No More 60GB PS3 in the US after July?

Ben-Nice

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Maybe the dumbest move I have ever seen

http://www.gamesindustry.biz/content_page.php?aid=26704

SCEE president David Reeves has told GamesIndustry.biz that the 60GB PlayStation 3 will no longer be available in the US after stock sells out - which he predicts will occur by the end of the month.

Sell out in 2 weeks?

"All they're doing is taking their stock in trade that they've got at the moment of the 60GB model, marking the price down and it will all be gone by the end of July."

When asked to clarify if this will mean the end of the 60GB model, Reeves answered, "In America, yes."
 
I'm sure he means Sony will sellout their stock to retailers by end of the month.

Because there is no freakin way they are going to sell through those 2mil+ units they supposdly have just sitting in warehouses + store shelves in the US.

By the time the actual stores sell out, I'm sure there will be a new $499 SKU or even a cheaper one.
 
Agreed - this 'channel clearing' is what a lot of us were suspecting anyway. Even if it were Reeves official opinion that it would take two weeks to clear, I would simply say that he is very much mistaken.
 
This is why PR talk have nice hidden messages that they don't want you to know. ;)

It's near impossible for 60 gigs PS3 to be depleted for good in just 3 weeks. There is at least 2.5+ million(guess?) unsold 60 gig PS3 on the US market right now. For it to sell 2.5 million in 3 weeks is ridiculous.

Reeves pull off this PR stunt to increase sales even further. So the average Joe can quickly run to the store and buy the 499 model before they run out.

Sony is already convince that a 599 model won't sell. Look at their sales when the 60 gig was price at 599? So by Christmas when 60 gigs are depleted for good, they'll offer the 80 gig model for 499 without the Motor Storm game probably.
 
But they need a price drop not a slightly improved product sold at the same price as previously

I dont see this as a good strategy
 
The interview answers seem vague. Does he mean the original stock of 60GB
PS3s, where they will be replaced by other 60 giggers with the European-launch innards? Does he imply that after selling the stock, the 80 gig will replace the 60sku? I dunno. I couldn't imagine them forcing consumers (in the US) to pay 600USD for 80gb and a game. Damn gamebiz, be more thorough.

Sony is already convince that a 599 model won't sell. Look at their sales when the 60 gig was price at 599? So by Christmas when 60 gigs are depleted for good, they'll offer the 80 gig model for 499 without the Motor Storm game probably.

Something along those lines is sure to happen.
 
Not a smooth move overall, excepting that they're wanting to clear out the old units. If the 80GB replacement remains at $599 afterwards, that will be teh stipuds.

Of course they may just keep the bundle until such a time that the bulk of the 60's are gone, then unbundle and reduce THAT unit to a $499 point they keep through the holidays, in which case it just keeps us focused on draining the channel of old units first.

(Meanwhile, it's still a bad deal at $599. Has it been announced that they're putting anything ELSE in the bundle?)
 
I don't really know what you were expecting. This was pretty much the assumption as soon as we learned of the specifics of the 'price drop'.

It wasn't a price drop. Speculation on what item or bundle of items they will move to the $499 price point once the 60gbs are depleted is an interesting exercise, but let's not lose sight of the fact that $499 consoles aren't going to sell well, period.

The question then becomes if the 60gb is being phased out and we take your assumptions that the 80gb model will move to that $499 price point, where is the $399 console they need in order to have a chance of competing in holiday 07?
 
WHAT THE HECK!!! Should I get the PS3 now then to get the price drop? Sony is the master of confusion. :???:
 
why do people assume there are 2 million+ US PS3s that are waiting to be sold?
I have no idea how many there are but certainly much less than that number which includes EE-less and Japanese stock as well.
 
If my predictions are correct then I'll say it an effective way to bring down the cost. Remember Sony just lost 1.9 billion. They can't start doing drastic price cuts even though they are able to find effective ways to reduce manufacturing cost. It takes time. Cutting off 200 dollars in one year means the industry see them very desperate and Sony may never reach profitability off the PS3. And then it's back to the drawing boards. Do they still want to aim for a ten year life cycle?

