Petition for immediate PS3 price cut
by Peter Vrabel 
{ May 17th 2007 at 11:00PM }
I'm all for signing petitions. I did it once to save a tree in New York. Well it just so happens we found a petition to lower the cost of the PS3. Yet, seeing as how Sony took a major hit in the pocketbook with the PS3, asking them to lower the cost via signed petition is like haggling over a $0.10 candy bar that should've cost $1.00. Some Sony executives are still quick to point out the value in their PS3 price point, so asking for a price cut now is really just wishful thinking. Perhaps if Sony has a few major hits with their upcoming software lineup, it will escalate the call for a price cut but for now, the prospect is ludicrous. The mere act reeks of self indulgence with little regard for the cold facts on Sony's manufacturing costs. The PS3 parts will get cheaper to manufacture over time but they aren't quite there yet. It just doesn't make any financial sense to lower the PS3 right now. Maybe in five months, but not now. But hey, go ahead. Sign the petition. Can't hurt, right?[Via digg]
Reader Comments (Page 1 of 1)
kingofwale @ May 17th 2007 11:04PM
why don't we make a petition to make Sony sell PS3 at $12.99?
or better, just give me $400.
Next-Gen-Gamer @ May 17th 2007 11:23PM
I don't think many people expect this to do anything but die. There's not even enough games to support a price drop. What happens if they drop it to $400, and no one buys it. Or how about the fact that Microsoft has a gun to Sony's head. This petition works, the PS3 drops to $400, and Microsoft pulls the trigger, ending the PS3's life by scrapping the core and bumping the premium to $300.
John @ May 17th 2007 11:27PM
Wow, Mr. Vrabel. You called it. Brought it real. I wish people would realize this shizzle.
John @ May 17th 2007 11:29PM
Next-Gen-Gamer is of course an oxymoron, (look it up in that thing we call a dictionary) since of course he is a spokespiece for Microsoft)-- if he called himself 1.5-Gen-Gamer, at least he'd be being honest.
Microsoft doesn't have a gun to anybody's head except the people who are committing suicide. Put Microsoft in your mouth, suck long, and die hard.
Strike Man @ May 17th 2007 11:34PM
"Put Microsoft in your mouth, suck long, and die hard."
And here I am thinking this discussion couldn't sink any lower...
Next-Gen-Gamer @ May 17th 2007 11:38PM
Nice. Let's all play "Bash the Realist".
John @ May 17th 2007 11:39PM
Next-Gen-Gamer is of course an oxymoron, (look it up in that thing we call a dictionary) since of course he is a spokespiece for Microsoft)-- if he called himself 1.5-Gen-Gamer, at least he'd be being honest.
Microsoft doesn't have a gun to anybody's head except the people who are committing suicide. Put Microsoft in your mouth, suck long, and die hard.
Edge of Blade @ May 17th 2007 11:39PM
For the good of a company who COULD do things right if given the chance, I, a longtime Sony-hater, will sign that petition.
iRoy @ May 18th 2007 12:33AM
How about a petition to make people stop being so damn cheap?
The PS3 is worth every penny, a price cut would be stupid.
davebo @ May 18th 2007 12:49AM
PS3 is worth every penny to the select few to whom it actually is worth every penny. For a lot of people (without hdtv's or interest in blu-ray) it's really overpriced given the games currently available. This will all change in time, but online petitions won't be what changes it.
TK00 @ May 18th 2007 1:19AM
Definitely a pointless petition.
Whether or not the PS3 is worth $600 is completely irrelevant. Its too expensive, especially compared to the competition. Everyone can see this, including Sony, simply by looking at the sales numbers.
One can only assume that Sony plans on maintain playstation mind-share with strong sales of the PS2; perhaps they'll cut the price when that starts to dwindle.
bootsielon @ May 18th 2007 1:29AM
I don't think microsoft "pulling the trigger" would kill the PS3. If the PS3 is $400 by October (making Sony not lose any money by then, or at least a negligible amount), and Microsoft lowers the Premium to $300, but remains with the Elite, I don't see how PS3 would be dead.
PS2 and Xbox were always more expensive than Gamecube, and where's the gamecube now? You're right, the gamecube is the most successful console right now... oh wait ;) Sorry ninty fans, had to do that cheap wii old joke. Anyway, the gamecube failed.
