Price Drops and Upgrades; Speculation and Confirmation - All Platforms
02-10-07, 10:51 AM
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Price Drops and Upgrades; Speculation and Confirmation - All Platforms
I don't think there has ever been a time when so many different platforms coexisted. You have two handhelds, three home consoles and their predecessors. Since the dust has somewhat settled on the release of those systems I thought I would start a thread on the next major things to happen to the hardware. Namely price drops and upgrades. This will be the thread to go to for information on either.
DS Lite - I was surprised when Nintendo sold the DS Lite for the current price of $129 instead of charging $150 which they could easily have done. Noone sees a price drop anytime soon. There has been some speculation of an upgrade but no confirmation or even whispers and definately not in the next year.
PSP - Although it initially released for less then what people speculated it is still pricey compared to Nintendo's more sucessful offering. Rumors are that a PSP with GPS and a built in hard drive are comming. Although when and for how much are still unknown.
PSP is now $169.99
Xbox & GC - Basically left for dead it is difficult to even find an Xbox in the store. GCs are still more prevelant. I don't know if either company will officially clearance them out or not. They definately have stopped manufacturing them for quite sometime.
PS2 - The king of last generation was still the king of the holiday season with PS2 sales still quite high. I have been waiting to see if there would be any news of a price drop but there doesn't seem to be any indication whatsoever. With sales still brisk and the price difference between the PS2 and PS3 being very large I don't think Sony feels like they need to drop the price on this still relevant console.
Xbox 360 - Since MS has already had the benefit of manufacturing the Xbox 360 for a year their manufacturing cost has already dropped so that they are making a small profit on the system. They seemed poised for a price drop. That being said rumors are that a new smaller, cooler processor coupled with a built in HD-DVD drive (unlikely), HDMI, and larger hard drive could make its way into an Xbox 360 package. But what would MS charge for this? Would they then drop the price of the other two units? Would there be possibly THREE SKU's for one system? I really wonder what they will do here and when is it coming. With the PS3 in the state that it is in MS has a chance to win more people with a price drop or upgrade.
So, without further delay, the specs:
* Uh, it's black
* HDMI port and HDMI cable (oh, you bullies!)
* 120GB hard drive (but you told us 20GB was more than enough!)
* A $479 price tag (ouch!)
* No HD-DVD integration (yup), the "format's not proven" (pssst, and it's being outsold)
* The 120GB hard drive will be available for under $200 (uh, we certainly hope so!)
* It's coming in "late April"
Engadget adds:
* Dubbed the Xbox 360 Elite
* Limited-edition; probably a couple hundred thousand units
* Case, controller, and headset will be black; new packaging
* Confirmed: 3rd SKU; sold alongside Premium and Core bundles
* Elite runs cooler than other models
* Eventually Elite hardware (in white) will replace Premium; estimated to be in late summer or fall
Our questions:
* Where the hell is the built-in WiFi? Seriously. Our DS Lite has it built-in -- and DS is only $30 more than the 360's adapter! (Engadget: "There are no current plans to integrate WiFi into the Elite or future Premiums...")
* Will this be a third SKU, or will they finally pull the Core? Yeah, #3.
* Will the Zephyr Elite release come coupled with price-drops for the other SKUs? (Engadget: "Prices may remain the same with the 120GB / HDMI hardware upgrade in the Premium Xbox, but we may still see a price cut on the line when 65nm chips start shipping.")
* Does this model have the desirable, albeit delayed, 65nm chips? (Engadget: "not yet confirmed to have 65nm chips.")
* How pissed off will early adopters be?
PS3 - Although Sony did a last minute price drop in Japan before launch due to negative feedback it doesn't seem likely to drop the price of this very expensive console. Many reports indicate that Sony is losing quite a bit of money on each unit sold. A price drop is highly unlikely although it could help sell more units. Then again a price drop so quickly may be like admitting that there is a problem with the sales numbers.
Sooner rather then later?
"A price cut for the PlayStation 3 games console may be in the cards as Sony Corp (NYSE:SNE - news). looks to strengthen the platform and expand its penetration.
