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Blu-ray sinks the PS3

Sony's Blu-ray fiasco is the gift that keeps on giving. The latest gift: handing the game console market to Microsoft and Nintendo.

The Wall Street Journal reports that US sales of the PS3 fell 19% last month from a year earlier - while rivals Wii and Xbox are likely to see a rise.

The PS3's problem is price: $399 vs $250 for Wii and $199 for Xbox Arcade. Even at $399, Sony loses money on every PS3 sold!

The included Blu-ray player is a big chunk of that cost. Key to Blu-ray's victory over Toshiba's HD DVD, Blu-ray is now sinking the PS3 - in a more lucrative market.

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Nathan Drake3552d ago

Detective Nosh!t,you deliver once again!

Mercutio3552d ago

Blu-ray is what's keeping the PS3 alive.

Also, Sony is breaking even, so expect price cuts of around $100

thebudgetgamer3552d ago (Edited 3552d ago )

costs on making the ps3 are down thirty five percent. profits are up i think it went to 2.7. blu-ray i cracking into the market faster then dvds did and they are close to selling ten million consoles this year but they are failing?

:)
dr cox

Conan9973552d ago

Anti Ps3 articles.

I will read a well written anti PS3 article

But 99% of the ones posted in the last week have been from CNET or some other hater website.

Agent VX3552d ago

Wow, look at all the whiners. Instead of trying to come up with some intelligent counter argument to the article, all I see is a bunch of cry babies screaming for the banning of anything negative for the PS3.

Whaa! Whaa!.... grow up already. This article has great points, and Sony needs to do something to boost sales, because PS3 sales have tanked during the last few months. Last place is not where Sony wants the PS3, but that is where it is sitting.

I really wish they had an age limit on this site, I get sick of reading nothing but whinny crybabies posting nothing but immature rants on nothing to do with the article. Don't believe me, just keep reading the comments below.

Gamingisfornerds3552d ago

These articles are lame and tiresome. We know the PS3 isn't doing perfect, give it some time...it wil be fine.

morganfell3552d ago

This is nothing more than a last ditch effort where the 360 enters a year where they have nothing to offer. They are sweating. And sweating a lot. What are they going to do, throw some L4D or GTA4 DLC at the public.

The Helghast are coming and they know it and like Bill Ray Valentine said, "They panickin'." This is the frantic action of a gasping console that coming off great holiday sales are preparing for a long drop to last place. Microsoft is in a frenzy trying to dig in as the boat rolls over. Come January the hilarity will show the price cuts lose traction in the face of Killzone 2 spinning up.

There is no Heimlich maneuver for the choking at Microsoft. The more the stories appear the greater the despair at MS.

DiabloRising3552d ago

Answer me this VX... why should anyone write a "smart counter argument" against typical and repetitive FUD. The article in question being one person's OPINION? Also consider the fact that when an argument DOES start, people tend to shove their fingers in their ears and retreat to their little self made ponds of truth. You're a perfect example -

"because PS3 sales have tanked during the last few months."

And PS3 sales were solid for the other 10 months of the year. And this is ONLY in the USA, NOT the world. Why don't you seem to bring that up? Is the USA the only place consoles sell now? Sales hardly "tanked" world wide, but stiff competition means Sony needs to drop their price soon to stay competitive in 2009. BluRay is selling quite well. The PS3 has also outpaced the 360 in sales in its 2 years on the market, whereas the 360 had a year free of any competition, and PS3 is at double the price. Sony dropped from market leader, and they overestimated their appeal and underestimated the competition. But to say they are DOOMED because of 2 months in the USA is beyond silly.

Care to take any of that in your calculations?

jadenkorri3552d ago

PS1 had a slow start and it took off as the best console in its time
PS2 had a slow start and it was the best console ever
PS3 having an really slow start, but is picking up and the rest is the future, i don't predict the future, I don't put my foot in my mouth to be kicked in the a$$ later, truth is the ps3 is in third due to price and a rumored slimmer ps3 out in 09, which means lots of sales...