I think that people can swallow the PS3 being $400 if some were able to swallow that it was $600 (well, it still is), let alone that people were able to swallow a $400 Xbox 360.
If PS3 ends up having a $400 price tag by november with Sony incurring in very small loses (lower half two-digit numbers), then the brand, WiFi, larger HDD, HD-player and some good games will help PS3 sell faster than the Xbox 360 originally did when it was (still is) $400 when it launched with not many games (but of course, Xbox 360 could outsell that with more games and a $300 price tag).
yomanDS @ May 18th 2007 2:12AM
What purpose does a petition serve in this instance? To tell sony people want a cheaper PS3. Sony executives never could have come to that conclusion on their own. People actually like affordable things, when did this happen?!
Technology does get less costly over time. However, in order for sony to drop manufacturing costs as fast as some of you want them to all they need is one thing...magic. You expect too much too fast.
@John
When I read you calling Next-Gen-Gamer an oxymoron, I was thinking it didn't really sound like an oxymoron. I actually looked up the defintion as you suggested to see if I was right. Next-Gen-Gamer is NOT an oxymoron.
"Put Microsoft in your mouth, suck long, and die hard."
Die Hard 4 movie title confirmed.
mccomber @ May 18th 2007 2:24AM
Price isn't the biggest problem; lack of desire is. If you make people want something, and they can find a way to afford it, they'll pay whatever you ask. Steve Jobs could tell you that much.
The ps3 could easily sell at $600 if the content was there to support that price, plain and simple. Luckily that content seems to be on the way, the problem is that with a launch a year late and the games we all want at least a year after that, 360 basically has a two-year headstart on the ps3. A price drop wouldn't hurt anything, but it needs to have the games people want before we'll see big sales.
Next-Gen-Gamer @ May 18th 2007 2:27AM
Thank you, bootsielon. Even though I'll respond to your counterpoint with one of my own, I must say one thing. Its nice to know that someone else went the intelligent route. Its been awhile since I've had civil debate and discussion, what with John claiming everyone who makes a negative point about the PS3 being an "xbot" and all.
If its a matter of dropping the price due to manufacturing costs lowering and losses lowering, then I would agree with you that the PS3 isn't dead. However, if we're talking strictly this petition, I think the PS3 would get buried if Sony just suddenly dropped it to $400. Microsoft would likely keep their Premium at $400 for a few months, and if the PS3 started putting up a fight, I think they'd drop it to $300. As good as that lead is, Microsoft doesn't want to get into a brand war with Sony at $400 vs. $400.
On a similar note, I want to get your opinion about something. Not to start flames or anything, as I've been asking a many people this. With the Wii supposedly selling 7 million in 6 months, do you think we'll start seeing Sony and Microsoft hammer home the "it isn't our competition" arguement?
I figured I could ask you, since you seem to be capable of answering without going "OMG STFU WII TROLL!!!" (because apparently, even when its a part of the discussion, its against the law to talk Wii here).
Adrian vG @ May 18th 2007 7:58AM
What about a petition to release some games worth buying?
Popfrogs @ May 18th 2007 8:17AM
The price of the console doesn't matter, content does. That's the main thing the PS3 is lacking.
Sony is accustomed to operating in a vacuum and doing things at their own pace. They're a typical stodgy corporation that watches their competitors but don't take drastic measures to correct failures. The US launch, honestly, could have gone better. The European launch didn't do too well either. Europeans love soccer and other euro sports games, and they still don't have FIFA or anything else to play.
Not only that but compared to the X360 the PS3 is lacking a ton of functionality. Where is all the network sharing stuff? Why can't people do simple things like play their own music in games, watch their videos from their PC or even change the background in the XMB? All of these features should have been there from day one. If you expect the PS3 to be a media hub, Sony, MAKE IT ACT LIKE ONE.
Once they work out all the kinks and add things to be *competitive* as well as get some must-have games into the market, we'll see it start selling more, regardless of whether or not it gets a price cut.
shase @ May 18th 2007 9:29AM
It's ridiculous for a petition and it's equally so to expect it to drop it down to 400. If there's a drop it will most likely be 500 and i think Sony will do it a little after the Lair, heavenly sword etc. games come out - because those games will sell consoles and they would want to milk that first. Also if MS drops Sony should definitely drop or else they will be in deep trouble. Either way I see a price drop before the holiday season.