Sony said Thursday that both pricing and production volumes are under review as it looks to take its next steps now that the third-generation PlayStation has been launched in Japan, North America, Europe and Australasia. The company stressed a price cut is not imminent, however, meaning it may still be weeks or months away.
Sales of the console have been lackluster in some markets due to the popularity of Nintendo Co. Ltd.'s Wii. The rival console, which features wireless motion-sensitive controllers, surprised many by outselling the PlayStation.
Sony has stuck to its launch estimate of shipping 6 million PlayStation 3s before the end of March, which marks the end of its financial year. The company is due to announce its results for the period along with console shipments in mid-May.
On Thursday Sony also said its European PlayStation operations could see layoffs as part of a restructuring.
Up to 160 jobs could be lost at Sony Computer Entertainment Europe Inc., the Nihon Keizai Shimbun newspaper reported, quoting an e-mail message sent to staff on Monday from company President David Reeves.
Sony Computer Entertainment Inc. in Tokyo said its European unit is considering the reinforcement and streamlining of its operations to remain competitive, but that no restructuring has taken place yet.
Sony had already been eyeing cost savings from using a more advanced technology to make the Cell processor, which sits at the heart of the machine. First generation consoles used chips made on a 90-nanometer production process, but Sony will switch soon to chips made on a 65-nanometer line. Those chips are 40 percent smaller and thus cheaper to make.
Sony hasn't said when the 65-nanometer Cell will begin appearing in the PlayStation 3, but in mid-March IBM Corp., another of the companies that makes the processor, said it had begun making the more advanced chip.
In January, when Sony announced its third-quarter earnings, Chief Financial Officer Nobuyuki Oneda ruled out the possibility of price cuts for the PS3 in the near future, but hinted it could happen in two or three years' time. That thinking has apparently been revised."
Yes-No-Yes-No-Yes.........No.......
April 19, 2007
Sony: Confusion Over PlayStation 3 Price Cut Comments
Sony has moved to deny reports that the company is considering an early price cut for the PlayStation 3 in North America and Japan, despite comments by Sony president Ryoji Chubachi which appeared to suggest just such a move may be forthcoming.
Chubachi was originally interviewed by British newspaper The Financial Times, in which he stated, "We are re-examining our [PS3] budgeting process in terms of pricing and volume. Sales assumptions change and the market is competitive. We are in the midst of revisiting our strategy for the PS3."
Despite the relatively unambiguous nature of his comments, Sony has moved quickly to refute the story, with spokeswoman Mami Imada saying in a statement that, “PS3 prices and shipment plans for the future should be determined by market trends and competition. Sony currently doesn't have any specific plan to cut the PlayStation 3's price”.
The high price of the PlayStation 3 console has been widely blamed as the primary reason for a perceived lax demand for the hardware. However, the current high cost of manufacturing the console has previously been seen as a serious obstacle to an early price cut by Sony.
Elsewhere, Sony has recently been indicating that its global game group operations may see more 'streamlining measures' such as those recently proposed by SCEE which threatened to cut nearly 10 percent of its workforce.
SCE spokesman Satoshi Fukuoka spoke to Reuters, indicating that "....other regional operations, such as those in the United States and Japan, could also take some streamlining measures," though he adds that "nothing has been decided."
POSTED: 05.41AM PST, 04/19/07 - David Jenkins
Price drop on the PS3 by....2009?
It's no secret that the Cell chip, currently bloated by 90- and 65-nanometer circuitry, is driving up the cost of PlayStation 3. Sony hopes to improve the chip's profitability by moving to 45-nanometer circuitry, in turn, driving down per-chip production costs. Commercial production of the 45-nanometer Cell is expected to begin by early 2009, which could indicate that a significant PS3 price drop (or perhaps, a slimmer model to compliment the even tinier new chip) would follow later in the year -- assuming that Blu-ray drive costs would have also dropped by then.
Of course, the equipment needed to manufacture the 45-nanometer chips would require a steep initial investment, suggesting that Sony may cease in-house production of the Cell and outsource the process to companies that specialize in chip-making. Expect Sony to be making calls to Taiwan Semiconductor Manufacturing Co. Ltd. and United Microelectronics, the world's two largest contract chip makers, any day now.
