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January 19, 2006

Sony PlayStation 3 in trouble?

Posted by David Hunter at 11:49 PM ET.

Rachel Rosmarin at Forbes:

Sony’s future as a hardware company and legacy as a media company are both riding on PlayStation 3–its long-awaited next-generation game console. But the less Sony says about the device, the louder skeptical voices grow.

It wasn’t mentioned in Sony CEO Howard Stringer’s keynote at CES and only a model was shown with non-playable games in the Sony booth.

Now industry observers are wondering when the machine will finally debut and what the price tag will be–both for consumers and for Sony itself.

First there’s the issue of the launch date. Sony’s last word on this remains spring 2006, but almost nobody believes it–at least not for the North American launch—because of a history of delays for previous products. Thanksgiving looks to be a better bet, at least to Evan Wilson, an analyst with Pacific Crest Securities.

If the PS3 does launch in November, Sony will have given Microsoft a full year’s worth of potential sales of its next-generation console, the Xbox 360. “Microsoft’s lead time in building share for this console generation is real,” says NPD Group’s Anita Frazier. “The longer that lead time is, the greater the initial risk for Sony.”

And they would be likely to have the same supply problems that plagued the Xbox 360′s November launch. Much more by following the link, but there’s also speculation that the PS3 will be more expensive than the Xbox 360 and if Sony doesn’t want to let the gap get too large, it will have to eat a rather larger amount per box. Closer:

For the first time Wednesday, Sony announced six game titles that it said will launch with the PS3 in Japan. That’s good news. In fact, it’s the only news we’ve heard from Sony regarding the PS3 in a long time.

See also PlayStation 3 launch date in question and Spring 2006 PS3 Release in Doubt.

Filed under Coopetition, Sony, Xbox

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One Response to “Sony PlayStation 3 in trouble?”

  1. Xbox gets a free year, Sony PS3 delayed until November? -- Microsoft News Tracker Says:

    [...] So, as rumored, not only did Sony miss their Spring launch, but the holiday shopping season in the USA as well. Apparently it’s due to issues surrounding the Blu-ray high definition DVD drive championed by Sony. Since the Xbox 360 launched in November 2005 (later elsewhere), Microsoft will have a year all by itself at the top of the market in most areas. More by following the link including a nice (stock) photo of a properly thankful Bill Gates. [...]

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