Next-Gen-Gamer @ May 18th 2007 10:22AM
shase
I don't think anyone is trying to say it would drop as low as $400 so quick. The only reason I used $400 is because that's the best way to show what may or may not happen in a competitive brand war. If it was $500, then I wouldn't have even bothered.
Although, to be completely honest, the PS3 has a pretty good shot at doing better at $600 than the 360 Elite does at $480. Its just the Premium it has to worry about (I'm sorry Xbox lovers, but no one cares about that HDD-less Core).
atsui @ May 18th 2007 11:00AM
Petitions are pointless and bringing them up is a waste of time. Damn fanboys.(and I come here for some good ps3 news just in case someone has to ask why I'd come to a fanboy site.)
Jeremy @ May 18th 2007 11:10AM
To expand on #10's point, the PS3 may be "worth every penny", but items like Blu-Ray are currently luxury products. To make a (poor) analogy to another luxury product, a $2000 diamond selling for $1000 may be "worth every penny" but you still won't see people rushing out the door to buy it. It will only find buyers among those already looking to buy a diamond.
It sounds like Sony is going to be in a position to drop prices by the fall. The most common scapegoat for the high prices has been the Blu-Ray drive, and it only took them 6 months to bring the price of that down to within a few 10's of dollars of a DVD drive. With that problem removed, Sony should be able to get their production costs to within $100 of the 360.
If M$ pulls the trigger on a price drop, Sony HAS to respond. The current $200 gap between the Premium 360 and the PS3 is too much (the current sales figures prove this). A $300 gap would effectively bury the PS3. I think Sony would be very competitive with a $100 gap. The question is, can Sony close the gap even after a 360 price drop? I don't think there is any question they can sustain a $100 price drop this fall. But can they sustain a $150-$200 price drop to close the gap after a 360 price drop? I don't think they have any problem taking a $10-20 loss on each console (they would make that up after the second game sold). The question is whether they would be willing to take a $50-80 dollar loss. The answer to this lies in how confident they feel about Blu-Ray taking the market over from DVD. If they feel like they can use the PS3 as a trojan horse in the home movie market, the royalties they will collect on every movie sale will quickly make up for a few PS3s sold for a loss. Of course, Blu-Ray could also go the way of the LaserDisk.
Oz @ May 18th 2007 12:18PM
Does anyone know what they are currently losing per console now?
Jeremy @ May 18th 2007 12:39PM
@22
No, I don't think anyone outside of Sony knows the answer to that one. The most recent estimate I've seen done by professionals (Sony will never release the actual numbers) was from the fall. I'd guess the number is somewhere below $100 (down from $240) with the improvements coming from cheaper Blu-Ray diodes, improved mobo design (and chip consolidation), and mass production. The real wild card is when they manage to migrate the Cell and RSX over to a 65 micron process. That will save them another $100 easily.
Oz @ May 18th 2007 1:26PM
Yea I remembered the original release they were loosing quite a bit which was making me think how much has it improved since then.
In any case, Sony is probably working hard towards a price drop or at least I would hope so. Its been rumored for a while that M$ will do a price drop soon. A perfect time I can see them doing it is with the release of halo3. Which would leave, like you were saying Jeremy, Sony no choice but to do it. Hopefully though M$ does not do a price drop and Sony can do it at their own pace, because just to do it for the sake of competition can be a problem financially for them. We still don't have enough games and we probably won't till 2008.
While the Sony's convention the other day was impressive and had me wanting a couple of those titles. I still don't think any of them are going to be system sellers. Lair looks pretty but I think it is going to be a flop in my opinion. Heavenly Sword will do well but its not going to be their savior. Little Big Planet and Home are pretty effin cool but I don't think it will have people rushing to the store to get a PS3. I am not fretting though I still have faith in my PS3 its really all about patience atm.
Jeremy @ May 18th 2007 1:54PM
I'm being a little anal here, but this line really bothered me:
"Hopefully though M$ does not do a price drop and Sony can do it at their own pace, because just to do it for the sake of competition can be a problem financially for them."
