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Microsoft Could Use Price as a Weapon

With a $50 price cut on Microsoft's Xbox 360 seeming more and more likely, Janco Partners analyst Mike Hickey believes that now is an opportune time for Microsoft to take advantage and put pressure on Sony's PS3 business...

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Expy3426d ago

What weapon? I don't see a price cut as a weaoin unless the price is reduced to $199. Both machines offer totally different media experiences (including games) that differ them greatly.

TayTayShaniqua3426d ago

People have been making the same idiotic claims since the first Xbox was announced years ago. Microsoft was just going to buy out the entire console market 'LOL! with Bill's pocket change!!!' were the claims.

The very latest Microsoft conference call it was admitted that they are still losing money on the 360 hardware and they had no ETA on when they would - only that they were 'making progress'.

The only thing keeping the Xbox alive and not killed off by management are the absurd 50 dollar a year online fees Microsoft forces Xbox owners to pay to be allowed to play laggy P2P games online.

Sony has confirmed they have reached the break even point on the console manufacturing costs after the dramatic cost reductions in BluRay drives. No one can compete with Sony on console manufacturing design and cost reduction.

Even if Microsoft could afford to pile on even more losses for bigger price cuts it wouldn't make a bit of difference. Who the hell would be dumb enough to buy the worst console in the history of gaming just to save 50-100 bucks?

130 million people bought PS2s for:

Metal Gear Solid
Final Fantasy
God of War
Ratchet and Clank
Team ICO
Gran Turismo
Jak and Daxster
Killzone
Singstar
SOCOM

just to name a few of the major Playstation exclusives. And somehow a price cut is going to cause those 130 million gamers to give up the most powerful console, BluRay movies, incredible reliability, silent console operation, free online gaming for all, dedicated servers, Home, PS1 and PS2 backwards compatibility

for...a somewhat cheaper Xbox 360 that:

is the worst hardware ever made
noisiest console ever
disc scratching and destroying
crappy graphics
50 dollar a year online charges
laggy P2P networking

and

Halo

LOL!

Dream on.

KimboSlice3426d ago (Edited 3426d ago )

Here is my opinion without bias: the 360 price cut will only be successful if sony does'nt do the same, If sony decides to do the same then the ps3 will continue to outsell the 360 and the reason why is because online for sony is free and MS is still charging $50 for live.

If MS makes xbox live free along with this price cut then I honestly think that the ps3 would be in trouble.

Isaac3426d ago (Edited 3426d ago )

Microsoft dropped the price of the 360 everywhere in the world except the US and it made no difference. Sony will simply wait and see how much it impacts them in the long term. It is natural that Sony would be outsold the first month of the price drop, but if sales on 360 go back to normal, then Sony can live without dropping the price. If not then they will have to respond. They probably have SKU reshuffling, value increasing with more HDD space and or USB slots and bundling with games, anything before a price drop. If all else fails a price drop is almost guaranteed.

fusionboxer3426d ago

Hell if the price gets low enough maybe i'll get another one. I had previous 360's bust so I gave up, but if it gets cheap enough I might reconsider.

However the only thing stopping me is the lack of games that appeal to me this year. Strange how things got swapped. Last year I was looking forward to more 360 games and this year the ps3 is surprising/impressing me with each new announcement.

For example I'm loving 2.4 so far and have 13 trophies in super stardust hd, but it would be great if more games had it like how the 360 has achievements for all of their games. That's definitely one thing I miss, but I have to admit I think (if SSHD is any indication) Sony does the trophy/achievement thing better with the leveling system and bronze, silver, gold, and platinum thing.

But yea. If Microsoft wants to drop the price on the 360 then I say go for it. It can only mean good things for us consumers. Maybe sony will respond with yet another price drop or a new bundle for future users.

ThanatosDMC3426d ago

It's quality not... umm... a toaster my friend.

+ Show (2) more repliesLast reply 3426d ago
toughNAME3426d ago

Oh my god...Gears 2, Halo 4...I don't think they need anymore weapons for the rest of 2008 to be an all-out slaughter of the competition

Isaac3426d ago

Halo 3 barely came out and there is only so many people that want to play another shooter on Xbox 360. There aren't many games, if any, that revolutionized other genres either.

socomnick3426d ago

well I expect alot of current ps3 only owners jumping ship to the xbox 360 in order to enjoy the myriad of rpgs on the xbox.

Sony is the one that has no variety they rely too heavily on shooters. Res2, killzone 2

Silogon3426d ago

Microsoft just killed Sony.

Gears 2, Halo 4, Price cut, Fable and 3 top secret games at e-3 being unvield by major 3rd party.

