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Old 02-16-2007, 05:59 PM
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Default 360 is Blocking PS3 in North America

Japanese Biz Mag: 360 is Blocking PS3 in North America

We all know the story about the 360 in Japan, but in North America the 360 is "a powerful enemy" for the PS3, which could ultimately lead Sony's game business to continue to lose money in the next fiscal year (at which time Sony expects to break even).


The folks at popular gaming blog Kotaku got their hands on a translation of an interesting article from the Weekly Toyo Keizai that details the PlayStation 3's hurdles. Rather than being Japan-centric, the piece takes a hard look at the North American marketplace, where Microsoft's Xbox 360 is currently leading with over 10 million consoles sold.


The article notes that the PS3 is "at a crucial moment" and that a "powerful enemy" (i.e. the 360) currently "blocks its way" in North America. Part of the problem for the PS3 is quite obvious: there aren't enough really good titles to justify the $600 price tag yet. "PS2 owners are still waiting and seeing how many and what kinds of PS3 games are going to be released. Several promising PS3 games are going to be released in the second half of this year, which will regain the hardware sales," commented Enterbrain (publisher of Famitsu) exec Kouichi Hamamura.


The Weekly Toyo Keizai piece goes on to speculate that Microsoft could really "squash" Sony if they decided to cut the price of the Xbox 360 in the near future. An executive at a major software company was cited saying, "I suppose that Microsoft will start a big price drop within this year and Sony should follow that or they'll lose their market share."


The problem with that, however, is that Sony may not be able to afford a price drop. For the current fiscal year, Sony's game division is expected to lose around 200 billion yen ($1.6 billion). And while Sony intends to break even on its games business sometime in the next fiscal year (and possible outsourcing of Cell production may aid that endeavor), if Microsoft slashes the price of the 360 Sony may be wind up losing a significant amount of money in the next fiscal year as well.


"...if Microsoft massively drops the price of the 360, Sony's plot will fail in no time. Industry analysts of major securities companies are forecasting that Sony's game division keeps making a loss which will be more than 100 billion yen in next fiscal year, supposing that Sony will drop the price of PS3," the Keizai piece concludes
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Old 02-16-2007, 07:56 PM
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Originally Posted by moepain4u View Post
Several promising PS3 games are going to be released in the second half of this year, which will regain the hardware sales," commented Enterbrain (publisher of Famitsu) exec Kouichi Hamamura.
I keep hearing statements like this but haven't heard specific examples that add up. A CNET article mentioned Metal Gear Solid 4. I've also heard Motostorm and of course Final Fantasy. At least two of those will likely be delayed. What else? How much does a title need to sell to "regain the hardware sales," and what title could reach that status?

A contributing factor to PS2 beating Xbox was the huge success of GTA3 as an exclusive. What will be PS3's GTA3? Will it have one?
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Old 02-16-2007, 08:08 PM
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I keep hearing statements like this but haven't heard specific examples that add up. A CNET article mentioned Metal Gear Solid 4. I've also heard Motostorm and of course Final Fantasy. At least two of those will likely be delayed. What else? How much does a title need to sell to "regain the hardware sales," and what title could reach that status?

A contributing factor to PS2 beating Xbox was the huge success of GTA3 as an exclusive. What will be PS3's GTA3? Will it have one?
It probably will.... Noone saw Halo coming and that game single handidly made the Xbox sell. The same can be true of the PS3.

Besides, I smell FUD in that article. Microsoft is uping the hard drive on the 360 this summer, so I couldn't imagine a price cut when the hardware is about to be upgraded.
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Old 02-16-2007, 08:21 PM
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It probably will.... Noone saw Halo coming and that game single handidly made the Xbox sell. The same can be true of the PS3.

Besides, I smell FUD in that article. Microsoft is uping the hard drive on the 360 this summer, so I couldn't imagine a price cut when the hardware is about to be upgraded.
I agree this article look like total fud. It sounds like the same old same old.

But there is a big difference with PS3 and 360. The PS3 includes a Blu-ray and its has serious impact on the Blu-ray vs HD DVD war. It signficantly change the events and because of studio support - the war will likely be ended this year.

On the hard drive, well tonight I up my 20G to wopping 160G and I did it with a 2.5in Seagate Drive purchase form Newegg. It doesn't void my warrenty to so. Anyway I still have my original. The system went flawlessly - I back it up to a USB drive in the PS3 included utility, insteall the drive and restore the PS3 form the USB drive - took a matter of minutes to so.

Speaking of 360, I am curious what does the 360 mean in it. I seeing other products use this term also. Just got a razer today and it also has 360 in the name. Just curious.
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Old 02-16-2007, 08:25 PM
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I agree this article look like total fud. It sounds like the same old same old.

But there is a big difference with PS3 and 360. The PS3 includes a Blu-ray and its has serious impact on the Blu-ray vs HD DVD war. It signficantly change the events and because of studio support - the war will likely be ended this year.

On the hard drive, well tonight I up my 20G to wopping 160G and I did it with a 2.5in Seagate Drive purchase form Newegg. It doesn't void my warrenty to so. Anyway I still have my original. The system went flawlessly - I back it up to a USB drive in the PS3 included utility, insteall the drive and restore the PS3 form the USB drive - took a matter of minutes to so.

Speaking of 360, I am curious what does the 360 mean in it. I seeing other products use this term also. Just got a razer today and it also has 360 in the name. Just curious.
Circles are cool... Thats why... Just not as cool as stuff in Bold and italic print!!!...
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Old 02-16-2007, 08:27 PM
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Circles are cool... Thats why... Just not as cool as stuff in Bold and italic print!!!...
As opposed to the Emotion Engine and the Reality Synthesizer....
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Old 02-16-2007, 08:29 PM
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Circles are cool... Thats why... Just not as cool as stuff in Bold and italic print!!!...

Every thing that go around, must stop where it started from - It also could mean that circle is end of the life cycle.
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Old 02-16-2007, 08:30 PM
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As opposed to the Emotion Engine and the Reality Synthesizer....
Now thats some really cool stuff
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Old 02-16-2007, 10:10 PM
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All Microsoft has to do is drop the price of the 360 to $199 and Sony will be in big trouble because they can't drop their price. With the billions in petty cash Microsoft can do it.
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Old 02-16-2007, 10:18 PM
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Originally Posted by moepain4u View Post
All Microsoft has to do is drop the price of the 360 to $199 and Sony will be in big trouble because they can't drop their price. With the billions in petty cash Microsoft can do it.

You be suprise what Sony can do. I think the best thing they could do is strip out a lot of gaming part of PS3 ( Hard drive, controller, game support, cheaper video card ) and aim it directly at Blu-ray playback. This probably can be done for $300 or so especially that manufactoring technology of Cell processor is dropping to 65nm and in future 45nm.

I also serious doubt that Microsoft can release a 360 for $200. Especially with a HD DVD drive.
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