Sony has been losing money on its 60 GB PS3 on since it was introduced in the UK. Sales volume was lower than expected - with one important factor is the high launch price. The pattern is very similar in other countries worldwide.
The new PS3 40GB, 2007 in Great Britain on 10 October is the result of some significant cost reduction efforts on the part of Sony. Most of the changes were, after discussion with PS3 users. Sony advisesthat the changes you made after "feedback from thousands of existing PS3 owners as well as research into future potential PS3 owners."
Perhaps one of the most controversial decisions was the lack of backward compatibility with both PS1 and PS2 games. But 's research seems Sony points out that this is not an important factor for new users. Probably everyone who has a lot of PS2 games, also has a PS2 console on which they play. Backwards compatibility with PS1 andPS2 games was one of the more expensive items on the earlier PS3 version to implement.
Here is a nice quote form Ray Maguire, managing director of Sony Computer Entertainment UK:
to "When we meet is our first PlayStation Christmas approach, it can offer UK consumers the choice of two PlayStation 3 packages both now representing remarkable value"
And there is no doubt - it looks like a better deal for consumers. It seems like a very aggressiveMarketing strategy by Sony prior to Christmas.
It is worth noting that Sony intended that only the 40GB PS3 is the future in the UK. The price drop on the 60GB model is to their sales between now and Christmas and take advantage of increasing the existing stock. Under the current stock of 60GB PS3 consoles, only the 40GB version has been used for the public available.
Sony also admit that it has been losing money on the 60GB consolessold to date and, more surprisingly perhaps, admit that this will continue, even at the reduced cost 40GB console. You will lose less money than before, but they will still lose.
Another factor that sales between now and Christmas is the increasing number of PS3 games are at your disposal will help.
Latest Nintendo games console market leader, advised that there were no plans to cut the price of the Nintendo Wii. According to George Harrison, senior vice president of marketing forNintendo America: "We are still selling everything we can do."
Microsoft's Xbox 360 had a recent price cut in August 2007. With the release of the latest offering in the hugely popular Halo series, imaginatively titled "Halo 3" which currently appears only on the Xbox 360, a cut in the Xbox price is unlikely in the near future.