Game over, Sony. While you are 2 years behind on system upates and features and while you're letting Qore rape your consumers for downloads and money, Microsoft stole all the cookies from the jar and the broke it.

Madgunner3426d ago

Halo 4 ... first of all its rumored... even if they do announce that game, it still wont be enough , sure it boosted some consoles in 2007 but in the end ... who won WORLDWIDE.. .. that was ps3 with very little titles out. this and next year u have heavy hitter such as R2 LBP and of course !MGS4! and stepping early into 09 we will see games like god of war Etc, get out of here with your Absurd comments as for E3 u act like sony doesnt have things up its sleve as well, heres a bit of advice .. wait for E3 then talk garbage gear 2 .. good game no arguments u talk about how sony is 2 years behind on updates , but yet that disc reader known as dvd is what 8 - 10 + years behind on techonology itself, go back to your room and go sit in a corner kid

strotee3426d ago

Don't forget:

Too Human
Alone in the Dark

oh wait.....

DJtyler3426d ago

WRONG. The winner of this generation is far from decided. Anyone willing to claim victory at this point is a delusional fanboy. You are correct when you say MS has amazing games coming (like the next Halo and Gears) but don't forget SONY. God of War 3, FFXIII, LBP and many others.

xhairs93426d ago (Edited 3426d ago )

lol...Sony dead? hardly.

With 2.40 and the new exclusives due, I see a massive number of consoles being sold soon. As far as Halo 4? Yes, sure, rumor anyone? It could be stated as being fact but at this point I'm pretty sure everyone has played Halo and if they're planning on buying a 360 to play it, they've already done so with Halo 3. Halo 4 is much like a Geow2, a good game, good sales, but not a console pusher.

As far as Too Human, you can't be serious. Of anyone who's even seen the game play videos it's completely obvious that the game is years behind the Wii in graphics and animation. Gameplay? Possibility, but in this game I can definitely see the graphics and animations being a huge factor in gameplay as far as glitches go.

3 secret releases? Yeah ok, we've heard nothing from Sony about any games really up to date, whose to say they don't have anything? Watch your TV for 2 hours, how many 360 ads to do you see? How many PS3 ads do you see? Sony doesn't jump to advertise everything they have and are going to have, so what makes you think they're going to tell everyone what's in store for E3? Get over yourself.

As far as games coming out for the 360 the only two titles that spark interest in me: Fable 2 & Geow2. And Geow2 is only going to be another multiplayer game as was the first one, as are all the Halo's and as are pretty much any FPS games to date.

Let us not forget the mandatory installs that were once laughable by 360 owners and haunted by PS3 owners. It has come to my attention that Alone in the Dark now requires an HDD. Karma anyone? This follows the lack of good games coming out for the 360 (NG2 etc. etc.) These hyped games are now being seen in their true forms: A pile of dog turds in a brown bag on your porch (or shall I say in your 360 causing over-heating).

It's only a matter of time before you're sitting in your corner crying over your RROD'd xbox 360 and the lack of "next-gen" games coming out. I foresee you begging your parents to buy you a PS3 for Christmas with all the new releases PS3 is getting this holiday season.

Yours truly,

Xhairs9

...not.

+ Show (1) more replyLast reply 3426d ago
juuken3426d ago

...$50.00?

Are you kidding me?

red_ring_of_death3426d ago

your right
people still have 2 pay $50 for xbl=xboxlag

BLUR1113426d ago (Edited 3426d ago )

I know. 1 dollar a week for 13 months wow that's insane dude.

TayTayShaniqua3426d ago

"I know. 1 dollar a week for 13 months wow that's insane dude."

Yep, and for just 2 dollars a week for 13 months gamers can get a PS3 with:

All the games they want from the PS2 and PS1
Rock solid reliability / no RRoD
1080p BluRay movies
Silent console operation
The best graphics by a huge margin
The best online service with lagfree dedicated servers
The largest and most diverse first part exclusive developer lineup of 20 or so dev houses vs on 3-4 for Microsoft

What an amazing bargain the PS3 is!

BLUR1113426d ago

if you was a gamer you would know the graphics are the exact same. The best graphics by a huge margin ... LOL oh and i have both ps3 and xbox360.

so i'm sorry if that you failed to insult me

juuken3426d ago

BLUR...if graphics are exactly the same, then why do 360 fanboys love to use comparison videos to see just how well multi-platform games look on the 360?

BLUR1113426d ago

IDK, well you would have to ask them that.

n00bzRtehgey3426d ago

360 has better graphics. Fact.

+ Show (4) more repliesLast reply 3426d ago
LevDog3426d ago

Ya they could use it as a weapon.. To shoot themselves in the head and finally end the 360s pathetic lil life.. :)

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