Wii - Priced higher then people were initially hoping, that disappointment has faded in the recent craze and popularity of the system. With a pack in game and a price much less then the competitor it would seem like Nintendo doesn't need a price drop at all. But on the other hand they are making money on each unit sold. Many people expect them to unpackage Wii Sports at some point and drop the price to perhaps $200. When this will take place is anyone's guess. Could be sooner rather then later though.
Thoughts?
DS Lite - I was surprised when Nintendo sold the DS Lite for the current price of $129 instead of charging $150 which they could easily have done. Noone sees a price drop anytime soon. There has been some speculation of an upgrade but no confirmation or even whispers and definately not in the next year.
PSP - Although it initially released for less then what people speculated it is still pricey compared to Nintendo's more sucessful offering. Rumors are that a PSP with GPS and a built in hard drive are comming. Although when and for how much are still unknown.
PSP is now $169.99
Xbox & GC - Basically left for dead it is difficult to even find an Xbox in the store. GCs are still more prevelant. I don't know if either company will officially clearance them out or not. They definately have stopped manufacturing them for quite sometime.
PS2 - The king of last generation was still the king of the holiday season with PS2 sales still quite high. I have been waiting to see if there would be any news of a price drop but there doesn't seem to be any indication whatsoever. With sales still brisk and the price difference between the PS2 and PS3 being very large I don't think Sony feels like they need to drop the price on this still relevant console.
Xbox 360 - Since MS has already had the benefit of manufacturing the Xbox 360 for a year their manufacturing cost has already dropped so that they are making a small profit on the system. They seemed poised for a price drop. That being said rumors are that a new smaller, cooler processor coupled with a built in HD-DVD drive (unlikely), HDMI, and larger hard drive could make its way into an Xbox 360 package. But what would MS charge for this? Would they then drop the price of the other two units? Would there be possibly THREE SKU's for one system? I really wonder what they will do here and when is it coming. With the PS3 in the state that it is in MS has a chance to win more people with a price drop or upgrade.
So, without further delay, the specs:
* Uh, it's black
* HDMI port and HDMI cable (oh, you bullies!)
* 120GB hard drive (but you told us 20GB was more than enough!)
* A $479 price tag (ouch!)
* No HD-DVD integration (yup), the "format's not proven" (pssst, and it's being outsold)
* The 120GB hard drive will be available for under $200 (uh, we certainly hope so!)
* It's coming in "late April"
Engadget adds:
* Dubbed the Xbox 360 Elite
* Limited-edition; probably a couple hundred thousand units
* Case, controller, and headset will be black; new packaging
* Confirmed: 3rd SKU; sold alongside Premium and Core bundles
* Elite runs cooler than other models
* Eventually Elite hardware (in white) will replace Premium; estimated to be in late summer or fall
Our questions:
* Where the hell is the built-in WiFi? Seriously. Our DS Lite has it built-in -- and DS is only $30 more than the 360's adapter! (Engadget: "There are no current plans to integrate WiFi into the Elite or future Premiums...")
* Will this be a third SKU, or will they finally pull the Core? Yeah, #3.
* Will the Zephyr Elite release come coupled with price-drops for the other SKUs? (Engadget: "Prices may remain the same with the 120GB / HDMI hardware upgrade in the Premium Xbox, but we may still see a price cut on the line when 65nm chips start shipping.")
* Does this model have the desirable, albeit delayed, 65nm chips? (Engadget: "not yet confirmed to have 65nm chips.")
* How pissed off will early adopters be?
PS3 - Although Sony did a last minute price drop in Japan before launch due to negative feedback it doesn't seem likely to drop the price of this very expensive console. Many reports indicate that Sony is losing quite a bit of money on each unit sold. A price drop is highly unlikely although it could help sell more units. Then again a price drop so quickly may be like admitting that there is a problem with the sales numbers.
Sooner rather then later?