Agent VX3552d ago

Excuse me..... sales of the PS3 haven't tanked??? Well, maybe we have different views on what "Tanked" means. See, to me and many other prominent business types, when you sell a fifth less than you did over last year, that is catastrophic news. It's not "Bad" news, it's "Catastrophic" news.

I did see the PS3 sell better earlier in the year to mid year over the 360, but those are the times in which only small to modest volumes get sold. In a period of a month, the 360 completely wiped out all the gains the PS3 made earlier in the years. And this was the year when the PS3 had a price cut and with the release of their big exclusive titles.

And this isn't only concerning the USA, it is a world wide phenomina that the PS3 is getting handily beat week in, and week out.

As for you "Outpaced the 360" during the same time, LOL... I hope so, the Playstation name had a 5 to 1 previous user base to pull from. That is right, a 5 to 1 previous user base, that is monumentally huge, and the PS3 can't even rely on that base now.

Sony has failed HUGE TIME with the PS3. The PS3 will never catch the 360 in terms of sales in 2009, and looking like it won't catch it in 2010 either. By that time, sorry, the new consoles will be just around the corner and the PS3 will be forgotten.

And if anything, with the price of cheap bluray stand alone players on the market, some priced $99 to $199 now, this won't help the PS3 in any way. Now one of it's major selling features is now lost as a bluray player. Why get an $399 bluray player when one can buy a sub $200 players?

SaiyanFury3552d ago

*yawn*

Another day another anti-PS3/BR/Sony article.

NickIni3552d ago

Yeah. An age limit would be great, then you and other fanboys with the average age of 8, wouldn't be able to spew your ignorant trash here.

JD_Shadow3552d ago (Edited 3552d ago )

Can you PLEASE get off of whatever high horse you're on? Because you're not convincing a single person here! Do you not see how MANY of these articles that repeat the same damn thing time after time after time we HAVE on N4G? Good points that were made in the last ten damn articles we've had this past week about how the PS3 is so "doomed"?

Do you THINK it's a bit much? Yes, we know these hounds think the PS3 is doomed, all because of one bad month (which wasn't that bad) no less. How much more of this opinion being shoved down our f#cking throats do you think we NEED to be submitted on this site?

WE! GET! IT!

And we don't f#cking CARE!

PLEASE! TALK! ABOUT! SOMETHING! DIFFERENT!

morganfell3552d ago

Sales of the PS3 tanked? Orly? It is still possible for Sony to hit 10 million consoles in a single fiscal year ending in March. Something Microsoft has never done.

DiabloRising3552d ago (Edited 3552d ago )

Thank you VX for your usual selective analysis. I have to ask you this then. Sony is doomed. You harp that message in every possible thread at every possible moment any time an article as this comes up.

How does this benefit you? I'd really like to know. Why does Sony failing mean so much to you? To have such a vested interest in a company's downfall seems a bit silly and petty, especially for a self proclaimed "gamer" such as yourself.

So please, Sony is doomed, where does that leave us? Please, tell me, I'd love to hear this. Tell me why it's news that the PS3 is in third place, and remains in third place in overall console sales, but it's NOT news and simply bias when someone posts a RROD story about a NEW motherboard that is supposed to negate said issue? Please, do tell.

thewhoopimen3552d ago

...I'd like to know which business prominent types you are referring to and gladly stay outside of that circle. The only thing i've seen this year to even come close to "derailing" Sony's momentum this year has been MS's last ditch price cut. That and maybe all this FUD Microsoft is trying to generate in the US media market.

Imagine all this mudslinging conveniently happening now that MS has run out of 'exclusive' titles to promote this year.

The facts don't lie. Sony is doing great if not superlatively. Sony is compensating for every dollar lost selling a ps3 with PSP and PS2 console sales. The PS3 manufacturing costs breaking even means Sony has room to drop price again. MS cutting 17% of their workforce is a sign of intense competition.

This last ditch effort by MS and fans is pathetic, lame, and won't delay the inevitable. Sony will surpass MS this console gen and take 2nd. I think this lousy last ditch attack is just that...lousy.

