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560°

Pachter says Sony is 'ripping off' consumers with PSP Go

Wedbush Morgan analyst Michael Pachter hates the PSP Go. Alright, alright, he doesn't quite hate it, but he does despise its price point. On a recent episode of Bonus Round, Pachter matter of factly states, "$249 is too much. Period." He goes on to say that while the handheld is priced to compete with Apple's $229 8GB iPod Touch, it doesn't deliver the iTunes App Store or downloadable music from iTunes (as conveniently, at least, as the iPod Touch).

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DasBunker5434d ago

its too damn pricey i agree, its basically a smaller PSP... shouldnt it be actually cheaper? its like if sony started selling PS3 slims at a higher price than the older models WTF?!..

"Pachter says Sony is 'ripping off' IGNORANT consumers with PSP Go"

fixed

Blaze9295434d ago (Edited 5434d ago )

There's really no excuse for why the PSP Go! was priced as it is. And good example, if Sony made a slimmer PS3 and they charged it at $400/$500, everyone would look at them like something was truly wrong with them. So what's different with the PSP Go!?

PSP 3000 Black Retail - 169.99
Remove UMD mechanism, lets say -20?
Smaller LCD, lets say -10
139.99

Now add 16GB flash, $33.99 for a 16GB USB flash

Comes to: $173.98

Megaton5434d ago

Think this is the first time Pachter has ever been right. PSP Go should be $200.

Elven65434d ago

I kind of agree with him on this one but Sony needs to recoup a lot of money (see 2 billion loss), this is one of the ways for them to make it more bearable.

mephman5434d ago

$250 isn't even the start of it, it's also €250 and £250. Europeans are getting much more shafted than Americans, as per usual.

rockleex5434d ago

A relaunching of the PSP. It still doesn't make sense for them to charge that much.

Unless they are packing in some hardware features we don't know of? 3G maybe? *dreams*

But if that dream came true, I'd definitely buy a PSP Go.

XGRaViSmOrSX5434d ago

i think pachter needs to just go away. he is a useless person in the industry and i take anything he says w/ an absolute grain of salt.

durrr i can predict things that never actually turn out that way....i hope people dont actually pay this man for anything.

5434d ago
zodiac9095434d ago

does anyone consider the technology in this thing?

Tony P5434d ago

Been avoiding it like the plague so far.

I didn't think the Go was marketed towards core gamers really. I mean it's a more expensive version of the PSP with UMD functionality sacrificed in the name of DD. Add to that the 80% reduction in PSP dev kits and I assume Sony wants smaller games by smaller devs to support its Go ala the iPhone. Could be off, but we'll see what unfolds. The quality of games will speak for themselves.

BattleAxe5434d ago

The PSP GO will be a novelty item when it comes out, so they can get away with it. If you don't want to spend that kind of money, then buy a PSP 3000.......whats the big deal. Sony needs to make money, thats why they're in business.

Michael Pachter is an idiot, a Microsoft fanboy and is almost always wrong.

The Lazy One5434d ago

They fixed RROD for free and paying less than $4 a month for an online service isn't that bad considering the number of features they're using the money for.

All Time Greatness5434d ago

Xbox Live is the cost of a Mcdonalds meal a month(probably less). Your only complaining because you do use it....you don't get the features XBL has.

njr5434d ago

Patcher is resorting to obvious statements since his recent predictions have been wrong

Lifendz5434d ago (Edited 5434d ago )

Nintendo ripped off consumers by selling them a gamecube for 250 because of it's motion controller.

MS ripped off consumers by charging you to get online and selling a console with the highest failure rate ever.

Just like an MS fanboy or Wii fanboy would say, you don't have to buy it. I'm not buying a PSP Go. It's overpriced and I already have a PSP. In fact, I'm just waiting on a pro duo 16gb to go for under 30 on Ebay to pick one up so I can be ready to start downloading games.

IdleLeeSiuLung5434d ago (Edited 5434d ago )

What does MS has to do with this? Why does every article has to be MS vs. Sony?

Pachter is talking about how PSP Go cost about the same as the current PSP to manufacture, yet Sony hiked the price $80. I kind of agree here, as far as I know the PSP Go has less features (unable to take UMD), but cost almost 50% more. Has a smaller screen, unable to play homebrew and is a more profitable business model for Sony.

On the other hand, if you don't like it don't buy it. Vote with your wallet.

Time_Is_On_My_Side5434d ago

There is one reason why Sony did it, maybe it's for profit. If someone owns a clothing store and once they get the clothes depending on the quality of the product will determine how over priced it is. Why would a company sell a product for the price they bought it at or the exact price to make it?

Patcher obviously doesn't understand the concept and is why XBOX 360's add-ons are so expensive, $199.99 for a 120GB while I can get one for $99.99 with 500GB or better yet for around $200.00 get one terabit (1,000GB). All products are overpriced, what really matters is if the competition touts better value?