"A price cut for the PlayStation 3 games console may be in the cards as Sony Corp (NYSE:SNE - news). looks to strengthen the platform and expand its penetration.
Sony said Thursday that both pricing and production volumes are under review as it looks to take its next steps now that the third-generation PlayStation has been launched in Japan, North America, Europe and Australasia. The company stressed a price cut is not imminent, however, meaning it may still be weeks or months away.
Sales of the console have been lackluster in some markets due to the popularity of Nintendo Co. Ltd.'s Wii. The rival console, which features wireless motion-sensitive controllers, surprised many by outselling the PlayStation.
Sony has stuck to its launch estimate of shipping 6 million PlayStation 3s before the end of March, which marks the end of its financial year. The company is due to announce its results for the period along with console shipments in mid-May.
On Thursday Sony also said its European PlayStation operations could see layoffs as part of a restructuring.
Up to 160 jobs could be lost at Sony Computer Entertainment Europe Inc., the Nihon Keizai Shimbun newspaper reported, quoting an e-mail message sent to staff on Monday from company President David Reeves.
Sony Computer Entertainment Inc. in Tokyo said its European unit is considering the reinforcement and streamlining of its operations to remain competitive, but that no restructuring has taken place yet.
Sony had already been eyeing cost savings from using a more advanced technology to make the Cell processor, which sits at the heart of the machine. First generation consoles used chips made on a 90-nanometer production process, but Sony will switch soon to chips made on a 65-nanometer line. Those chips are 40 percent smaller and thus cheaper to make.
Sony hasn't said when the 65-nanometer Cell will begin appearing in the PlayStation 3, but in mid-March IBM Corp., another of the companies that makes the processor, said it had begun making the more advanced chip.
In January, when Sony announced its third-quarter earnings, Chief Financial Officer Nobuyuki Oneda ruled out the possibility of price cuts for the PS3 in the near future, but hinted it could happen in two or three years' time. That thinking has apparently been revised."
Yes-No-Yes-No-Yes.........No.......
April 19, 2007
Sony: Confusion Over PlayStation 3 Price Cut Comments
Sony has moved to deny reports that the company is considering an early price cut for the PlayStation 3 in North America and Japan, despite comments by Sony president Ryoji Chubachi which appeared to suggest just such a move may be forthcoming.
Chubachi was originally interviewed by British newspaper The Financial Times, in which he stated, "We are re-examining our [PS3] budgeting process in terms of pricing and volume. Sales assumptions change and the market is competitive. We are in the midst of revisiting our strategy for the PS3."
Despite the relatively unambiguous nature of his comments, Sony has moved quickly to refute the story, with spokeswoman Mami Imada saying in a statement that, “PS3 prices and shipment plans for the future should be determined by market trends and competition. Sony currently doesn't have any specific plan to cut the PlayStation 3's price”.
The high price of the PlayStation 3 console has been widely blamed as the primary reason for a perceived lax demand for the hardware. However, the current high cost of manufacturing the console has previously been seen as a serious obstacle to an early price cut by Sony.
Elsewhere, Sony has recently been indicating that its global game group operations may see more 'streamlining measures' such as those recently proposed by SCEE which threatened to cut nearly 10 percent of its workforce.
SCE spokesman Satoshi Fukuoka spoke to Reuters, indicating that "....other regional operations, such as those in the United States and Japan, could also take some streamlining measures," though he adds that "nothing has been decided."
POSTED: 05.41AM PST, 04/19/07 - David Jenkins
Price drop on the PS3 by....2009?
It's no secret that the Cell chip, currently bloated by 90- and 65-nanometer circuitry, is driving up the cost of PlayStation 3. Sony hopes to improve the chip's profitability by moving to 45-nanometer circuitry, in turn, driving down per-chip production costs. Commercial production of the 45-nanometer Cell is expected to begin by early 2009, which could indicate that a significant PS3 price drop (or perhaps, a slimmer model to compliment the even tinier new chip) would follow later in the year -- assuming that Blu-ray drive costs would have also dropped by then.