Tempist3552d ago

Now now, lets remember that irregardless, Sony is still able to push a $400 console and make as much money from that as Microsoft did (go on, go do the math. the assumption is that the 360 is selling at about 150/200 per unit).

It's when the PS3 is only selling 10K units a month and the 360 is selling 300K, then you can make claims. Until then I bet 360 sales and Wii Sales will drop over the next year.

3552d ago
MRMagoo1233552d ago

All i can say who knows whats really going on in the hqs of all the companies but i cant imagine sony would be thinking to themselves that there failing when they have sold more than the 360 if you go by release dates.If there was no delay between the 2 being released sony would be infront by a fair margin not the tiny one the 360 has.How does it feel to know that the ps3 at double the cost was outselling the 360 nearly all year i take it it must hurt you fanboys bad or you wouldnt keep spinning things and constantly contradicting yourselves

Saigon3552d ago

the only thing i wanted to add is that Sony did not have a price cut this year, but MS had 2 price cuts. and that is the reason for their current success.

The Killer3552d ago

thats my logic, if last year when they reduced the price from $600 60GB ps3 to $400 40GB ps3 they said that they r very good at reducing cost very quickly and that they managed to reduced the size of the cell from 90nm to 65nm and also they removed the ps2 graphic card chip and by that time the blue ray diode got somehow cheaper, so i remember in november last year sony's PRs said that the ps3 40GB version is costing them close to $400! so if thats the case then for sure now it will cost them somewhere near $300, am 100% sure that they reduced the RSX to 65nm from 90nm and maybe even the cell to 45nm, and the blue ray players now is much cheaper than 2007!!! since last year we didnt hear anything about ps3 new shrinking chips, so am sure they did it but in silently.

and please bubble me up guys, i dont know why i lost my bubbles!!!

Blitzed3552d ago (Edited 3552d ago )

I was about to rebut the ridiculous and omissive points of your augment but thankfully took a second to glance at your comment history. The last 20 comments you made (the only ones I glanced at) had PS3 in the first sentence or paragraph, were filled with skewed anti-PS3 logic, and the majority were in PS3 threads and obvious attempts at trolling.

You have the gull to question other members maturity when you are a troll with an obvious, deep rooted obsession, who spends the majority of his time trolling PS3 news on the internet in some weird attempt to spread FUD.

So, unless you are paid by MS for your attempts at viral marketing I would STFU and seek professional help as you take the term loser to an all new level.

To say the PS3 is hindered by Blu-ray is absurd, and any attempt at backing that argument is beyond absurd.

Greedo3552d ago (Edited 3552d ago )

Sony trojan horsing an overly expensive in-house technology in the ps3 wasn't received well. It was obvious to everyone with a brain what Sony's goal was/is with the ps3. If their shot at monopoly had worked, their movie studio's, hdtv, and home theatre divisions would all be hitting home runs right now. They completely put gaming in the back seat. This wasn't apparent to the public until the Cell processor(another in-house technology) started showing what it is about. Overly extended development cycles, poor performing games, and howls from the development community regarding the Cell. Of course some publishers didn't bet the bank on the ps3, but the majority of the ones that have are now bankrupt. But hey, the Cell is the best HD movie decoder out, thanks blu-ray.

The ps3 is the worst game console by a major console maker to ever be made. And the reason why, is that gaming was never the focus for the console, from paper in an engineers hands to packing in a manufacturing plant, the ps3 has existed as a trojan horse for Sony's blu-ray movie format.

PS3 is dead in N.A., ps3 will finish 3rd. And rightfully so.

soxfan20053552d ago

It's amazing how many Sony employees post on this site. I mean, everyone seems to know exactly what a PS3 costs to build and market, and exactly when and how much of a price drop will occur.

Itrguy0013552d ago

VX look at your Transvestite Arse and say that you dont look funny. the fact of the matter is that Blu-Ray sales and adoptions are rising

TheTwelve3552d ago

I'm guessing that all of these repetitive articles make Sony haters sleep better at night. They are like little night-lights that they plug into the wall because they're scared.