Narutone665434d ago (Edited 5434d ago )

is high, but I don't expect it to be that price when they start selling it. It'll probably be lower than the $250 price point as I believe it is MSRP. Expect street price to be lower.

TapiocaMilkTea5434d ago

Just wait a month or two, the price will drop dramatically if there's no demand. I believe it will be $200 in no time.

DelbertGrady5434d ago

$249 isn't that much, if you get a third job lol!

All Time Greatness5434d ago

lol @ Soda popinsky's avatar.

I should get one that says "599 US Dollars"

Traveler5434d ago

I love my PSP and was considering getting the PSP Go, but honestly I was shocked at the price and the lack of true improvements. It has a smaller screen, can't play UMD movies or games and yet they expect us to pay more for it. The only thing I like better about it is the built in 16GB of flash memory. Sorry, I'll stick with my fat PSP that can play homebrew and can still play the good games coming out.

Sarcasm5434d ago (Edited 5434d ago )

The only people really getting ripped off this generation are people who have to buy $100 Wifi adapters and overpriced HDD's.

Although I agree, the PSP Go should have been $200.

ChrisGTR15434d ago

:D there you go sarcasm , you said it like a true hypocrit fanboy.i bet sony is so proud of you right now.

"The only people really getting ripped off this generation are people who have to buy $100 Wifi adapters and overpriced HDD's.

Although I agree, the PSP Go should have been $200."

FamilyGuy5434d ago

Where was this guy when online retailers (because they didn't sell them in stores) were selling 2Gb Pro Duo cards for $250?

It's a terrible price no doubt (wii cost $250) but i wish this guy would just STFU.

The only addition i remember being added to the Go! is the blu-tooth support (and of course the 16Gb internal flash memory). It DEFINITELY should be lower than this.

SuperM5434d ago

There is an excuse. Its simply a hotter piece of tech. People want a smaller version that they can fit in their pocket without a problem. And it has 16gb internal memory which makes it ideal for an on the go media player. if you need more it supports memory sticks. Basically Sony is ripping of the consumer because they want to earn money on their gadgets. I guess since the PS3 has been sold for under the production cost for almost 3 years now it would truly be ripping of the consumer to sell something that actually cost more to buy then it cost to produce. As long as people think its worth the price then its not ripping people off. I mean look at the ipod touch/iphone. Overpriced? probably. But ripping the consumer off? Well it doesnt seem like the consumer thinks so, because they're buying it.

Foxgod5434d ago (Edited 5434d ago )

You people are forgetting the development costs.
You cant just dissect the psp go and say, oh, it got no umd drive so it should be cheaper, it got a smaller lcd so it should be cheaper.

Its a new product, and it cost sony quite an amount of cash to develop the psp go.
Research and development is a very expensive process, and they first have to earn that money back, before they can lower the price to match the production costs.

So in this case, Pachter is wrong.

SaiyanFury5434d ago

Normally, I'd not consider getting another PSP as I'm happy with my 2 1001s. Under normal circumstances, I'd never consider getting another one. Except that I have over 40 PSP games and UMDs can become somewhat bulky to lug around when I'm traveling. A digital only device might help alleviate that as it's only got an internal flash card that's expandable through memory cards. I don't approve of the higher price point, but the convenience afforded to internal memory could be very convenient for us PSP gamers who have a lot of games. The PSP Go, might be a decent alternative for those of us with more games than space. Again, I don't like the price, but the space afforded might be worth it.

callahan095434d ago

I agree with FoxGod. They're going to need to charge more for launch to recoup a lot of development costs. I predict that shortly after launch they'll drop the price to match actual production costs, having recouped R&D expenses.

Syronicus5434d ago

The most vocal vote of them all is the one vote heard through your wallet. If they do not sell well then it must mean the price is not right. I suspect though that with Pachters record of being wrong more often than not, the PSP Go will sell like frigging hot cakes in Japan and sell very well in every other region. I'm even considering one just for the size and Blue Tooth compatibility. Heck, you can use your Dual SHock now without the cord!

cryymoar5434d ago

Anyone up for starting a petition?

AAACE55434d ago

When I gad a PSP, I found that I rarely played it. Alot of the games didn't stand out too much. And even though my Psp costed $200 when purchased, I was only offered $50 for it as trade in!

Now, with the Psp go, they want someone to pay $250, and not be able to buy any of the cheap used games or movies, but will instead have to buy everything as a download.... I don't think this is a good idea!

But maybe Sony knows their customers better than I do...

Sharingan_no_Kakashi5434d ago

Considering all the specs that the psp GO has that the 3000 model doesnt i'd say the price is fair. I havent owned a psp yet but i'm considering the GO now. 16 gigs, blutooth, and an now you can get into the psn store from it.

