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PlayStation 3 Delayed, Over $800?
AWhiteFlame writes "Cnet is reporting that a research report issued by Merrill Lynch suggests that the Sony PlayStation 3's American release may be postponed until 2007. From the article: 'The analyst firm proposed the idea that high costs and Sony's decision to use an 'ambitious new processor architecture--the Cell' is making it look like the company might not be able to meet its goal of getting the PS3 out in the U.S. this year.' Sony did not immediately respond to a request for comment." The official report (pdf) would also seem to indicate that the console will be somewhere in the neighborhood of $900 when it launches.
...the report says basically "we don't know anything, but we think it's hard, so they won't make it."
Right. Remind me to call them nextx time I need random guesswork done.
...more than anything like Merril Lynch is trying to get people to dump Sony stock so they can buy it up, then make a killing if the PS3 matches their REAL expectations. Or maybe I have my tinfoil hat wrapped a little tightly?
Going back to school for entry-level jobs?
Yup. Considering that Sony also owns the rights to all BluRay technology, they will make money in the form of royalty off of every single BluRay disc that is sold in WalMart, Best Buy, Target, etc. BluRay is really what Sony seems to be hedging its bets on, not necessarily the PS3.
The Revolution is definitely coming out before at least thanksgiving, and definitely under $300. Why get somthing with fewer but more expensive games that, all on top of that, costs 2-4 times more?
Wonder what the public key field is for?
Of course, to stay competetive, Sony will never sell the PS3 for what it cost to build it, but this really does put a question mark on how low they can afford to go.
The report also speculates on the ramifications for other companies, such as Nvidia, ATI, EA and others. It's a good read.
The article states that $900 is the cost to Sony. It won't cost that retail, they always take a hit. The original Xbox cost more to make, than it sold for. It's called a loss leader, look it up.
You're guilty of the same thing. You don't state why their numbers are not believable, nor how you arrive at your $500 estimate, nor the reasoning for how it would be easy for them to cut the price by 40% quickly.
These $300 or $500 price estimates are nothing more than Sony's hype machine working overtime. A top of the line, brand new PC video card costs about $500 USD manufacturer recommended. The PS3 is expected to have a top of the line Blu-Ray player, the virtually experimental CELL processor and PS1 and PS2 backward compatibility all rolled up into one neat little package.
a research report issued by Merrill Lynch suggests that the Sony PlayStation 3's American release may be postponed until 2007 [...] The official report (pdf) would also seem to indicate that the console will be somewhere in the neighborhood of $900
Is this the same Merrill Lynch that was accused of lying about the health of corporations such as Worldcom and Enron? The same Merrill Lynch that agreed to pay $100 million in fines? The same Merrill Lynch that may owe several billions of dollars to institutional shareholders and others for gross deception?
Remind me why I, you, or any news outlet for that matter, should have any faith in their statements?
This has always been Ken Kat strategy from day one. Hype the PS3 as a supercomputer and go on record that it will be "expensive." Then when all looks dire (and just in time for E3 '06) expose the true price point for $399 USD -- "Yes $399, to let it go at this price is killing us. Did I mention it's a supercomputer?"
If Sony knows one thing, it's how to hype a product.
mmmmm, these highly trained professional's you speak of seem to have trouble doing simple arithmetic. If you examine the pdf, the prices add up to 800$, not 900$
If Sony knows one thing, it's how to hype a product.
I think it's more accurate to say "If Kutaragi knows one thing, it's how to hype a product". Until Kutaragi came along, Sony was a very different company: very good industrial design, solid and sometimes innovative technology, understated marketing.
The PS line turned all that on its head, and given other changes which have loosened the company's traditional moorings (e.g. Sony's founder retiring), Sony itself seems to have drifted in that direction too. [It's hardly a sure thing -- apparently the "mainline" management at Sony loathes Kutaragi -- but I guess in the absence of a strong leader, they end up following the money in the end...]
We live, as we dream -- alone....
The first game title to be released for the Sony PS3 will be titled "Wall Street Fighter". In this multiplayer game, players use a virtual "Internet" to discuss, predict and ultimately manipulate the retail price of unreleased video game consoles, amassing vast fortunes by buying and selling futures.
There's a Starman, waiting in the sky / He'd like to come and meet us, but he hasn't got the time.