Ginko,
Ginko said:
Sony talked a big game of offering a true next generation game console. They have yet to demonstrate how the PS3 is the superior game console. Nothing on the forefront seems like it is any better than the cheaper 360. In other words, there's no reason to believe at this point that it is worth the extra price over the competition, thus you are paying for potential. I never said anything about it being bad...I just find it silly to invest in one right now.
No doubt they did - it's called marketing and surely played a crucial role in keeping the market hyped for a product that I believe wasn't going to launch any sooner than it did. I would have been very surprised if Sony would have launched back in Spring 2006. The rest of your post is all very subjective and doesn't leave much to be replied unfortunately: Being an early-adopter rarely makes sense.
I guess it also depends what your reasons for supporting a console is: is it the technical potential Sony is hyping or like in my case, also the software and franchises that will surely remain exclusive to the PlayStation brandname? In my case, it's the latter - the rest, including BR, HD is a potential I'm looking forward to as an extra benefit.
Mintmaster,
Mintmaster said:
But this is a pretty serious marketing mistake on Sony's part. There's a reason everyone in the console business (except, apparently, Sony this particular generation) tries to keep the basic package low in price and gouge the consumer on accessories. It works. You want to create a low entry barrier to your system, and then when the buyer is hooked, he/she will buy more stuff - both games and accessories.
If this is a serious mistake on Sony's part or not, is something that Sony will find out once this generation is finished. IMO, when you consider the stakes in BluRay succeeding as the successor to DVDs and PlayStation 3 continues the success of its predecessor, I'm sure they'll be more than happy. If anything, I see the open platform as being a goodie for customers since they [Sony] knew there was no way of making the PS3 any cheaper for consumers in the first year simply because BR is a very costly (but strategic important) feature.
As a potential (and informed) buyer, I'm happy to note where I'll be spending less. When I look back at my 30 games for PS2, the hardware price itself ends up being an insignificant factor. After 6 years of gaming with a PS3 (and hopefully lots of games), so will the original pricetag of $600.
Mintmaster said:
I seriously doubt PS3 would take away from PS2 sales when it's four times the price. Why you're comparing PS2 sales to XBox360 is beyond me.
I wasn't comparing, I was pointing out why it did not make business sense to launch PS3 any earlier than it did. Just because it was in Microsofts interest to end the life of the Xbox early, doesn't make it to be in Sony's as well. While the PS3 might not directly influence the PS2's sales, I think the reason for launching the PS3 later is more because of production issues. With CELL, EE/GS as well as PSP's chips being fabbed inhouse, I'm sure the production rate of PS2 parts has fallen significantly since PS3 entered mass production as of mid 2006. If they would have prepared for a 2005 launch, they would have started much earlier with mass production and that surely would have had an effect on PS2 production as well as publishers still supporting the dominant console of last generation.
Mintmaster said:
Okay, I'll agree here, but I think the early sales are pretty crucial, especially when you launch a year later than your primary competition. MS will be able to hit the $199 price point way before Sony. Maybe 1.5 years sooner.
Agreed. Though I fail to see the significance of that $199 price point. I'd argue that a more attractive product at $299 doesn't necessarely sell worse than one at $199. Dreamcast launched at $199 and couldn't compete with a more expensive PS2. Same goes for Xbox which (at least in Europe) usually went for less than a PS2. I agree that strategic price drops are an important factor, but it's not the only one.
If I am to predict the future, I think the PS3's cheap (mass market) price will be at no less than $299. Even if Xbox360 is at the $199 at that point, does not change the fact that with the more expensive console, you are getting a next generation movie player (BR). If by that time BluRay ends up being the dominant medium, that could well make a difference, even in the eyes of the average consumer. If BR doesn't have that impact and ends up failing against HD-DVD, then Sony might be in a little trouble. Also, take note of the PSP which also launched at a price that no one thought could be successful. Yet it is selling and has made quite a remarkable userbase of itsself, even against more aggressively priced competitors. True, the markets aren't exactly the same - but then, is the target audience of the PS3 and Xbox360 really the same?
How this all pans out, I guess we'll see in the following 1 to 2 years. It's sure going to be interesting, that's for sure.