HD consoles prepare for price war

With the current console war being fiercer than ever before, both Microsoft and Sony are putting a lot of work into reducing their manufacturing costs. They know that this gives them room to cut retail prices to gain a competetive advantage.

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Cwalat3837d ago

yah, i agree... Sony has the advantage:

if MS cuts prices they'll loose money of every console sold.
Sony would also cut the prices but theyll profit from it after the reducing manufacturing costs.

i guess what ever MS does Sony will hit back with a slap in the face.

anh_duong3837d ago

i think there is pressure for price cuts but you have to understand that both sony and microsoft don't really want to reduce their margins. both companies are making money from their gaming division for the first time in a while - the last thing the want is to enter a damaging price war. so a price cut might not come unless xbox sales start to significantly drop behind sony.

v1c1ous3836d ago

sure if you put them on a scale of 1 2 3 microsoft gets third place.

but when the diff b/w 2nd place and 3rd place a week is only ~30k consoles... are you really in such a hurry?

if my competitor is selling 5 more apples than i am a day, and we're both selling 100k+ apples, technically he's #1, but i'm not doing bad myself.

sure it's a matter of prestige and reputation. Sony HAS to be number 1. They can't imagine themselves not being #1. and i guess that trickles down to the sony fans themselves. that's why you get such heated debates.

Yi-Long3836d ago (Edited 3836d ago )

... I dont really see another pricedrop happening soon. Microsoft seems very happy charging 450 euro for a barebones Elite(!)
Personally, I wont get one untill it hits 300 or lower.

And Sony has already dropped the price way down, and because it now offers more value-for-money that the 360 (hardware wise, cause built-in wifi, no expensive memory cards needed, built-in HD, built-in Blu-ray, free PSN, etc), it seems it's selling pretty damn well at the moment, so why would they wanna drop the price further!?

And Wii is nowehere to be found in Holland, It sells as soon as it hits the stores, and it very rarely hits the stores...

So I dont see a pricedrop in the first 2-3 months. Maybe they're gonna do some nice deals when GTA4 comes around.

mighty_douche3836d ago

Price is not always the main deciding factor... when you buy any electronics do you buy the cheapest option?

Most people i know are normally scared by the lowest price. Generally it comes down to features.

MURKERR3836d ago

son i agree i like quality,ps3 has this in spades 360 is a cheap rushed piece of hardware which shows by its failure rate.

Microsoft are feelin the strain ps3 is really gaining momentum 360 has nothin left in its tank war should be over by 2008

SurferDude3836d ago

I agree, especially if the ps3 keeps outselling the 360 in EVERY region worldwide. MS will have a new console by late 2009 or (and more likely) fall 2010.

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