How will poor sales affect Sony

[Paratech]

*From Game Informer Feb 2009 issue

According to the NPD, November console sales were as follows

Nintendo Wii 2,040,000
Nintendo DS 1,570,000
XBOX 360 836,000
PSP 421,000
Playstation 3 378,000
Playstation 2 206,000

For the month of November 2008

The Wii outsold the XBOX360 by over 2 to 1
The Wii outsold the Playstation 3 by over 5 to 1
The DS outsold the PSP by nearly 4 to 1

The PS2 sold almost 1/2 as many systems as the PS3.

How will this affect Sony, who is poised to close 8000 full time jobs and nearly as many part time jobs by 2010.

Any thoughts on the subject?

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[snickothemule]

Sony will continue to beat on both Nintendo and Microsoft saying that nintendo isn't a real contender, the xbox 360 has no longetivity and the PS3 is the only good console going at the moment, while they will continue to slash jobs and lose money. I think that they will have to speed up the process to reduce the cost it takes to make the console so that they can actually make money when a console is purchased, rather than relying on game sales to turn over profit.

Considering that Sony pushes the fact that the PS3 can be bought as a blu-ray player only will only further contribute to loss of money. They need to market this thing as a 'gaming' machine, rather than an all in one piece of machinery with 3 year old tech in hopes of catching gamers and non gamers eye.

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[Paratech]

I like the Wii but I'm shocked that 2+ million Wiis sold in November, it has sold quite well for being a bit old, and yet the PS3 with all of its technology can't seem to catch up.

I don't want to see Sony fail, I want three consoles selling...not two or worse yet one....

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[cyric1983]

OK, it's funny how people keep bringing this up. Those sale-numbers mean absolute ****.

The Wii outsold the PS3 5 to 1? WHOOP-DEE-DOO! The last I checked, the PS3 is 5 times the price of Wii. So in all relativity, the PS3 sold just as well as the Wii did. Also, the Wii managed to tap into the female side of things so that'd explain it's success.

The Wii outsold the 360 2 to 1? WHOOP-DEE-DOO! The last I checked, the price of the Xbox 360 was twice the price of Wii. Again, identical sales.

As for the DS, Nintendo will ALWAYS dominate that market, simply because generally it's marketed for kids. Even I have a hard time seeing any reason to purchase a PSP simply because I try not to watch movies while I'm driving in the car. If I ever do buy a PSP, it'll be for Dissidia when it's comes out. If anything, Sony should drop it.

As for the reason the PS3 is selling worse than it could be, isn't because of the cost of production. It's because if Sony lowered the price to where it should be, EVERY blu-ray player manufacturer would start the next World War because of the value in the PS3 and it's seemingly endless capabilities could potentially put most of them out of business.

Here's a video that shows one aspect of what the PS3 is capable of:

[Paratech]

I hate to break it to you, but the prices are *At least in the US*
Wii $249
XBOX 360 $199 Arcade, no hard drive
XBOX 360 $299 60 gyg hard drive
XBOX 360 $349 120 gyg hard drive Premium
PS3 $300-$400

Exactly how is the PS3 5X the price of the Wii? or the 360 2X the price of a Wii?

And if the systems are better, people would be willing to pay more, the 'Cube was selling @ $99 and the PS2 was outselling it as was the XBOX, both were between $199-$150 at that time...

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[cyric1983]

Weird...I remember seeing the price of a Wii down below $200 for a while. Plus, I'm sure the recession is having an effect on it too. Oh well, I'm standing by the PS3 because it is the better console. It just sucks that Sony can't market it properly without getting dumbfounded looks from the majority of the people. Anybody tech-savvy can see the benefits of it.

[P_RePTiLe]

If this is supposed to be about numbers of quantity regarding consoles, one could combine the psp sales with the ps3 sales and say:

1. Nintendo
2. Sony
3. Microsoft

Speculation aside: we don't know, they (the corporations) are doing their best to predict and adapt, and all we can do is see what will happen.

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[Paratech]

According to the article, PS3 sales in November 2007 were 466,000, and November 2008 were 378,000, so the PS3 sold less in Nov 08 than 07. The XBOX 360 Received 124% sales boost from last year in Europe as compared to 3% for the PS3, and a 43% improvement for the Wii.

With Sony planning to cut up to 8000 full time and 8000 part time jobs, I don't think this looks good for Sony.

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-Current consoles: Playstation 2 and Wii, also has DS/GBA and a PSP 3000
-PC: AMD 5000 2.6 Dual Core, 2GB Ram, 8600 GeForce GT video card, SB Live!, Win XP SP3

[Exodus]

If I were Sony, I'd try to get more good games out so that they can actually start making money on software instead of losing it on hardware.

