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PS3 price cut rumours intensify

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PS3 price cut rumours intensify

Analyst goes as far to say that RRP drop could be announced ‘within days’

Whilst a PS3 price cut of some sort seems certain within the coming months, one analyst has gone one further by predicting that a drop will be confirmed within days.

“Recent channel checks indicate increased speculation for a PS3 price cut announcement from Sony in the next couple of days,” Janco Partners’ Mike Hickey stated, according to Edge.

“We think the company needs to reduce the current price by $100 to effectively restart unit velocity at retail. We believe the market is expecting a PS3 price cut in April or by June E3 at the latest.

“If Sony does not cut the price of their console, we expect the continuation of languishing PS3 hardware sales and the potential for publishers to accelerate their reallocation of resources away from the PS3 console.”

However, Hickey’s assertions should perhaps be taken with a pinch of salt following an additional, and laughable, claim that Sony is prepping a Blu-ray free version of PS3: “We are also hearing continued speculation that Sony is working on a non-Blu-ray PS3 console, which could enable them to make the aforementioned hardware price reduction.”

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Whilst the dropping of Blu-ray is of course nonsense (would Sony really announce a PS3 unable to play any PS3 games?), Hickey is hardly alone in predicting a drop in price for PS3. US retail GameStop stated in March 2008 that it expected a fall within the year, and renowned analyst Michael Pachter predicted a drop will be announced in April.

And with Sony suffering a year-on-year fall in PS3 unit sales last year in North America, PS3’s highest-in-category RRP is becoming increasingly problematic for the firm – particularly in the current economic climate.

An increasing number of observers have become certain that Sony will announce a PS3 price cut following the end of Sony’s financial year on March 31st, with SCEE boss David Reeves earlier this month saying: “Will PS3 be the cheapest player by end of ‘09? Probably not – but it will make progress.”

If one thing is for certain, it’s that Sony has lofty goals for 2009. Though LittleBigPlanet and MotorStorm were known to be in the works for PSP, the surprise announcement of the games yesterday – along with confirmation of Assassin’s Creed and Rock Band for the machine – was surely engineered to make a big statement.

Unit velocity

posted by M.I.S. Feb 25, 2009 at 12:19 pm
1
M.I.S.

"Unit velocity"?

The all-singing, all-dancing PS3 now winging its way to a store near you!!

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Re: Unit velocity

posted by Dave Feb 25, 2009 at 12:26 pm
2
Dave

Who cares about Blue-Ray anyway, I work for Sony Vaio and 90% of customers i deal with never use their Blue-Ray drives

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Re: Re: Unit velocity

posted by Chris Feb 25, 2009 at 12:37 pm
3
Chris

"Who cares about Blue-Ray anyway, I work for Sony Vaio and 90% of customers i deal with never use their Blue-Ray drives"
Aren't all the games on BluRay media?

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Re: Re: Unit velocity

posted by Chuck Feb 25, 2009 at 12:59 pm
4
Chuck

@Dave
You can't even spell Blu-Ray correctly and you say you work for Sony Vaio. Thats funny.

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Re: 'Blue Ray'

posted by Tasche Feb 25, 2009 at 1:23 pm
5
Tasche

@Dave - Who cares about 'BlueRay' (sic)?

Well only several million people -
http://www.mcvuk.com/news/33339/Blu-ray-approaching-100m-disc-sales" onclick="window.open ( this.href ); return false;" class="comment_url" >http://www.mcvuk.c...sales

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Re: Re: Re: Unit velocity

posted by Dave Feb 25, 2009 at 1:42 pm
6
Dave

1> its know as BD in tech terms
2> Last time i checked its was blue not blu in the English Dictionary.
Whats funny is someone pointed out a corperate slang word , which is a miss spelling of a basic English word.

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Re: Re: Re: Re: Tasche

posted by Dave Feb 25, 2009 at 2:06 pm
7
Dave

Opposed to what a several Billion units in DVD sales or a couple of 100 million in downloads????.
Numbers are tiny in comparsion

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BluRay

posted by Danny G Feb 25, 2009 at 3:52 pm
8
Danny G

Im with you Dave. I own a PS3, I own BluRays. I think that the movies look awesome on BluRay. I take nothing away from the format. What I do think, however, is that there is not a sufficiently massive difference (VHS -> DVD was such a differnce) in quality and features to make this format needed. Whilst the 'tech-heads' or whatever will lust after the ultra sharp images, my Mum doesn't notice a difference, and would never pay 4 or 5x the cost for the same film on BluRay that it would cost on DVD.
DVD is a superior format to VHS, not only because of image and sound quality, but because of features and price; 2 things that BluRay hasnt greatly improved on. Sure, the quality is there, but there are no greater features than you can get on a half decent DVD player.

