14 DAY TRIAL // The PlayStation 3 console hasn't had the best of times in these first years since its release as, although it was one of the most powerful platforms in terms of hardware, its very high price tag, as opposed to its rivals, the Nintendo Wii and Xbox 360, swayed off many potential customers.
That is why many analysts, journalists and even average gamers wanted the console to receive a price cut, since with the old $400 it just couldn't stand a chance against its competitors on the market, especially in these financially troubled times.
But the inevitable happened two days ago as Sony announced not only a new version of its console, the PS3 Slim, which would replace the current-generation PS3, but also the fact that it would enter the market at just $300 in a 120GB version.
This piece of news was met with open arms by EEDAR analyst Jesse Divinch, who reveals the company’s stand via a press release titled 'Hallelujah!'. “EEDAR is pleased to see that the PlayStation 3 has finally dropped in price. The new PlayStation 3 pricing scheme finally makes the Sony console a much more competitive product, relative to its closest rival, the Xbox 360. In terms of value, the PlayStation 3 is a superior hardware product in comparison to the Xbox 360; however, this is not to suggest that hardware sales will suddenly shift to Sony’s favor—a superior hardware system is only one variable in the equation for next-generation success.”
The analyst goes on to say, “Nevertheless, the PlayStation 3 price cut will act as a positive catalyst that will close the sales gap between the PlayStation 3 and Xbox 360. This price drop also places the PlayStation 3 at a competitive price to the Wii (retail MSRP $249). While the target audience for the two platforms varies greatly, some consumers will face a tough decision to purchase the Wii with outdated processing power or the PlayStation 3 with a built-in Blu-Ray player. However, the market size of those actually debating between a PlayStation 3 and a Nintendo Wii is relatively small.”
Moreover, Divinch says, this move will set a new standard price of $299, which will stay the same for quite some time. “The $299 price point will likely become the new standard for the next-generation consoles for the next year. Both Sony and Microsoft are acting like 12th round boxers, so exhausted (in this case, financially exhausted) over the three year battle for next-generation supremacy, that neither are likely to deviate from the $299 price point for some time. It is possible that both consoles may reach a $249 price point 12 months from now, but that will likely be the lowest prices will get in the next two years.”
While analysts might be happy about the change, let's just wait and see whether the customers will feel the same about the move and whether PS3 sales will go up next month when the Slim version will be released.