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Gamasutra - Sony Unconcerned About Xbox 360 Price Cuts

Microsoft's recent move to reduce Xbox 360 prices across the board may turn out to be especially significant for the console wars. It means that for the key holiday season, the mass-market Xbox 360 Arcade SKU is less expensive than the Wii -- and Wii may see additional challenges from supply constraints. And with both consoles now entering the $200 "inflection point" analysts say has historically helped spread console sales to new audiences, has Xbox 360 opened a competitive gulf over the PlayStation 3?

Wedbush Morgan analyst Michael Pachter tells Gamasutra that, with a little help from correct marketing, Xbox 360 sales stand to lift 20 percent in the Fall-Holiday season over the same period last year. The $199 Arcade SKU in particular is expected to attract more mainstream consumers who are primarily interested in major brand names like EA Sports titles and Tony Hawk.

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Hellsvacancy4328d ago

The Ps3 is sellin more than the 360 in almost all territories and it costs twice as much and with such great exclusives on the way theres not much need 4 Sony to worry....

But wot do i know?

GametimeUK4328d ago (Edited 4328d ago )

sony dont have time to be concerned by MS... They are still busy tring to dig themselves out of the grave they dug for themselves when they failed to live up to promises... MS know they have won and I think they are having ideas of leading us into the next gen of gaming soon (again, just like the 360 paved the way for ps3 the new xbox will be here first and give sony something to copy........ again)

psn id: GametimeUK

Jamie Foxx4328d ago (Edited 4328d ago )

the ps3 is better value for money ive never seen sony advertise its advantages over the competition like ps3 has-wifi,bluray,bluray games,bluetooth,internet browsing,free online,changable 2.5 harddrives, etc

many parents just see the ps3 and 360 as equal ive even read that some people who have a ps3 didnt even know it could play bluray movies!!

yes the ps3 is better value for money,has much untapped potential but the consumers dont know that they just see price and with many parents on a tight budget due to the recession sony need to get the ps3 advantages across to justify the higher price tag.

The gaming GOD4328d ago (Edited 4328d ago )

You said the 360 paved the way for the ps3 and MS already "knows they won"? Being first out doesn't mean they paved the way. Paving a way is building a history and reputation. So no my friend, Sony paved its OWN way with the ps3

Please tell me how you figured that out. And if they were so sure they "won", they wouldn't bother lowering the price.

No matter what you say, these price cuts aren't for the "benefit of the customer". They are reactions to the ps3 consistently outselling them this year.

"Give Sony more to copy?" Do you HONESTLY want to compare which company is original and which one isn't. Sony has more original ideas than MS EVER had

And I'll be frank, if this new wave of price cuts doesn't help MS outsell the ps3, then all they have left is to wait for the inevitable of the ps3 overtaking them.

thenickel4328d ago

Just because you think something is a better deal does not mean it's a better for everyone else. If you like Sony and it's features then fine but some people don't so deal with it. All of this console praise is just insane and makes you guys look so immature and desperate. Also no matter how future proofed the PS3 is it will be out done by the next 360 and possibly Wii 2 well before the hidden power you claim will ever even be tapped.

TheTwelve4328d ago

...that despite the pricepoint, the 360 is still selling like doodoo on amazon. Now, while I realize that amazon is no true measure of universal sales, I did expect it to at least bump up.

12

UltimateIdiot9114328d ago

I thought there are more Sony supports on Amazon.com. I could be wrong. I say word of the mouth is the best way to get sales. I recommended the PS3 to a few of my friends and convinced them to get it. I've made recommendation to parents on gaming and they listen.

Time_Is_On_My_Side4328d ago

lol, so you're saying you don't like free online, a blu-ray player, WiFi, bluetooth technology, four USB ports, memory stick slots, PlayStation Home, and whatever else I forgot?

The sadest thing about the XBOX 360 is that most of the disc based games don't run in HD (High Defintion). It's like what's the whole point of the HDMI (High-Definition Multimedia Interface) port?

thenickel4328d ago

I'm saying I don't mind paying for Live even though I wouldn't mind it being free. 360 gamers get demo's first and better services so the 4 dollar a month issue doesn't bother me at all. As far as the rest goes I would never play a game online over wifi so that's not important and I don't need 4 ethernet ports, or care about boring azz looking Home lol. You think that stuff is suppose to make me jump out of my chair with excitement or something? The 360 at it's price looks like a better deal to me and many others that will be jumping on board this holiday. And please give me a link of the games on 360 not running in HD.

Figboy4328d ago

you said "doodoo," which instantly makes me think of Dave Chappelle, which instantly makes me smile, then chuckle, then remember that classic Tupac skit, which makes me laugh out loud.

thank you.

anyway, on topic, i don't see why Sony would be too concerned;

1) their console IS better value for money, and they are subtly advertising it in fairly interesting ways (such as the Tropic Thunder plug where the guys says "and every Playstation 3 has a built in Blu Ray player...")

