14 DAY TRIAL // Sony is one of the biggest companies currently active in the gaming industry, owning one of the largest brands in video games, PlayStation. But while the label is known all around the world, the latest home console in the series, the PlayStation 3, isn't the most popular device on the market.
This is largely due to the high asking price, $399, which is way more expensive than its main rivals, the Nintendo Wii or the Xbox 360 from Microsoft. We've heard a lot of people talk about a price cut, and even Activision CEO Bobby Kotick threatened to deny support for the platform in the next few years if it didn't become attractive.
Now, in an effort to put things into perspective, Sony Computer Entertainment America President Jack Tretton revealed that, had it wanted to, Sony would have released a PlayStation 2.5, which would have retailed for a smaller price, but it wouldn't have enjoyed the same amount of popularity as it wouldn't have been a big step forward, like the PS3 currently is.
“People are always wanting you to lower your price on hardware. We could've come out with a PlayStation 2.5 for $299 or less, and in the first two or three years it would sell extremely well. But there would be a point where people would be going, “I am not really seeing the incremental leap.” We feel that we're sacrificing the short term to pay dividends in the long term. People are having short-term thinking – the platform is not even three years old. It was $599; it's now $399. The focus on pricing is something we appreciate, but you have to have the conviction and the confidence that you are on the right path for the long term and ultimately you'll get all the consumers you want. You won't get them all day one, but we're looking to get them over a 10-year period. It's going to take different things to get different consumers.”
Currently, the presumed and inevitable PS3 price cut is pegged around August, when popular football simulator Madden NFL 10 will be released in the United States, or just before the holiday season, as Sony would bet big on people spending large amounts of money on a new home console.
Hopefully we will see this oft-rumored cut in the near future, at least for the PlayStation 3's sake.