To top if off, BluRay is awesome, if it was to be the same price as DVD, then we might have a different situation on our hands. Sadly, the price difference is too big.

And whats with the stupid boxes? I was more than happy with DVD size/shaped boxes. BluRays dont even fit in my DVD stand properly!

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Re: Re: Re: Re: Re: Tasche

posted by chillisteak Feb 25, 2009 at 4:00 pm
9
chillisteak

Blu-ray not blue-ray.....
the format name is blu-ray now blu may be a slang for blue.
but thats not how sony decided to market the tech name so you have it completely wrong.
perhaps your customers don't use their blue-ray drives because they don't exsist.
get some product knowledge, and maybe the people you sell them to will use them.

and on that note sony won't release a ps3 with out blu-ray because it wont be able to play the games, plus blu-ray is a strong selling point for these machines.

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Re: Re: Re: Re: Re: Re: Tasche

posted by dave Feb 25, 2009 at 4:21 pm
10
dave

I am well aware how and why they came up with the name.
Simply down to the BLUE violet light on the lens, that a blue beem now not blu lol.
Secondly i'm well aware of all the specs of every system even down to what companies make what parts.
Its simply not needed and the market is not ready for it. if people like Blu-Ray fair play delighted for them, but from a personally point of view i think its a farce.

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Re: Re: Re: Re: Re: Re: Re: Tasche

posted by Rob Feb 25, 2009 at 4:55 pm
11
Rob

Re Dave
I can understand your point about Blu-Ray and that many will see the "added value" the format offers as limited, but the fact remains that all the games made for PS3 are on the Blu-Ray disc format (and have been since day1).

Surely you aren't suggesting that all the existing game stock is run down and re-made for a non Blu-Ray PS3???... thats nonsense... and it mentions as much in the actual article above.

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easy guys easy

posted by games direct Feb 25, 2009 at 5:49 pm
12
games direct

sony took a big gamble with blu-ray from day one, brand new machine with a brand new format for dvd and media.

only time will tell if it pays off. without joining the shouting match to much , i remember when betamax was a great format and vhs won the battle. could this be the same battle

main problem with ps3 and blueray, is not everybody wants a all singing all dancing machine, they want to play a few games and watch a few dvds and at £129.99 the 360 is cheap and easy to use. if the ps3 price drops then maybe it will have a chance, as i see it people are losing jobs, and are not going to blow £300 on a ps3 and maybe even a new telly just to watch a blu ray film.

as a film/dvd collector, i like my normal dvds and quiet happy with the upscaled image from 360, i dont want to rebuy all my classic films again and if i did have blu ray i am not going to buy run of the mill films or kiddie films on blu- ray disc. the only films you are going to pay extra money for are big blockbuster films with lots of action and effects

many companys have in the passed had to back track with hardware and while the chances of ps3 being a non blu ray format is unlikely maybe the chances of another machine being release whichs uses normal disc could be more likely and before you shoot me down on this, how many models of the ps3 have there been since launch ? 4 so far.

what ever happens , as a indie game shop we hope sony get it right soon, so we can sell more of there product because at the moment it is not doing well and i think after 2 years since release, it should have kicked off by now.

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Re: : Tasche

posted by Dave Feb 25, 2009 at 6:12 pm
13
Dave

I never mentioned that or said anything like that, what i said was Blu-Ray is a technology that is not really needed at the moment, i really cant see the point of it.
DRM on the disks is putting alot of people off the format as well, technically if you buy a Blu-Ray disk it may not work, there is a disclaimer stating it may not work in short .

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Re: Re: Re: Re: Re: Re: Re: Re: Tasche

posted by anon Feb 26, 2009 at 3:29 am
14
anon

Dave - Blu ray is certainly better than any Vaio that 90% of consumers don't care about.

