The trade show will be held from the 16th to the 20th of February. Sony has booked a total of 80 booths with 20 set aside exclusively for the PS3, the newspaper has learned. The article goes on to say that this move is seen as countering the Xbox360´s launch in the region.
But it´s not all good news for the current market leader in home consoles. Business Week paints a slightly gloomy picture for Sony´s new console.
Six years in the making, the PS3 is a crucial component of Sony's strategy to dominate the digital home with a full lineup of super-sharp TVs and other gear. To attract teens and parents alike, the console plays high-definition games and movies from Blu-ray DVDs. It boasts a huge hard disk to store photos, music, and TV shows. And it can connect to the Net for play against far-flung rivals, while a new multimedia chip called "the Cell" (...) juggles the workload. (...)The PSX´s failure and the PSP´s disappointing software tie ratio are valid concerns. But, while the article undoubtedly underestimates the PS3´s price tag, it now appears that a Japanese launch in June could be realistic.
If that seems like a lot to pack in, it is. But there's a lot at stake. Sony is banking on the console to lift its consumer-electronics division out of trouble, and the Blu-ray drive is expected to give a boost to that Sony-backed format, one of two competing to become the next-generation standard for videos. "PS3 is very important for us," says Sony Chief Financial Officer Nobuyuki Oneda. "There are so many key devices from the electronics group that will go into it."
Some question whether Sony is trying to cram too much into the new box. The PS3 is expected to cost $350 to $400. While it has the potential to be a megahit, Sony's message might get muddled in the process of going after too broad a market, says Deutsche Securities analyst Takashi Oya. "It would be difficult to sell PS3 initially as anything other than a game machine," Oya says. Sony declined to comment on such concerns. (...)
Kutaragi's Midas touch has let him down before, especially when it comes to creating multipurpose machines. Exhibit A: the PSX. Released in Japan in 2003, it was designed to appeal to a broader audience than the hard-core gamers attracted to the PS2. It comes with a 250-gigabyte hard drive and a simple Web browser and plays games, movies, and music. But the PSX bombed as consumers were confused by the hybrid and put off by its $800-plus price tag.
"If Sony wants PS3 to be a hit, it has to avoid the marketing mistakes it made on PSX," says Reiji Asakura, author of Revolutionaries at Sony, a book about the development of the PlayStation.
Another risk is that Sony could undermine software sales by positioning the PS3 as something other than a game machine. The company makes the bulk of its game profits not from consoles but from games, which can cost $50 or more. Even when Sony doesn't design the games, it picks up royalties from each sale. (...)
If consumers buy the PS3 as a multimedia machine, they might not purchase as many video games. Sony ought to know: The handheld PlayStation Portable (PSP) has been a success since its debut in December, 2004. But since the PSP also plays music and movies, fewer people are buying games designed for it. In the PS2's initial year on the market, players bought more than three games for each machine that was shipped. For the PSP, that ratio slipped to 2 to 1.
Sony hasn't set a launch date, but analysts expect the PS3 to be released in Japan by June and hit U.S. stores in time for Christmas. With all its features, the PS3 might indeed help Sony in its battle for the living room as rivals roll out their own digital-entertainment hubs. Unless, of course, all consumers really want is a simple game machine.
Source: DigiTimes, Business Week
Thanks to: Gamasutra, Reg Hardware, Kotaku
21 comments:
Wow, June? Thats really soon, I wonder how many games Sony will have? Or how many good games, I should say. Hmmm, it doesn't look good for Sony this time in my opinion.
That´s a very good point, Metaldave. Will there be enough of a portfolio to let the PS3 win as a games system alone? Because I agree with the article: The PS3 will have to win over early buyers as a games machine alone.
Releasing early can be a big advantage. It was for the PS2. Even with a very poor launch portfolio (Tekken Tag and Ridge Racer). But back then, everyone wanted to buy a DVD player, since the format had already arrived.
The same cannot be said about Blu Ray. Not by far. There´s also HD-DVD. And I question whether the market is truly ready for another video format already. I´m not.
So what else will there be apart from games?
The articles did not mention whether it will be playable though, and the booths can be used to display video demos and whatnot from previous showings.
Well to me most people now have dvd players..i dont see why people will want to buy a new player and then buy new movies to watch on it...its too early to bring the format imo...