2) their fall and winter 2008 lineup is looking FANTASTIC, and if a consumer chooses a PS3 over a 360, all the worthwhile 3rd party titles are ALSO coming to the PS3 (ie, Fallout 3, Mirror's Edge, etc).

3) the PSN is really gaining steam in terms of online performance (which it already had, but has improved by leaps and bounds), AND by game choices. Crash Commandos, flower, Savage Moon, Wipeout HD, Burnout Paradise, Fat Princess, the PSN is it's own beast, very different from what LIVE is, and that's a GOOD thing. they don't have to be exactly the same to be worthwhile services to their respective markets.

4) the PS3 has been summarily outselling the 360 worldwide all year. even at a price point more than $100 over the 360.

5) if need be, Sony will drop the PS3 by $50 just in time for the holidays.

i mean, you don't have to be the most informed consumer to see:

"Xbox 360 Arcade at $200. nice!"

"but wait, i need a hard drive so i can download games and movies. $150 for a 120gig hdd? okay, sure."

"oh yeah, my console is too far away from my router, and i can't find a cord long enough, i guess i need to buy the wi fi router. $100? um, okay. total is $450"

"man, i forgot, i need to get a LIVE subscription so i can play online with my other 360 owning friends. that's another $50 to my total, so, $500."

but then, there's the Playstation 3:

"hmm, it's $400. that's a lot. but it comes with built in Wi Fi, a built in 80gig HDD, that should be enough for some movies and games and music. AND it has a built in Blu Ray player? AND i can play online with my friends for free? all for $400? that's not too bad. sold."

you don't even have to mention the web browser, or Trophies, or HOME, or any of that stuff.

the fact that it comes with Wi Fi and a Blu Ray player are a combined $500 or more value ALONE, not even mentioning the game console part.

i have an HDTV. if i wanted to enjoy HD games and HD movies on my HDTV, i could opt for an Xbox 360. but then i'd still have to buy a dedicated HD movie player, and the only surviving format is Blu Ray. add an additional $300-$400 to the cost of my 360. say i get the Elite, that's $350? so $750 for gaming and movie needs?

OR, i could just buy a Playstation 3, because it's a games console AND an HD movie player in one package. at the most, i'm spending $500 (if i get a bundle deal). which saves me $250 i can spend on games and movies.

i agree that Sony does need to push it's advantages over the 360 more, and definitely push the Blu Ray movie/games advantage, the free online advantage, and even the built in Wi Fi and web browser advantage.

of course, Sony isn't STUPID. just about every game they are releasing this year and next has some sort of online component, so they will naturally begin pimping the PSN more, now that it has more software to back it up.

i mean, honestly, outside of Resistance, Motorstorm, and Warhawk, what do they REALLY have that's pushing the network in a direction the casual consumers will relate too?

but Little Big Planet, and HOME could certainly pique their interest. to name only two known products.

NoahFex4328d ago (Edited 4328d ago )

"Being first out doesn't mean they paved the way. Paving a way is building a history and reputation."

BINGO! With Microsoft it seems they feel they need to be "first out." They have pretty much reached their potential with the Xbox 360 and I would not be suprised that within 2 years, the Xbox 720 will be hitting the stores, because they won't be able to keep up with the PS3 (which is just scratching the surface of it's potential).

Releasing a brand new system to compensate for the things they should have included in the Xbox 360 will do nothing to create a loyal fanbase and reputation. It will only alienate those 360 owners who spent a lot of money on a next-gen system only to have Microsoft ditch them and focus their efforts on a whole new system all together. This is much like what SEGA did with the transition from the Saturn to the SEGA Dreamcast...and we all know where SEGA is nowdays. Yep, strictly a software company. Which Microsoft started out as and should probably go back to. They should leave the business of making consoles to Nintendo and Sony.

Will Sony release the PS4 before the end of the PS3's "10 year cycle"? Of course, but just as with the PS2, it won't forget about it's previous loyal customers and will continue to support the people who invested in the PS3 with games, features, etc. Will Microsoft do the same with the 360 after they release the 720? If the original Xbox is any indicator, the answer is no. How is that building a repuatation?

xhairs94328d ago

The last time I listened to one of these "Analysts" they were wrong. And then again, they were wrong, and again wrong, again and again they keep predicting inaccurately.

power of Green 4328d ago

I remember hearing the same sh*t before Sony yanked hardware out of the PS3 after lower the price in several different ways.

SL1M DADDY4327d ago

Really, you just need to stop. Your killing me!