Of course, the equipment needed to manufacture the 45-nanometer chips would require a steep initial investment, suggesting that Sony may cease in-house production of the Cell and outsource the process to companies that specialize in chip-making. Expect Sony to be making calls to Taiwan Semiconductor Manufacturing Co. Ltd. and United Microelectronics, the world's two largest contract chip makers, any day now.
Wii - Priced higher then people were initially hoping, that disappointment has faded in the recent craze and popularity of the system. With a pack in game and a price much less then the competitor it would seem like Nintendo doesn't need a price drop at all. But on the other hand they are making money on each unit sold. Many people expect them to unpackage Wii Sports at some point and drop the price to perhaps $200. When this will take place is anyone's guess. Could be sooner rather then later though.
Thoughts?
Last edited by tanman; 04-19-07 at 12:41 PM.
02-10-07, 01:08 PM
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I don't see why MS would drop the price on the 360 when they have a substantial lead on the PS3 already. I doubt we will see an HD-DVD drive built into the system, because that is just wasted development costs and shelf space for the add-on unit, not to mention they would have to jack up the cost of the console itself and be in PS3 price territory, and there are no games on the HD-DVD format anyway. Only changes I would expect to see aside from the processor and the quieter DVD drive would be HDMI and a larger hard drive, and both of those are still purely speculation at this point.
I agree that a price drop on the PS3 is highly unlikely, as that is an admittance to all of the problems plaguing the system right now, although they have fixed some of the issues recently.
Nintendo doesn't have to worry about dropping the price anytime soon, and I don't see a reason in removing Wii Sports from the bundle, unless they replace it with something else. Wii Sports is thrown in to give everyone a sample of the amount of interactivity the console promotes, not to mention to sell a lot of accessories so groups of people can play together. To be honest, the only game I have played on the Wii aside from Sports is Metal Slug Anthology, and I probably would have been extremely aggravated learning the functionality of the wiimote in MSA as opposed to having a lot of usage with it in Sports before moving on to other games. I think it would be a bad idea to remove Sports from the bundle.
I haven't seen an Xbox in store in months, although I still see stacks of GC's.
I want to buy another PS2, but I can't seem to find a silver one anywhere. $129 is a good price(though $99 would be a whole lot nicer), and Sony definitely doesn't need to drop the price on it.
I have both handhelds, but I just don't keep up with them that often.
I agree that a price drop on the PS3 is highly unlikely, as that is an admittance to all of the problems plaguing the system right now, although they have fixed some of the issues recently.
Nintendo doesn't have to worry about dropping the price anytime soon, and I don't see a reason in removing Wii Sports from the bundle, unless they replace it with something else. Wii Sports is thrown in to give everyone a sample of the amount of interactivity the console promotes, not to mention to sell a lot of accessories so groups of people can play together. To be honest, the only game I have played on the Wii aside from Sports is Metal Slug Anthology, and I probably would have been extremely aggravated learning the functionality of the wiimote in MSA as opposed to having a lot of usage with it in Sports before moving on to other games. I think it would be a bad idea to remove Sports from the bundle.
I haven't seen an Xbox in store in months, although I still see stacks of GC's.
I want to buy another PS2, but I can't seem to find a silver one anywhere. $129 is a good price(though $99 would be a whole lot nicer), and Sony definitely doesn't need to drop the price on it.
I have both handhelds, but I just don't keep up with them that often.
02-10-07, 02:53 PM
#3
Retired
I'm hoping for a 360 price drop this year as after some long Gears sessions at my friends I'm slightly itching for one, but $400 is too rich for me when there's only a couple games I really want now.
I'm going to just start holding on to my $25 Amazon reward GCs from my credit care and the $10 Keynote evaluation surveys and hope there's a drop or a sweet bundle deal in late summer or fall when I'll have more time for gaming hopefully.
I'm going to just start holding on to my $25 Amazon reward GCs from my credit care and the $10 Keynote evaluation surveys and hope there's a drop or a sweet bundle deal in late summer or fall when I'll have more time for gaming hopefully.
02-10-07, 03:07 PM
#4
Originally Posted by tanman
Xbox 360...
That being said rumors are that a new smaller, cooler processor coupled with a built in HD-DVD drive and larger hard drive could make its way into an Xbox 360 package.