People will be spending close to $500 bucks on it even if the system costs $400 at launch, because I doubt there will be a game packed in with it. Those graphics better look like the Incredibles(better movie than I thought) or it better have some games that you must play with the same control style we've had for 10 years. Johnny 15 year old will still buy the PS3 though, Sony will not be as dominant however.
I wouldn't be concerned if I were Sony. I know I am not buying many games for my PSP, on because I would rather spend my money on the upcoming PS3. I have a feeling I'm not the only one.
Also, news of the PS3 was right on the heels of the PSP giving the PSP no time to really develop a huge gaming market. I bought the PSP for ALL of its features, not just for gaming.
I think if the PS3 packs all it has promised to it should do just fine in its sales.
Besides, with all the HDTV's that have been sold in the recent years and the lack of a real channel lineup in HD, the Blu-Ray and HD-DVD market should be there. I know I want to get my money's worth out of my HD purchases and the PS3 should make that possible.
I am not worried about Sony's sales.
I believe that Sony has stepped to far out this time. They were right on with the PS2, but adding a whole bunch of addition features to a "gamer" targeted system will only rack up the costs.
I mean this is a lot of money that I as a gamer will have to make "appear" to get the full intended potenial out of the PS3.
They have bet all of the money, skills, and resources on a second PS2, while trying to become the center of a standard home media output. This is a huge gamble, for Blu-Ray, the PS3, and Sony's core fans.
For Sony to be successful on they path they've chosen, they not only have to beat out the Juggernaut Microsoft, but also an entire range of other companies Sony has pit themselves up against... including, Nintendo, Apple, various computer and HDTV competitors, various music player developers, and even software developers.
They may have expanded their market and profits, but also their competitors, risks, and costs.
There will be some major problems with Sony and PS3 coming very soon.
This Next Gen won't be Next Gen at all until 6 months before the next next Gen starts. Why? Because game developers will finally have a handle on this new hardware by then.
These other two game systems with multicores are going to screw the industry up.
Hi everyone and thanks for your contributions.
Hi yjs. There is absolutely no doubt that the PS3 will be playable if Sony has booked floorspace for it. For running demos, one booth should be enough. They booked 20. Also, the article even specifically mentions that it will be playable.
Ey Andi,
jetzt gib halt mal bitte endlich deinen Senf zu 3D Mario Paint dazu anstatt den teacher zu spielen.
Ich dachte du wärst einer von der alten Schule.
Erzähl mal was interessantes.
Hast du jetzt mal Midway gelabert?
Es sind scheinbar die selben Leute die den Acclaim(Vertrieb) Laden geschmißen haben weißt schon oben im McM Gebäude direkt am Leuchtenbergring..
-The IALS
I would have expected you to say, hey, we're all friends (which is what we should be). However, insead of saying that, you emphasize that your sentence is correct.
Dear A-R. First of all, I did say that all this was to be in good fun. I enjoy a good argument and will gladly continue. But I hope we can both treat this as a kind of gentlemanly sport. You have been a constructive contributor to my blog and I respect you for that. Just for the record. ;)
Are independent clauses separated by a comma? Well, in the English language, there are no binding punctuation rules in common use. Take this example: Is it ´Peter, Paul and Mary´ or ´Peter, Paul, and Mary´? You will find that both are permissible. Of course, punctuation rules do exist. However, they are not taught at British universities, let alone colleges. Also, a run-on sentence is when two independent clauses are joined without both conjunction and comma. My sentence was thus correct and we´re all still friends. ;) Get it?
Why didn't you point out that I didn't make the proper noun "Reggie" possesive? Spelling errors are easier to find.
You did omit the possessive case (or genitive). But why should I pick up on what I thought was a mere typo? I only picked up on ´pedentic´ because I thought it was a genuine mistake. Lots of people make that one and I was only trying to correct it.
And just why weren't you able to check that pre-alpha stage is an actual development cycle? Were you lazy? That won't do in the journalism business. Continue to qualify.
My dear friend. I have been a journalist for around ten years. I started with local radio. Since 1999, I have been working for one of Europe´s biggest private television networks. I have studied journalism at the ´Hogeschool Utrecht´, Netherlands, the ´Journalisthojskole´ in Denmark and at ´Cardiff University´, Wales. I have written thousands of news items and contributed to some feature length reports. I also briefly worked at Sky News and Reuters. What have you done to teach me?
Your polemic is also totally unfounded. I was posting something in the comments section, which I was unable to verify at that time. I made that perfectly clear. Once I learned that the source was wrong, I posted that immediately.