12

m0sand3552d ago

This is stupid :) Pointless arguing over bla bla bla. I believe all the journalists in the world to be schizofrenic right about now. It's like the frickin' wheel of fortune with these PS3 "articles", "news". One day it's "PS3 is dying. DOOM. Sony is the b-word this year" and the next day PS3 is the king of the world. What's even worse is how the numbers keep showing up positive but all the articles becomes negative. They even stretch to find things to COMPARE with just so they can, you know; Bash it :)

"Clearly we can see the PS3 failing as todays numbers weren't as good as yesterdays but the sales of Xbox 360 and the Wii were rising these two days."
"Blu-Ray is struggling because 'insert-lame-movie-here' ain't selling too good"

Yes, yes I believe it. PS3 is failing. So is Blu-Ray. Good night everybody and I hope Sony doesn't go bankrupt while I'm sleeping.

JsonHenry3552d ago

Say what you want, but the PS3 is dead last this console generation. (so far) And Sony needs a gameplan to finish up strong like the last two Playstations.

BWS19823552d ago (Edited 3552d ago )

nobody's really arguing that PS3 is NOT in third as far as install base goes (yes, it is, we get it, more 360's have been sold so far). Nobody's really denying MS had a good month in Nov (yes we get it, they cut prices and they sold very well). It's the whackjob-nutcases who stalk the articles here who take those 2 facts and ignore the plethora of others. And the fools like Agent and POG and Crab and Jason360 are just as irrational as those idiots at a bar who drone on about how a pro athlete has a bad game and his career is over, and ignore the fact that he had 50 stellar games to go with a dozen bad ones. They are myopic, naive, and obnoxious. The entire month of November is a bit more pivotal than others, but the morons don't shut up, and take a step back and look at launch dates and do some basic math.

How is Blu Ray failing when it's got 1/8th of the media market? How is it failing when it's pickup is faster than regular DVD was a decade prior, and in a recession? How is Sony failing when WORLDWIDE, their console data for 2008 was usually beating MS's? Yet, low and behold, that athlete goofed, has an off day, screws a game up, and now the apocalypse is here and MS will save humanity.....they are trolls, they are fanboys, nobody's in denial here, we're just so damn tired of idiots pretending to think.

Danja3552d ago

another hour another anti-PS3 article...are we still in 2007 ??

Maddens Raiders3551d ago

is one of the most lame submissions I've ever seen on N4G. I hate that I contributed to it, but I was compelled to say it.

kwicksandz3551d ago

in the immortal words of the simpsons

"THAT SANK MY BATTLESHIP"

Happy new year n4g!

player9113551d ago (Edited 3551d ago )

Sony loses money on the PS3. The PS3 costs, based on pricing from October 2008, the latest version of the PS3 carries a manufacturing cost of $448.73.

So if they sell at $399, they're losing big bucks for every console sold. This total doesn't include other costs, such as software, box contents (such as controllers, cables, manuals, etc) and royalty expenses.

Loses probably range $100 per boxed PS3 sold.

Sony never made a profit on their PS3 units. The good news is Sony is losing less money now then on the original units, which ranged somewhere between a loss of $300-$400 per boxed system.

http://www.isuppli.com/News...

http://www.digitimes.com/ne...

No Way3551d ago

The same thing can be said for the x360 RRoD.. we get it. Now move on and post something new for once. I don't care that another x360 died at NeoGaf, or whatever.. Sorry, I just don't care.

And, don't you think that if something keeps reoccurring then that it is a problem?

But, I do agree, these reoccurring posts do get tedious.. for both sides.

BLuKhaos3551d ago

Well sony just announced that production costs have gone down by 35% so that would mean that it now costs Sony $291.68 to produce a PS3.I can see Sony releasing an 80gb SKU for $200 and a 160gb SKU at $300 to at least make some kind of profit.

+ Show (32) more repliesLast reply 3551d ago
LittleBigKillzone3552d ago (Edited 3552d ago )

Pulls a Joe Biden "Is this a joke?" (for those that kept up with the political year you will know what im talking about)

But seriously, Blu ray is one of the best features for the PS3.. People act like the PS3 will stay the same price forever and production costs will never go down. Blu ray is what distinguishes itself from the 360 and Wii, i thank Sony for including blu ray in the PS3 because i literally wouldnt have any room whatsoever to put a blu ray player in my entertainment TV stand because its already so full, so i would have had to bought a new TV stand for $100.00 or more to have the PS3, 360, receiver, calbe box and a seperate blu ray player.