Rainstorm815434d ago

What about the Iphone - 500$ - 600$ (and the PS3 was overpriced yea right)
Blu Ray players - 800 - 1000$
Wii - 250$ (gamecube with motion what a rip)
Wii + best accessories 400$+
Xbox accessories - 100$ wifi 299$ HDD

I remember when PS2 released and people said 350$!!!! thats too much for a console! yet DVD players were like 300 - 500 dollars.

The PSP GO! attacts those who are just joining handhelds (like me) but as for movies and music (as patcher said when he compared the iphone to the psp on GTTV Bonus round) One thing about the PSP i can download music and movies and put them on PSP just like i do with my PS3. All i ask is PSP DIVX support although it wont happen because of the PSN movie store

250 is a bit much but i feel better paying 250 for the PSP Go than paying 250 for the PSP 1000

Tiberium5434d ago

This coming from the ONLY company that charged $600 for a console, doesn't surprise me.

callahan095434d ago

@Tiberium: The Panasonic 3DO was 700 at launch, and the Philips CD-i was 1000 at launch. Sony isn't the first to have a hefty price tag on their gaming console, they're just the first to be successful.

GavLam885434d ago

This is fundamental business pricing. Whenever a new product is launched onto the market, a company will take advantage of the consumers that want the 'latest' gadget and will pay the full price. I reckon, this is Sony's opportunity to recover some profit (if they are still making a loss on the PS3). Trust me, the price of the PSP Go will drop fast after the initial launch of the product once they realise that consumers would rather pay for a UMD PSP that is cheaper rather then the PSP Go. Once that is clearly indicated in sales, i bet it will drop below the ordinary PSP.

Anon19745434d ago

Is that "ripping off" the consumer as well?

Obviously the interviewer pushed Pachter to provide that lovely quote and he fell for it. Is it wrong for Sony to want to make money off their product?

HoofHearted5434d ago

...because the PSP Go is not a necessity. No one NEEDS to buy a PSP Go. Everything is right out in front. I don't like the price either, but I will buy one DAY ONE and so will plenty of other people.

As a matter of fact I went into a local Gamestop AND Game Crazy and while neither had the preorder yet, they said I had better get in fast once the preorder goes up because the amount of people asking about it has been astounding. Like most other hardware, if you don't preorder, you aren't getting one for a few months after release.

So there IS demand even at the 250 dollar price point and there has always been a famous phrase that people who talk about rip offs should remember. Something is always worth as much as people are willing to pay for it.

You may not like it. I certainly don't like it (I thought it would be about 200 bucks). Pachter may not like it (when was the last time he was right about anything though). With all that being said, no one is being ripped off. That's nonsense.

f7897905434d ago

Something is horribly wrong for me to actually agree with one of them. How do you even become an analyst?

thesummerofgeorge5434d ago

It's too expensive, that's a given.... The only good reason to make the PSP Go would be to have a cheaper version of the PSP.

cherrypie5434d ago

Sony is ripping off it's PS3 and PSP Go buyer. This is clear.

Pika-pie5434d ago

God, here we go again. If you feel its too expensive then DONT BUY IT! Jeeez.

No one is making you buy it. It will come down in price once Sony has skimmed the market enough.

All-35433d ago

Hasn't Sony in fact removed features both in hardware and software in later revisions of the PS3, and charged the same prices after the 'clearance' sale during the phase out of the 20GB and 60GB PS3 models?

The current 80GB and 160GB PS3s lack the PS2 Emotion Engine hardware or any PS2 software emulation, as well as the 2 extra USB ports, flashcard readers, SACD support once found in previous models.

With the PSP GO... Factor in the cost of all new accessories. The Go lacks a standard mini USB port on top, meaning things like PSP keyboards and Sony's GPS accessory are useless, and current A/V cables and chargers won't work because of a new multifunction port on the base. So how much with all the extras included?

+ Show (42) more repliesLast reply 5433d ago
V0LT5434d ago

Pachter is ripping off the people who pay him for the ridiculous amount of money he makes to be wrong.

PLAYSTATIONGENRATION5434d ago

I agree with patcher....the psp go is way over priced...just like another sony system...i know what it does but i want to play games on my console is that too much to expect from a game console

HDgamer5434d ago

pachter doesn't get paid for being an analyst.

sarshelyam5434d ago

...because he'd be wasting their money!