But I tell you, if I looked at the moon hard enough, I would say that it revolves in a crystalline sphere, and the modern astronomers are fake. By the way, like in a sitcom, we are having two different conflicts going on here.
You are going to have to explain this one. ;) How a satellite can revolve in a crystalline sphere is beyond me. Do you mean orbit? And how can one be crystalline?
Blabla...
Seems like someone has too much time on their hands its ridiculous Falafelkid wasting your time whining back ..
Instead of bitching about grammar bullshit do something that fits your position and age its silly dont you have any friends?When I was in your position a TV journalist I bet I would be able to uncover much more gather more information..
At least some exclusive interviews would do it.
But there you go just copying Mcv gamesindustry biz Spong jostick anbd what not pieces and adding your fullfilling 2 cents.
Do you feel comfortable with this approach?You should focus on exclusives instead of bitching about Mr Incbus or showing the world how you look in real world with you pink shirt on to proove your identity.Do something meaningful.I assume you should have connections.Even if you dont tell us something original write editorials about games or the industry tell us which games you preffered and recommend this generation.It seems to me as if you were one of those who just taqlk instead of actually playing.Its about the games mister journalist.Get it?Stick with it.
Last anonymous: You're a dick. And your definition of run-on sentences is wrong. But mostly you're a dick.
Falafelkid: I'll be at the Taipei Games Show next weekend, so I'll try and clue you in as to whether the PS3s are playable or just running demos.
Good point Orestes, the more companies SONY try and battle the more chance they have of either creating a complete industry takeover (unlikely) or destroying one or two of their own divisions. I've heard most are in the red thanks to companies like Apple, Philips and Toshiba so this could be a last ditch effort to see if these divisions can be expanded, or shut down. I don't really see SONY staying in non-profitable industries.
Instead of bitching about grammar bullshit do something that fits your position and age its silly dont you have any friends?
My dear angry friend. First of all, I never started that banter about grammar. Secondly, discussing language fits my position and age precisely. I´m a journalist, that´s what I do. Maybe you never saw it that way.
When I was in your position a TV journalist I bet I would be able to uncover much more gather more information..
At least some exclusive interviews would do it.
For your information, I was the first person to interview Pablo Belmonte aka Psyco3ler. I was the first person to post exclusive comments by Yuji Naka and Peter Molyneux about the Revolution console. I was the person who debunked Seriousgamer007 and that ´Sunder´ rumour. And I was the first person to confirm that the Revolution would be underpowered and was rumoured to be selling for something between $99 and $149. I spoke to dozens of people over the phone and in person to get exclusive details for this blog, including Rick Shie of Physical Optics Corporation and Joe Runde of eMagin. I have been quoted by almost all the big news sites out there and traffic on this site is impressive. And this is just the stuff from the top of my head. I don´t need to mention the extra service I provide by posting important dates according to all relevant timezones or compiling all big game events until E3. Check out the Nintendo Revolution forum. See my floated thread there?
All of that is exclusive stuff, my dear angry friend. I´m not trying to beat my own drum here. But you really seem to be screaming at the wrong guy. And the fact that you are so angry may just mean that I have, in fact, been doing things right. I happily accept your flaming as a vindication of this blog. Thank you. And do come again.
Hi Anonymous ("I'll be at the Taipei Games Show"). Cool. Please post your experiences here. I am most interested. But please tell me where you are from, why you will be attending and what exactly you do. Thanks.
Pirana Plant
Reading this article make me think it’s written by Nintendo executives, making the point games focused machine is the way to go.
Doing everything poorly is bad but it’s better to do one thing phenomenally (Nintendo)…
Ya i agree i think the PS3 is gonna be a jack of all trades and a master of none with over inflated prices.
2right jack of all trades with build qoulity that will follow on from the tissue like qoulity of ps2 and psp high pricing no gaming inovations and all this media centre bull shit its all a marketing stunt to sell sony hd tvs and other media goodys please sony explain how that has anything to do with gaming or its future as far as i can see it clearly dose not give me a nice lcd or plasma with a revolution and one of those plug in and portable media boxes with built in screen like that archos media box they sell on qvc tv(no i dont watch it honest haha)any time better set up that a tv and a wait for it to break ps3
I honestly don't think Sony is stupid enough to sell the PS3 for over $400; look at the PSP, for example.
Just a minor point; I don't think that $300-$400 is a bad estimate; they want to stay competitive, after all.
20 february and it's not here yet.
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