews for InformationWeek and is a regular contributor to Processor Magazine. You can visit his personal site at DonReisinger.com or if you would like to email Don with questions or comments, drop him a line at CNETDigitalHome@gmail.com. He is a member of the CNET Blog Network and is not an employee of CNET. Disclosure.

Add this feed to your online news reader

The Digital Home topics

Subscribe to the Digital Home podcast

Have you ever wanted a no-nonsense discussion on what is really going with all the tech topics related to your Digital Home? If so, join Don Reisinger as he brings you the same biting commentary you've come to expect from his Digital Home blog in all its audio glory.

Subscribe to this podcast using an RSS reader other than iTunes

Subscribe to this podcast using iTunes

Don's links
Don's Facebook account
Don's Twitter feed
Don's Friendfeed account
Don's Google Reader account
Don's Last.FM account
Don's Pownce account
Don's Flickr account
advertisement
advertisement

Inside CNET News

Scroll Left Scroll Right