Danny G - if you think Blu Ray is no better than DVD or not significantly (audio and PQ), may I suggest you get a decent AV set up; even my DVDs are upscaled

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: Re: Tasche

posted by Dave Feb 26, 2009 at 9:50 am
15
Dave

Upscaled ???? again see my previous points. 50 inch full HD TV with a PS3 on HDMI thats my rig.
As far as i can see Blu-Ray is built up by PS3 owners to justify having spent 400 euro on games console with very few decent games.
Just cause i work for a certain company doesnt mean i have sing from the hym sheet, i used to work for Dell as well and i hate them lol.

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Re: Re: Re: Re: Re: Re: Re: Re: Re: Tasche

posted by Noob Feb 26, 2009 at 9:59 am
16
Noob

It know the thought of Blu-ray being hacked out of PS3 has been repudiated by many here but it is not beyond possiblility.

One already has to 'install' many PS3 games to to HDD before playing, so what difference does it make if they are DVD or BD?
Many games are smaller in size than a DVD-9 anyway (just the data is duplicated in different places on the BluRay disk for faster load times). There are larger games, of course, (MSG4 for example) but these could just come on multiple DVDs. One to Install (texture etc) and one you put in the PS3 to play the game (main game engine).

There is of course the problem of back catalogue, but if all PS3 games came as DVD in the future, both the old and new PS3 would be able to run them. Back catalogue could be download only option. This would have the added benefit of destroying the used market for older PS3 games.

Just a thought.

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price cut

posted by geeQ Feb 26, 2009 at 10:58 am
17
geeQ

A price cut in North America may well be just around the corner, however here in the UK I would not expect any sort of cut until around September time. In addition when it does come I think some may be disappointed to realise that Sony will only be shaving £50 off the price, bringing the RRP down to £249.99.

@Noob
On PlayStation 3 the entire game is not installed to the hard drive, usually only a small portion is cached to improve load times etc. Unless of course you buy a downloaded version.
Also from my understanding it's actually XBox360 developers that use the 'padding' idea for dvd. The speed of Blu-Ray is constant, regardless of where your data is on the disk, which is not the case for dvd.
What PS3 developers often do with the extra space of Blu-Ray is include all localised versions of the game for different regions on the one disc, therefore saving duplication costs.

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Re: Re: Re: Re: Re: Re: Re: Re: Re: Re: Tasche

posted by Chris Feb 26, 2009 at 11:05 am
18
Chris

the idea that sony could remove blu ray from ps3 is simply insane, it would cause mass consumer confusion over which software would work and no one would buy their system. end of argument.

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PSP

posted by Noob Feb 26, 2009 at 3:41 pm
19
Noob

Sony are reportedly working on a UMD-less PSP. (there have been job ads for testers)

Maybe thats where the confusion has come from?

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Anon

posted by Danny G Feb 26, 2009 at 5:25 pm
20
Danny G

Anon - I suggest you re-read what I wrote.

If you do, you will see that I clearly state that the audio and picture quality IS superior.

I know I prefer DVD to VHS for those reasons, but also the ability to Skip Chapters, not having to rewind. Decent pausing. A-B Repeats. Repeat in general. A huge list of features, which I know that BluRay does, but why do I need to get something in super high quality, when for a fraction of the cost I can get it in standard definition.

Price is a huge factor for Joe Public. BluRay is too expensive, at least at the moment, with too few benefits over DVD.

Tl;Dr version, Anon, as you clearly didn't read my last comment. Read comments before you post one yourself.

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Blu-Rayless PS3

posted by Jeff Mar 02, 2009 at 4:51 pm
21
Jeff

Not that I believe it likely, but it would be entirely possible to have a PS3 without Blu-Ray. Solution: all downloadable games. Of course, this would hint at a much broader strategy shift.

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Re: Blu-Rayless PS3

posted by Stagga Mar 05, 2009 at 10:56 am
22
Stagga

The idea of a PS3 without a Blu Ray drive is utterly stupid. All the games made so far use that format so are people seriously considering a company might bring out a product that makes no use of the titles they've already published? And since Sony makes more money from games than it does from hardware this idea seems even backwards.

Now about the reason Blu-Ray is included in the PS3. Doesn't anyone remember that competition last year between Sony and Toshiba for market domination? Blu-Ray won because it had a much larger established user base, predominantly PS3 buyers. HD-DVD is no more so assuming that eventually DVD will be replaced by an HD disk and Sony owns the rights to the only HD disk on the market then the company stands to make a large profit! Putting Blu-Ray into the PS3 (and even losing money in the short term) may turn out to be one of the smartest decisions that Sony have made.

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