In reality here folks, why would they worry? They have made it through some of the worste media scrutiny of any console durring it's first few launch months and now they are getting tons of praise from tose same journalists and they are keeping their momentum up. What's to worry about?

Spydiggity4327d ago

what are you...sony reps???

don't be corporate monkey boys.

obviously sony isn't going to say "OMG, WE'RE SCREWEEEEEDDDD!!!"

they have to maintain composure even against tougher competition. it would make absolutely no sense if they said anything other than what they said. They are confident in their hardware and their software backing blah blah blah.

You guys act like sony is so amazing. get a clu. they are a business trying to compete in a very competitive business world. that is all there is to it.

CommonSense4327d ago

The price drop WILL make a difference. neither system has a clear advantage over the other. they both have good exclusives, they both get most of the 3rd party games, so shut up about it.

most of you are spewing out "facts" that aren't facts at all.

no game on either console runs at a tru high def image. it's scaled up. the only system that puts out TRUE HD is the PC.

also neither system can do much of any anti aliasing or anisotropic filtering.

Saying 360 or ps3 is better is like comparing the same system with a different name. as far as i can tell ps3 has blu ray, 360 has the better online community. 360 has had the 2 biggest exclusives to date, halo and gears. and ps3 might have some big sellers this year.
but to come out and say things that obviously aren't true just because you know you have the support of a large uneducated majority, doesn't make you more right.

I could walk into a room for kindergarten kids and argue about why the sky is blue during the day, and even though i'd use actual science to explain it, if all the kindergarten kids think it's because the teletubbies make it happy with hugs and songs, i can't win the fight.

that's the same thing here. the ps3 fanboys are throwing out fake facts and opinions and flaunting unreleased games as their proof and justification that they have the better system. but the numbers don't prove that. the truth is simply 360 is winning so far, they both have a very competitive line up coming for holiday season, and neither system will prove to be anything less than worth owning.

If you can't wrap your head around this concept, you're a fanboy, and you're talking in the wrong forum.

+ Show (12) more repliesLast reply 4327d ago
Hellsvacancy4328d ago (Edited 4328d ago )

It said sumthin like "its as if Ms is havin a closing down sale" it put a smile on the left side of my face

Go Sony Woot Woot Woot

Mr_Bun4328d ago

Going out of business sale...next month everything will be 50% off!

Sir_Ken_Kutaragi4328d ago

'Wedbush Morgan analyst Michael Pachter tells Gamasutra that, with a little help from correct marketing, Xbox 360 sales stand to lift 20 percent in the Fall-Holiday season over the same period last year'

+a 20 percent lift in SMOKE Alarm sales to!!! ;-D

cahill4328d ago

It would sell better than x360 even at 2x the price point

creeping judas4328d ago

both consoles sell well im will not be concerned, not do i care who is victorious.
with this type of competition between the two consoles, it forces each console to innovate to keep ahead. and innovation is good for both sides.
you see sony/ms fan boys, by having good sales for both consoles is good for each other. youll benefit from the other.
Imagine a one console world run by sony/ms, the games would be crap, the price would be what it should be in order for the company to make profit,so were talking $800 plus.

embrace the three console world, play games on your console of choice and enjoy. dont worry what the other gamers are doing.

ernsttco4328d ago

People are actually disagreeing with this guy. This proves that you guys who come to this site to argue for companies that only give a damn about your money are current and future 40 year old virgins.

ukilnme4328d ago

Nothing but the truth. Bubbles to the both of you.

xhairs94328d ago

I don't believe they disagreed on purpose, when articles are first posted people tend to hit agree/disagree and it shoots down to the newest comment (if one was posted before you refreshed your page). So it could just be some people disagreed above him and it shot down to this guy, seeing as there are only 2 I feel that this is what truly happened.

MrWonderful4328d ago

why would they be worried when their console has been at a higher price and outsold the 360? if sony were to drop the price of a lower end model ps3 to $199 then the 360 would be no more. but in all fairness this is going to benefit us gamers so much more because if 360 sales take off and stay up then sony will have to respond making all of those that dont have a ps3 able to afford one.

Jeff2224328d ago

PS3 FTW

I agree completely with the statement:
"We're really confident that consumers are making choices driven by value"
PS3 is the better value, the HUGE advantage is obviously the Blu-ray player built into the console.

The games that are coming out for the PS3 are looking nicer and nicer (drake's fortune) I can only see better things coming out of this console since it is still not using the full power of its processors

With the 360 buyers have to be worried so much of the RROD and well to me personally not very good games. Halo and Gears were pretty good but you can't buy a system just for 2 games.

PS3 also has the PSN, (which is free) lets you try games out before committing to a rental or even a purchase. I really have no problems with lag or anything in my account so I really don't see why XBOX Live charges you for the same quality of service