That being said rumors are that a new smaller, cooler processor coupled with a built in HD-DVD drive and larger hard drive could make its way into an Xbox 360 package.
As for the CPU, HDD increase, and HDMI... who knows. At this point, MS has claimed they are "research projects". We might see them by the end of the year, but who knows.
I do think the CPU change will come as soon as possible, because that will translate into lower costs for MS. My guess is that they do this without letting anyone know there was a change. Then, maybe next holiday season, increase the HD size. My guess is that the price remains the same until/if Sony drops the PS3 price. Right now, MS has no incentive in dropping their price.
02-10-07, 03:08 PM
#5
Retired
Originally Posted by mbs
Then, maybe next holiday season, increase the HD size. My guess is that the price remains the same until/if Sony drops the PS3 price. Right now, MS has no incentive in dropping their price.
02-13-07, 01:56 PM
#6
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Thread Starter
Price drop on the PS3 by....2009?
It's no secret that the Cell chip, currently bloated by 90- and 65-nanometer circuitry, is driving up the cost of PlayStation 3. Sony hopes to improve the chip's profitability by moving to 45-nanometer circuitry, in turn, driving down per-chip production costs. Commercial production of the 45-nanometer Cell is expected to begin by early 2009, which could indicate that a significant PS3 price drop (or perhaps, a slimmer model to compliment the even tinier new chip) would follow later in the year -- assuming that Blu-ray drive costs would have also dropped by then.
Of course, the equipment needed to manufacture the 45-nanometer chips would require a steep initial investment, suggesting that Sony may cease in-house production of the Cell and outsource the process to companies that specialize in chip-making. Expect Sony to be making calls to Taiwan Semiconductor Manufacturing Co. Ltd. and United Microelectronics, the world's two largest contract chip makers, any day now.
Of course this by no means locks them into the 500-600 price until then but that could be the main thing to get them dropping the price. It seems like a long way off though.
It's no secret that the Cell chip, currently bloated by 90- and 65-nanometer circuitry, is driving up the cost of PlayStation 3. Sony hopes to improve the chip's profitability by moving to 45-nanometer circuitry, in turn, driving down per-chip production costs. Commercial production of the 45-nanometer Cell is expected to begin by early 2009, which could indicate that a significant PS3 price drop (or perhaps, a slimmer model to compliment the even tinier new chip) would follow later in the year -- assuming that Blu-ray drive costs would have also dropped by then.
Of course, the equipment needed to manufacture the 45-nanometer chips would require a steep initial investment, suggesting that Sony may cease in-house production of the Cell and outsource the process to companies that specialize in chip-making. Expect Sony to be making calls to Taiwan Semiconductor Manufacturing Co. Ltd. and United Microelectronics, the world's two largest contract chip makers, any day now.
Of course this by no means locks them into the 500-600 price until then but that could be the main thing to get them dropping the price. It seems like a long way off though.
02-13-07, 02:07 PM
#7
DVD Talk Legend
The reason the DS dropped price to $129 was slow sales. The DS had a slow start in the US and only really caught fire here when the lite was released. The PSP had the better of the battle the first year in the US.
With the DS now dominating though I don't see any reason for them to drop the price again. At least not anytime soon. Maybe a $149 PSP could pressure them if that every happened.
With the DS now dominating though I don't see any reason for them to drop the price again. At least not anytime soon. Maybe a $149 PSP could pressure them if that every happened.
02-13-07, 02:22 PM
#9
DVD Talk Godfather
Originally Posted by tanman
Of course this by no means locks them into the 500-600 price until then but that could be the main thing to get them dropping the price. It seems like a long way off though.
02-13-07, 06:48 PM
#10
DVD Talk Legend
In the new OXM, they drop several hints about a possible price decrease on the 360 for this summer. On page 42 they state:
Then in a small quote along the bottom it says:
Both a friend and I are guessing that either a price decrease will come by fall or not at all. Why go thru a price decrease when Halo 3 hits in November?
