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Sony Cautious in PSP Production
GamesIndustry.biz has the story that Sony is limiting production of their new handheld. From the article: "Comments attributed to SCE spokesperson Kenichi Fukunaga in an Agence France-Presse article stated bluntly that manufacturing resources are being directed to the PlayStation 2 - a new slimline version of which was introduced earlier this month - rather than the PSP." Personally, I think this has just as much to do with a desire to create demand as it does with making sure they're not left with a dud on their hands. If you're going to release a handheld, release a handheld.
The PSP is still in 'trendy hype-machine' mode, and not at mass-profit levels yet - those sales can wait more than PS2s can.
Then they need to get on the ball here -- Nintendo won't be so easy to beat this time. Many people have been taken by surprise by the extraordinary preorders for the DS, even Nintendo loyalist sites, who you'd suppose would be all rah-rah over anything the big 'N' does but have been in Charlie Brown mode for a while now, were caught off-guard.
If Sony's trying to limit supply to drive demand then they're going to have problems in the portable space this time, as the DS is also over-ordered, but after a rational level of supply. It's too early to judge yet of course, but I consider this troubling news for Sony.