Sony has no chance this holiday in the US against the 360 and Wii. However quality games like Haze, Lair, R&C, UT3 and among other will help cushion the blow they'll recieve from Halo 3.

As long as they don't fall well over 10 million units behind MS by end of this year, they'll have a chance to get back next year because of GT5 and KZ2. Both are expected to move hardware alone.
 
This was obvious to some, clear out the old expensive 60GB and replace them with the 80GB. They are trading 20GB for the improved BC. The 80GB must cost far cheaper to make.
 
why do people assume there are 2 million+ US PS3s that are waiting to be sold?
I have no idea how many there are but certainly much less than that number which includes EE-less and Japanese stock as well.

The numbers are derived from presumed initial manufacturing figures vs the number of units sold thus far in both N. America and Japan. Maybe its two million, maybe it's one million... but whatever it is, it's enough for more than two weeks worth of sales - certainly that's not too much of a stretch, agreed? 1 million units at May's sales pace would last ten months. Assuming a substantial throughput boost, let's say we have until the onset of the holiday season for whatever pricing/SKU/bundle strategy they're looking to implement then to take effect.
 
Would you agree that Sony is no longer the market leader?

I don't think it's to do with market leadership, it's to do with growth. If we are to look back in five years' time, what we have to say is we have to double this industry in five years. It's not necessarily who's the market leader.

I think it will be cyclical. It's the same with Adidas and Converse and Puma and Nike; they all bring out new models, but in the end they have such store presence and so much marketing they have trebled that industry in the last eight years. That's what we have to do...

We've now got to appeal to families and to older people; that's where the growth is going to come, broader franchises. They're not going to be all Killzones, they're not going to be all God of Wars or Metal Gear Solids. They're going to be LittleBigPlanets, Calling All Cars, localised SingStar versions. We're doing a Bollywood version of SingStar; we'll probably do one in Russian as well.

:oops: :D
 
How much would a stripped down model like the 20GB minus EE be? It seems like that's the direction they should be going instead of incrementally increasing hard drive size with pack-ins. They completely ruined any headway they made at E3 with this announcement.
 
I think the 80GB version will end up being 499 when the 60GB version has cleared. The 80GB version is obviously going to be cheaper to make. All they are trying to do now is making sure that by the time the 80GB version is announced for 499, people will have a higher perceived value of the 80GB SKU than they would otherwise have.

If in Europe they release it with two platinum games and two controllers, that's close to having the same kind of price-drop for many. To illustrate, I have recently bought a second controller, and Resistance and Motorstorm are the two games I own.
 
It's near impossible for 60 gigs PS3 to be depleted for good in just 3 weeks. There is at least 2.5+ million(guess?) unsold 60 gig PS3 on the US market right now. For it to sell 2.5 million in 3 weeks is ridiculous.

The 80g model is essentially the one launched in Korea. Sony could have been shipping only these for the past couple months. So I don't think a shortage of 60g PS3 is that inconceivable.
 
The numbers are derived from presumed initial manufacturing figures vs the number of units sold thus far in both N. America and Japan. Maybe its two million, maybe it's one million... but whatever it is, it's enough for more than two weeks worth of sales - certainly that's not too much of a stretch, agreed? 1 million units at May's sales pace would last ten months.
Mostly. That said, though I am skeptic especially when it comes to PR, I cannot say they certainly won't be able to empty their stock by the end of the month.
We all guessed they want to get rid of 60 GB in NA, but we don't really know much about their world-wide strategy especially in Japan which also includes the same SKU.
Who knows maybe they already shifted some of NA stock to Japan and/or they want to create temporary demand by artificial supply shortages, and/or try to make extra few bucks on 80 GB which I am positive very profitable.

So, Reeves may have a solid reason to expect such a result, or just trying to create another artificial demand by simply saying "guys hurry up, you won't be able to buy it cheap anymore" , in which case he will probably look stupid in 3-4 weeks.
 
WHAT THE HECK!!! Should I get the PS3 now then to get the price drop? Sony is the master of confusion. :???:

Wait till this inventory is cleared and the 80GB is dropped in price. Realistically it'll likely be October by the time they clear their large surplus and you'll then see a price drop on the 80GB unit.
 
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