I have decided to get one by fall of this year so I can get my fingers used to the controller to gear up for Halo 3. Hopefully a price decrease will hit between now and then.
You want a cheaper Xbox? Not without a smaller CPU. When the 360's brain shrinks to 65nm later this year, you'll see the system go through its first major hardware change...and the fiscal benefits will likely follow. (Some of the heat issues should dissipate, too.)
You can stamp more 65nm chips out of the same silicon wafer you'd use for the 90nm chips, which is where the price improvement comes from. More chips, fewer raw materials.
I have decided to get one by fall of this year so I can get my fingers used to the controller to gear up for Halo 3. Hopefully a price decrease will hit between now and then.
02-13-07, 06:52 PM
#11
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Thread Starter
Originally Posted by brianluvdvd
In the new OXM, they drop several hints about a possible price decrease on the 360 for this summer. On page 42 they state:
Then in a small quote along the bottom it says:
Both a friend and I are guessing that either a price decrease will come by fall or not at all. Why go thru a price decrease when Halo 3 hits in November?
I have decided to get one by fall of this year so I can get my fingers used to the controller to gear up for Halo 3. Hopefully a price decrease will hit between now and then.
Then in a small quote along the bottom it says:
Both a friend and I are guessing that either a price decrease will come by fall or not at all. Why go thru a price decrease when Halo 3 hits in November?
I have decided to get one by fall of this year so I can get my fingers used to the controller to gear up for Halo 3. Hopefully a price decrease will hit between now and then.
That's true. I didn't really factor in Halo 3. I'm not sure what they will do. The PS3 is by no means dead and once a killer app hits it will start selling more units. Now MS can do one of two things. Sit by and make more money on each unit or really try for a price decrease or upgrade the choices available to really widen the gap between the PS3 and 360.
So they have confirmed that they have no intentions of including the HD-DVD drive as a standard drive?
02-13-07, 07:04 PM
#12
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I wish they would drop the 360 core soon, I need to pick up a second unit, but can not seem to part with the $300 yet.
02-13-07, 07:23 PM
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Originally Posted by tanman
Now MS can do one of two things. Sit by and make more money on each unit or really try for a price decrease or upgrade the choices available to really widen the gap between the PS3 and 360.
02-13-07, 08:13 PM
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Originally Posted by sniper308
You mean lose less per unit... I don't think they have hit a point where they are making any money on hardware yet.
I think a drop in price by MS would be better for them long term. It would really hit Sony hard, especially in this post-launch lack of games. Sure sales are still good, but I think a price drop would really seal them keeping their lead, since Sony is probably unable to drop anytime soon, and if they did they would lose a lot on hardware. And regardless of what anyone says, I think they are competing with the Wii to some degree, and it would bring the prices closer, especially since I think a big factor in Wii sales has been the cheap price comparitively.
02-13-07, 08:43 PM
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Originally Posted by sniper308
You mean lose less per unit... I don't think they have hit a point where they are making any money on hardware yet.
02-14-07, 07:41 PM
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Originally Posted by KingSmoth
Actually, the article mentioned above claimed that MS is making $75 on each console sold, IIRC.
But I didn't realize they were already to a point of turning a profit on the hardware itself. If so that's very good news for MS.
Most of the articles I've read indicate that overall their Entertainment/Devices unit is still losing money although revenues are at record amounts for the Entertainment/Devices unit, which led me to believe they were still losing money on each 360, but maybe other devices such as the Zune are killing them in that area.
http://www.businessweek.com/ap/tech/D8MSICQ01.htm
"A huge reason for Microsoft's overall revenue gain was the performance of the entertainment and devices division, which includes the Xbox 360 video game console. That unit saw revenue hit $2.96 billion, a 76 percent jump. The unit lost $289 million, however, roughly even with last year."
02-14-07, 09:55 PM
#17
DVD Talk Gold Edition
I'm just a regular guy - not one of you high-tech gamers. I'm on the fence as to which system to buy. I bought a Wii, and love it for what it is, but I want one of the other systems too. I was leaning toward ps3 because I know blu-ray is the better technology. But if the 360 dropped a hundred bucks it would be a no brainer for me. Remember...an Xbox bought is a ps3 denied. That might be worth MS giving up the front end profit.