SuperM5434d ago

You think the PS3 is overpriced? You cant overprice something when it cost less to buy then it cost to produce. Sony needs the PSP to stay profitable. Infact its the profit from the PSP that might allow them to cut the price on the PS3

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Droid Smasha5434d ago

sony would never rip off there customers

/sarcasm

PeptoBismol5434d ago

you're not even a gamer. you spend more time trolling sony articles than actually playing your 360

user39158005434d ago

Sony its an anarchy for idiots and followers. True be told, almost all sony products are: overpriced, low quality/unreliable garbage, the king of marketing lies, customer service suck, they love to rip the consumers, sony executives are a bunch of morons, PS3 lost E3 again, PS3 BBQ Grill its a yellow light of death- blu crap player- a great dust magnet and and the gaming division inferior to the competition.

Stick to the facts people, finalizing the story of Ps3 fanboys are hiring from the market, seen holding their legs out of shame, grieving over substantial hypocrisity and would like to comvert to the 360, but they wont, because they are a bunch of fruitcakes.

theKiller5434d ago

he finally got something right!! 250 for psp Go is not acceptable!!! they should have made it max 200!!! anyway the other option is available too!!

TheBand1t5434d ago

For once I actually agree with Pachter.

200 dollars would've probably been more reasonable.

n4gn4gn4gn4g5434d ago (Edited 5434d ago )

Is he an analyst or a consumer advocate. STFU and analyse. While your at it you can call out NIN for adding $5 worth of cameras and bumping the dSi price by $60.

How much is a 16GB Zune or iPod?

Darkfocus5434d ago (Edited 5434d ago )

I don't know how he keeps his job hes the one that predicted sony would take the bluray drive out of the ps3 to cut cost /facepalm XP
Plus I don't here him complaining about Xbox's overpriced accessories,Hard drive,wi-fi,controller chargers,live ,etc

sarshelyam5434d ago

...I remember him predicting a PS3 without a Blu-Ray drive. Does this guy even know what technology is?

Chubear5434d ago (Edited 5434d ago )

The Damned Wii is still at $250 price point. No cuts what so ever, charging ridiculous amounts for 25yr old games on Vcon when they should essentially be free unlocks after beating Nintendo wii games and not once I saw Patcher talk about that one. It's as if there's no other choice than a $250 PSP.

If you think the PSP GO is too expensive at $250 then get the 3000 @ $169 or the 2000 @ $149. People acting like Sony PERSONALLY slapped their mother cause they choose to put THEIR own price tag on THEIR own product are being daft. Hey, I would have liked it to be cheaper, hell, it'd be brilliant if I got that and the PS3 for free too but this is business is it not?

It is obvious Sony got the pricing right for their business when you see the amount of people that have already pre-ordered this puppy

MS still charging it's fanbase $50 per year for something that should be free, does Patcher talk about that? Does he talk about how insane it is that MS is selling their DVD based games at the same price as Sony's PS3 Blu-ray? Hell naw!

ChrisGTR15434d ago

well if you think about it, whats to stop sony from allowing third partys to print their games on a dvd disk? the ps3 plays dvds so whats the problem? all multiplats fit on a dvd cause of the 360 so why not release the ps3 version also on dvd. the only problem is if the new ps3s dont play bluerays then they cant play old games.

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230°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

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Community8h ago
darthv7219h ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle6h ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic18814h ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio3h ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Cacabunga6h ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

shinoff21835h ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga4h ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan13m ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

purple1019h ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos8h ago

I'm not surprised surface is struggling they aren't relevant anymore

XBManiac7h ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad7h ago(Edited 7h ago)

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple1017h ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos6h ago(Edited 6h ago)

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic5h ago

So basically PS and PC gamers' money is keeping Xbox on life support.

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140°

Why Monopolies In Gaming Must Not Be Allowed

As of right now, there are no monopolies in the games industry, and for the sake of the medium as a whole, they never should either.

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thorstein18h ago

Shouldn't be allowed in any field.

Inverno14h ago

And yet the biggest tech companies in America are essentially that. They buy up all the small comps only to kill them off and steal what they have, and if they can't buy em they bleed them to death.

jwillj2k413h ago

Eventually they’ll realize the value is with the employee not the company. Buying an IP means nothing if the people who contributed are let go. They’ll get it one day.

MrCrimson12h ago

tech is different because they buy threats and then kill them. Twitter bought Vine and did nothing with it. Despite people seemingly liking it. Could've had tiktok a decade before bytedance. go figure.

Zenzuu13h ago

Monopolies shouldn't be allowed regardless. Not just for gaming.

MrCrimson12h ago

They buy IPs not talent. That's why these buyouts never work and the IPs die. Right now it's too expensive to develop games - but I expect that to shift maybe as AI tools can make it easier. The best games have been indie games for awhile as big developers fuck their ips to death with "games as a service" -

120°

This Gigabyte GPU is now among the cheapest RTX 4090s on Amazon after a hefty deal

On Amazon, you can't get an RTX 4090 for less than this one from Gigabyte, which now offers great value after an eye-catching April deal.

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