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[masta.g.86]

Historically, Sony has never been able to deal with unexpected results very well. The PS3 is selling poorly due in part to the world-wide economic situation and its high price. Sony justifies its purchase by saying things like the PS3 is more future proof (how is this true?), M$ and big N are addon peddlers, and that it's actually a good thing that the PS3 is hard to program for (whuuuut?)

A couple quotes from Ken Hairai:

This is not meant in terms of numbers, or who's got the biggest install base, or who's selling most in any particular week or month, but I'd like to think that we continue official leadership in this industry.

It's difficult to talk about Nintendo, because we don't look at their console as being a competitor. They're a different world, and we operate in our world - that's the kind of way I look at things. And with the Xbox - again, I can't come up with one word to fit. You need a word that describes something that lacks longevity.

We don't provide the 'easy to program for' console that [developers] want, because 'easy to program for' means that anybody will be able to take advantage of pretty much what the hardware can do, so then the question is what do you do for the rest of the nine-and-a-half years?


So it's a kind of - I wouldn't say a double-edged sword - but it's hard to program for, and a lot of people see the negatives of it, but if you flip that around, it means the hardware has a lot more to offer.

Original article here.

Seems like Sony's really reaching out for something solid to grab on to while trying to put its investors at ease. They have been saying things like this for months now. While I agree to some extent that the PS3 is a better console overall, ultimately the biggest factor is price.

$400 for a PS3 is nice, but it's still more expensive than the competition. Worse, despite the price reduction, Sony is still losing money on every PS3 that is sold. The only things netting any true profit for Sony's games division are the licensed games, the PS2, and the PSP.

Another factor worth mentioning is the lack of A+ games. Sure, there are more games available now, but many have seen multiplatform releases. The only PS3 game that I really gave a damn about was MGS4 (great game) FF13 will be the first FF in several years to see a multiplatform release. If I owned a 360 instead of a PS3, I would see no need to get a PS3 at all. In short: PS3 is somewhat lacking in good exclusives.

While they tout their Blue-Ray technology and always "thoughtfully" mention that it doubles as a Blue-Ray player, they neglect to mention that the PS3 siphons down electrical power at a high rate and BD movies cost ~$25-$30 on average. While HD movies look great, DVD will continue to be king so long as BD movies are more expensive.

All in all, I highly doubt Sony will go out of business or suddenly "cancel" the PS3. There will likely be a scaling back of console production, some more crappy comebacks directed toward Microsoft and Nintendo, and more "2009, no wait; 2010 is the year for the PS3" comments to ease the minds of Sony's investors and stock holders.

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[LensLarque]

Yes it's the games that make a console sell. I don't understand Sony's PS3 policy, it seems quite different from the PS1-PS2 era.
This time Sony might have been wrong.

On a side note I just bought a Sigma Raijin supergun, so I don't really care

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[runawayprisoner]

What about the failed and died console numbers? (brace yourselves, 360 fans. I myself am already on my third one here)

What about... piracy? So far, I haven't seen any on the PS3... well, bar the fact that it's possible to run PS2 backups regardless, not like a single PS3 game has been pirated.

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[Phil]

Well M$ has the best FPS's.. And 3 aint nothing rap. One guy went trough 8

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[runawayprisoner]

I know... but what if it failed at least once for one person on average? God... that 360 install base would be cut in HALF then... which ain't good. And I'm pretty sure it fails at a rate that is higher than once per person.

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[Phil]

But it goes in batches though. So some people buy a piece of hell, while others get regular equipment.

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[runawayprisoner]

That's true. You gotta ask these people how they measure up these numbers to be sure, though.

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[Phil]

They measure it up in a way that flatters rhemselves

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[Dennemark]

Just before the next console releases, i think the prices will be...


X-Box 360: $100
Wii: $50
PS3: $289.

You might wonder, why do i predict the Wii to eventually sell for $50 ? Because gamers and people in general will finally realize that the Wii is nothing more but an overloaded GameCube with an chocolate bar and a stick with which you wave at it.

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[Radix865]

Originally Posted by Dennemark

Just before the next console releases, i think the prices will be...


X-Box 360: $100
Wii: $50
PS3: $289.

You might wonder, why do i predict the Wii to eventually sell for $50 ? Because gamers and people in general will finally realize that the Wii is nothing more but an overloaded GameCube with an badly shaped vibrator and a stick with which you wave at it.

Fixed it...

Question paratech... Are the numbers you posted global or just USA?

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[Squall-Leonhart]

the Xbox might be selling, but its also causing a massive loss for MSFT due to the hardware failures.

Its not hard to assume that the PS3 is bringing in more profit then the 360 at this point in time.

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