I don't see why you (we) should care at all about the financial fortunes of Sony. They certainly don't care about your financial situation. If Sony was forced to drop their price early they wouldn't make as much money on the console, but they certainly would not go bankrupt. From my perspective (a future PS3 buyer) and yours (a current owner), the best thing Sony can do is to drop the price. That will increase the install base, stimulate more interest from developers, and ultimately lead to more and better games.
Oz @ May 18th 2007 2:10PM
Nah I see what your saying, but that not what I was getting at. I really could care less about their financial situation also. However, if the ps3 continues at a trend that it is going selling between 80k to 100k units month and are forced to a price drop where there are still sub par games available and nothing changes. I personally think they would scrap the ps3 because from a business stand point why would you continue it.
mccomber @ May 18th 2007 5:05PM
"I personally think they would scrap the ps3 because from a business stand point why would you continue it."
Because they've already invested the majority of the money that will go into the PS3 hardware. From a purely financial standpoint, the worst is behind them. If it truly fails in every way, they may not do a ps4 (doubtful) but there is no way they'll just give up on the ps3 completely. Spending on their game division would go way down first, and the ps3 would become the "ignored" system by all, but it's not going to flat-out disappear.
Thinking so is either wishful or fatalistic thinking, depending on who you are.
bootsielon @ May 18th 2007 6:43PM
Next-Gen-Gamer:
STFU ;)
No, but seriously. Thanks for making the clarification, I was starting to think you were a tad biased, but I guess I was wrong.
On your question, well, you know how public relations representatives are. They're not gonna say "Oh well, at least we're selling something" or "We're losing". They're gonna say that the Wii is a different market, and that Xbox 360 or PS3 will last more time. If the Wii keeps having some steam, I see Microsoft and Sony trying to lower their prices as fast as possible, and to deliver Wii-like experiences.
To be honest, even when I have a 360 and a PS3, I have yet to get a Wii. Supply constraints aside, I'm just not excited for the Wii. Wii sports is fun, but it's not worth 250. Zelda is awesome, but it's not worth 250 since I have a gamecube and I can play it fine there (I still remain unimpressed with the Wiimote; even though I was its biggest supporter, I was disappointed). Paper Mario looks cool, but I need more single player exclusive Wii games (I know there's Elebits, but I want something more "Epic" in scale), and cool Online multiplayer games (Like some co-op, but not an FPS). Party games just won't cut it for me (Wii play, WarioWare, Wii Sports).
Oz @ May 18th 2007 7:47PM
@mccomber
That is what i was trying to get at but you worded it better. I really don't think they would just scrap it but I can see them not putting as much effort as they are now which in turn would suck for us. In any case I really do think PS3 is going to be just fine. I don't want anyone thinking I am being negative towards it.
Next-Gen-Gamer @ May 19th 2007 5:53AM
bootsielon
Yeah, in terms of new exclusives, it'll be a few more months before the Wii gets anything. Same for online play. As much as Pokemon is sellin on DS, I don't expect PBR on the Wii to be very entertaining. I think that, when it comes to online gaming, the Wii will find a killer app. in BWii (Battalion Wars 2). Its somewhat in the vein of BattleFront.
Oddly enough, I've been enjoying ports. I picked up Splinter Cell: Double Agent towards the end of last year, and I've played through it twice. The controls obviously weren't tailor-made for the Wii, but it does drive home the point that the Wiimote/Nunchuck can make complicated schemes like Splinter Cell extremely simple, without making the game easy. To be fair, I played very little of the original game on PS2, played through Chaos Theory once, and skipped the PS2's Double Agent.
Wii aside, this Spring has been terrible for releases. I find myself looking forward to Summer, which is sad. Then again, the Wii goes online this Summer, and a few good games are making it out on all three consoles. There's also a beta or two worth checking out.
As for me being bias, many (on here at least) would be surprised just how much I play PS3. Hell, I comment on here all the time, and hardly ever on nintendowiifanboy.com and xbox360fanboy.com. The 360 hasn't had squat that's interesting to me lately, and Nintendo Wii Fanboy is just a dull site. No disrespect to the guys and girls who post over there, but damn. When half that articles are about Miis, I get bored.
Ghen @ May 19th 2007 9:15PM
I don't care how much it costs to make a PS3, thats not my fault. I'm still not paying $600. At $500 I'll bitch and complain as my credit card gets swiped.. and then I'll pull whatever games I missed out of the $30 bin.
Patience = winnar