02-14-07, 10:44 PM
#18
DVD Talk Legend
Originally Posted by parrotheads4
I'm just a regular guy - not one of you high-tech gamers. I'm on the fence as to which system to buy. I bought a Wii, and love it for what it is, but I want one of the other systems too. I was leaning toward ps3 because I know blu-ray is the better technology. But if the 360 dropped a hundred bucks it would be a no brainer for me. Remember...an Xbox bought is a ps3 denied. That might be worth MS giving up the front end profit.
The HD war is nowhere near decided yet. While a lot of Blu-Ray players have been sold in the form of PS3s, there's not much evidence yet that people are actually using them to watch movies. I believe sales of both formats are about equal and sales of standalone players are about equal. In fact, before the PS3 came out, there were definately more HD-DVD players out there (with the X-Box HD-DVD player add on).
And not to start a HD DVD vs Blu Ray debate here, but imo, the only thing Blu Ray has over HD DVD is storage space -- which 1) can change and 2) is rather insignificant, considering how much can fit on 15GB. More storage certainly makes TV sets nicer though. Imagine 1 disc for a season.
Honestly, I wouldn't spend $600 on technology that could very well be obsolete in 2 years (that goes for both formats). But then, I don't make a lot of money and don't generally spend more than $100 without a lot of thought and planning.
For me, I wouldn't buy a PS3 for Blu Ray. I would buy it for a gaming system. However, right now X-Box is a better gaming system and can play HD DVD (with the add on) if I really wanted to see HD movies -- and can also download HD movies.
02-15-07, 06:42 AM
#19
DVD Talk Godfather
Originally Posted by DodgingCars
And not to start a HD DVD vs Blu Ray debate here, but imo, the only thing Blu Ray has over HD DVD is storage space -- which 1) can change and 2) is rather insignificant, considering how much can fit on 15GB. More storage certainly makes TV sets nicer though. Imagine 1 disc for a season.
02-15-07, 08:38 AM
#20
DVD Talk Hero
Originally Posted by Michael Corvin
Not to derail this completely but I never understood this line of thought. HD quality broadcast requires more storage space totally negating the extra storage space on BR/HD discs. Which means season sets will house roughly the same number of discs. Unless of course they compress the hell out of them which also negates the purpose of an HD format.
02-15-07, 09:05 AM
#22
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Both HD-DVD and Blu-Ray have H.264 video capability as part of thier standard. Isn't it conceivable that they could use this with TV shows and decrease the number of disks necessary?
02-15-07, 09:51 AM
#23
DVD Talk Godfather & 2020 TOTY Winner
Originally Posted by DodgingCars
The HD war is nowhere near decided yet. While a lot of Blu-Ray players have been sold in the form of PS3s, there's not much evidence yet that people are actually using them to watch movies. I believe sales of both formats are about equal and sales of standalone players are about equal. In fact, before the PS3 came out, there were definately more HD-DVD players out there (with the X-Box HD-DVD player add on).
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02-15-07, 02:18 PM
#24
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Originally Posted by Decker
Actually, Neilson Soundscan shows Blu-Ray discs outselling HD-DVDs by about a 2:1 margin since the PS3 debuted, and the 3 million or so PS3s sold far exceed the 100,000 HD-DVD add ons sold by MS. That's pretty good evidence that the PS3 has had a huge impact on the format wars.
02-15-07, 02:37 PM
#25
DVD Talk Godfather
Originally Posted by Decker
Actually, Neilson Soundscan shows Blu-Ray discs outselling HD-DVDs by about a 2:1 margin since the PS3 debuted, and the 3 million or so PS3s sold far exceed the 100,000 HD-DVD add ons sold by MS. That's pretty good evidence that the PS3 has had a huge impact on the format wars.
I don't see it as huge of an impact. If Sony ever gets any games out worth owning I'd expect disc sales to level out.
Player sales will never level out due to the fact Sony is shoe-horning people into buying one whereas HD-DVD is an option with MS.