You know what maybe you guys are right.. While your at it lets go all the way and say.. Blu ray is sinking the PS3, built in Wifi is sinking the PS3, built in blue tooth capablities is sinking the PS3. Maybe sony should have taken out all those features out also.. oh wait, a console without any of those features already exists.. its called the XBOX 360

3552d ago
badz1493552d ago

not to read the article (I know, it's going to be a stupid one) but rather the comments. I agree with you! people are so stupid at times I can't bear! these people who wrote these articles are seriously thinking that the ps3 is going to be priced $399 its whole life? are people thinking that manufacturing cost stay the same even after a year? do they not ever think how the hell did M$ managed to priced the 360 at $199 after the core cost $299 (if I'm not mistaken) at launch? production cost goes down people and who ever deny that is STUPID!! for a console competing at $399, PS3 are selling well and the great games are pouring over it and killing wallets everywhere! why the hell do you think that Sony hasn't drop the price? it's because they are content with the sales of PS3! plus, they have PS2 and PSP as their cash cow at the moment and selling over 1 millions plus (worldwide, of course) of those 3 every month is enough to keep them in the game! people are quick to come to conclusion when the PS3 is just only over 2 years in the market and when it's not selling half a million a month in US, it's a failure! it's still too early to conclude the fate of pS3 plus the economy is unforgiving at the moment! I'm happy that 3 consoles are staying healthy in the market for everybody. why does anybody wants either to fail is beyond me!

LittleBigKillzone3552d ago

Everytime i come on N4G im starting to feel like Bill Murray in the movie groundhog day :::waits for Sunny and Cher song to start playing:::

Seriously, its the same same crap day in and day out.. PS3 is doomed, blu ray is doomed, Killzone 2 will flop etc etc etc

Raoh3552d ago

bubble for you for the ground hod day analogy LOL

solidjun53552d ago

oh that was good. bubbles for that one. I couldn't think of the right analogy for all this gloom and doom PS3/Blu-ray articles but you my friend hit it perfectly on the head.

NipGrip3552d ago

And I'll let the Wiki on FUD speak for itself:
http://en.wikipedia.org/wik...

"Although once it was usually attributed to IBM, in the 1990s and later the term became most often associated with industry giant Microsoft. Said Roger Irwin:[8]
“ Microsoft soon picked up the art of FUD from IBM, and throughout the 80's [sic] used FUD as a primary marketing tool, much as IBM had in the previous decade. They ended up out FUD-ding IBM themselves during the OS2 vs Win3.1 years.""

Sony has no fear. It's MS that is full of it after failure of the first XBOX. It lost that console war and despite the amount of money being poured into the 360, the PS3 will long outlast it just as the PS2 did the XBOX 1.

GiantEnemyCrab3552d ago

Yes, you are a much cheerier person when it's RROD articles all day long and how MS has no games for 2009, etc, etc.

I agree these articles are getting tired but it's not going to end anytime soon because I'm sure if the same people complaining about this news could find a fresh RROD article it would be submitted.

sonyandcher3552d ago

did someone call for sony and cher? :)

+ Show (3) more repliesLast reply 3552d ago
Mr_President_3552d ago

and again... and again... and again...

Its always the same sh!t they just use different words.
BluRay sux
BluRay phailz
BluRay doomz
Sony sux
Sony phailz
Sony doomz

Avto3552d ago

What the bloody hell is this I mean it's like blu-ray phobia or something, get over it and learn to live with HD around you.

Mozilla893552d ago

Guess I'll get rid of my PS3 and buy a 360 or Wii so I can play...uh...never mind. (Disclamer: Just a joke so don't flip your lid.)

Anyways if this is a sinking ship its the nicest one I could be on I think.

Darkseider3552d ago

This is getting ludicrous now.