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Analyst: Sony under pressure to drop PS3 price

Posted on March 11th, 2008 at 06:37 EDT

David Mercer, the Principle Analyst for Strategy Analytics, has suggested that Sony will likely be under increased pressure to lower the price of the PlayStation 3, following Microsoft’s decision to reduce the price of its Xbox 360 console throughout Europe.

"Sony will be nervous that the PS3's recent sales surge may fizzle out now that the premium Xbox 360 undercuts the PS3 by £40, and the cheapest Xbox model is almost half the price of a PS3”, said Mercer.

Despite this, Mercer stated that Sony would likely hold off on any price cuts until later in the year, adding, "Sony will be scrutinising the daily sales reports, but will probably try to hold out until later in the year before making its next price move."

The 40GB PS3 currently retails for GBP 299.99, with the Xbox 360 Elite being reduced to GBP 259.99 this Thursday.

Source

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What are your thoughts?
posted 6:52am EDT - March 11th, 2008
1

Duuhhh.. Of course.

posted 6:58am EDT - March 11th, 2008
2

Thouce cnts at microsoft pulling out their reserves:(

Go on Sony dont be scared.

posted 6:58am EDT - March 11th, 2008
3

Thouce cnts at microsoft pulling out their reserves:(

Go on Sony dont be scared.

posted 7:28am EDT - March 11th, 2008
4

i'll never buy a 360 they rushed it just so they could get ahead of sony and nintendo only a fool would buy one if you like the games get them on the PC!!!!!!!!!

posted 7:47am EDT - March 11th, 2008
5

So for an extra GBP40 you get all the features of the Elite minus the RRoD and plus a Blu-ray player, sounds fair.

posted 7:49am EDT - March 11th, 2008
6

This article is like saying "people need air".

posted 7:56am EDT - March 11th, 2008
7
Blu-ray games and movies, lossless audio over HDMI, Wi-Fi and better reliability - worth a LOT more than another £40.
posted 8:12am EDT - March 11th, 2008
8
Whats the point of having a 360? U can just play them on ur computer, then theirs the PS3 where u can only play their games on the PS3. The xbox is just a crappy version of a microsoft computer, sony actually made their system hav compettion against the computer.
posted 8:34am EDT - March 11th, 2008
9

They could sell a model with 1GB HDD (people will upgrade anyway), scrap the DAC chip to allow streaming of the raw sound signal (a dedicated DAC/receiver will do a better job anyway), put the Card Reader back in (£2)... and you have a system that's not only cheaper than the current 40GB model, but it's more appealing to movie buffs (plus internal card reader is better than having a seperate unit danggling from the usb)... I'll buy that!

posted 9:00am EDT - March 11th, 2008
10

This just goes to show you MS desperation. They know they won't be able to compete wtih Sony this year. The sad part is Sony gave them a year head start to do the best damage they could do. Get ready to buy another SKU in a year or so xbots.

posted 9:10am EDT - March 11th, 2008
11

I don't think Sony need to drop the price. £40 isn't the same pschological barrier that, say, £100 would be. A superior, reliable machine for the price of a game? I know which I'd buy!

 

Sure, a basic 360 is half the price, but it's also pretty useless. By the time you buy the add-ons and upgrades to make it worthwihle, it costs around the same as a PS3, if not more.

 

MS would have to pay me to take a 360, and even then I'd have to think twice.

posted 9:10am EDT - March 11th, 2008
12

What you all forget is the 120gb drive on the elite is useless. You can copy films to it or mp3's, you need to rip them, What a waist I say, M$ better sort this out asap,

You cant even play your movies off disk on the 360 unless your connected to the net!!! who brilliant idea was that ?

Not like the PS3 were all your movies can be copied onto it with no fuss what so ever,

posted 10:07am EDT - March 11th, 2008
13

The ps3 price is ok for me becouse the cell and the blue ray player are expensive to make

posted 10:32am EDT - March 11th, 2008
14

If Sony doesn't drop the price on the PS3 in Europe, then they sure have a lot of confidence in the PS3. Even though the PS3 higher priced than the Xbox 360 overseas it still sells better. The price drop will help surge 360 sales obviously, but I think that if people want a premium product, they will pay more money for it and that is what Sony is counting on.

posted 12:25pm EDT - March 11th, 2008
15

The extra £40 for blu-ray and tons of other things definately is worth it!   However, £40 still makes a difference and WILL be the deciding factor in which console to buy for some people who don't research into it! So however great the PS3 truely is. Sony will have to drop the price.

posted 12:34pm EDT - March 11th, 2008
16

psn id: gingo.... we'll definetely not see a ps3 price cut before MGS4 comes out but after that there may be a small price cut

posted 2:54pm EDT - March 11th, 2008
17

killzone 2 + price drop? wooooooooooowwwww. killer

posted 8:55pm EDT - March 11th, 2008
18

I think £200 is the magic number in the UK. I hope Sony actually drop their price to that much by the end of the year, it would be a disappointment if you were to wait nearly a year for saving £50 or so.

Sony need to open their eyes and look at the biggest gaming market. (Europe) Europe has shown the most loyalty to the Sony home consoles than any other region, they would make a killing if they dropped the prices - which are already ridiculously high compared to the US & Japan. (Launched at over $850 here and currently $600, the price the American media were making such a fuss over)

posted 9:32pm EDT - March 11th, 2008
19

And don't forget (if this already hasn't been said yet) that you get free online with PS3. You need to pay the extra £40 for xbox live, so this makes it even.

PS3 has been out for a year now in EU and we haven't actually received a price drop yet. We got a 40gb PS3 with reduced ports and slots also without B/C, so that was the only reason why the PS3 is £299 over year in UK, we may see a PS3 price drop depending on how the 360 price drop effects sales.

posted 1:47am EDT - March 12th, 2008
20

Well, I'm just tickled that Microsoft will lower the price in the region of low sales to beat out the PS3.  Maybe that's why I haven't gotten a 360 yet.  The US pays full price while they drop price everywhere else to compete.  I'll buy the Elite when they pull their heads out their ***es and be fair.  I won't pay $480 and risk losing all my game saves because MS wanted a head start.

posted 11:05pm EDT - March 13th, 2008
21

I don't think Sony will give us a price cut just yet,remember GT5:Prologue is just around the corner,i think that's when Sony MIGHT cut the price,to give it that extra push.

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