Fats
09-04-2007, 05:26 PM
The simExchange has released an analyst research report indicating that it believes Sony needs to drop the price of the PlayStation 3 in the coming weeks or months in order to remain competitive with the Xbox 360 in North America.
The report, by analyst Jesse Divinch, indicates that either a USD 100 price cut or an added-value bundle would help to reduce the apparently widening gap with the Microsoft console.
Divinch believes that although a price drop would incur a greater financial loss per console manufactured, he feels that such action is necessary as "Sony’s third party software support could be at serious risk if they allow Microsoft to continue to widen the sales gap."
If Sony does announce a price cut, the logical time to do that would be the Tokyo Game Show, taking place later this month – and such a move might have repercussions on the market share in its home territory as well.
Figures used in Divinch's analysis are taken from the virtual trading in the simExchange, a prediction market which allows gamers and developers to dabble in industry forecasting, and isn't based on actual share prices or financial exchanges.
Source (http://www.gamesindustry.biz/content_page.php?aid=28309)
Eh, slow news day. Though the Bold part, I happen to agree with and it's my main concern for the PS3. Obviously this won't happen and I'd bet my house on it that it won't (unless he's speaking of the 80GB dropping to $499?)
EDIT: Sort of related.
Sony are to sell around 34.5 per cent of its Financial Holdings company, raising around JPY 332 billion (USD 2.9 billion) in the process.
According to a report on Bloomberg, the proceeds could then be used to fund the production of more consumer electronics goods, such as Bravia televisions, as well as enabling a cash injection to the PlayStation division.
Mizuho Investors Securities analyst Mitsuhiro Osawa believes the move could also see its way directly to consumers: "A cut in the price of the PlayStation 3 is one option."
Pricing for the stock will be set on October 1, with trading commencing on the Tokyo Stock Exchange on October 11.
Source (http://www.gamesindustry.biz/content_page.php?aid=28321)
The report, by analyst Jesse Divinch, indicates that either a USD 100 price cut or an added-value bundle would help to reduce the apparently widening gap with the Microsoft console.
Divinch believes that although a price drop would incur a greater financial loss per console manufactured, he feels that such action is necessary as "Sony’s third party software support could be at serious risk if they allow Microsoft to continue to widen the sales gap."
If Sony does announce a price cut, the logical time to do that would be the Tokyo Game Show, taking place later this month – and such a move might have repercussions on the market share in its home territory as well.
Figures used in Divinch's analysis are taken from the virtual trading in the simExchange, a prediction market which allows gamers and developers to dabble in industry forecasting, and isn't based on actual share prices or financial exchanges.
Source (http://www.gamesindustry.biz/content_page.php?aid=28309)
Eh, slow news day. Though the Bold part, I happen to agree with and it's my main concern for the PS3. Obviously this won't happen and I'd bet my house on it that it won't (unless he's speaking of the 80GB dropping to $499?)
EDIT: Sort of related.
Sony are to sell around 34.5 per cent of its Financial Holdings company, raising around JPY 332 billion (USD 2.9 billion) in the process.
According to a report on Bloomberg, the proceeds could then be used to fund the production of more consumer electronics goods, such as Bravia televisions, as well as enabling a cash injection to the PlayStation division.
Mizuho Investors Securities analyst Mitsuhiro Osawa believes the move could also see its way directly to consumers: "A cut in the price of the PlayStation 3 is one option."
Pricing for the stock will be set on October 1, with trading commencing on the Tokyo Stock Exchange on October 11.
Source (http://www.gamesindustry.biz/content_page.php?aid=28321)