PlayStation 3: Not About Quantity, About Profitability

The Xbox 360 price drop rumors flow like water and it’s all but officially been announced at this point. What about PlayStation 3 and their price? No.

Nobuyuki Oneda, the Sony’s chief financial officer said, “our plan is not to reduce the price. Our strategy is not to sell more quantity for PS3 but to concentrate on profitability.” (gamespot) This makes complete sense coming from their chief financial officer, as their motivation is to make money, not lose it.

The question remains, how will they actually make money if they’re no longer in the race for competitive market prices? Considering game licensing must Net them some amount of profit Sony’s idea seems to be the exact opposite of their original PlayStation method: saturate the market and sell them all games.

So far we’ve seen very few “need to have” games for the PlayStation 3 console while Xbox 360 continues to build a substantial library and Wii continues to break sales records for apparently no reason. When a game publisher has to decide on a platform to launch a new game, why would they choose the one that doesn’t care to be competitively priced in the market? The one that doesn’t care about quantity of sales?

Sony intends to reverse the entire razor blade philosophy where one sells a cheap razor and charges users for the blades over and over again. Their take on this concept is to sell really expensive razors and put out small half-quality blades. Is that a good market strategy at this point?

0 thoughts on “PlayStation 3: Not About Quantity, About Profitability”

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Post

Episode 732: Let’s Play BalatroEpisode 732: Let’s Play Balatro

No Gravatar

Concord got canceled after only two weeks, Balatro hits the iOS App Store and Android’s Google Play on September 26, EVE players are in revolt over CCP’s blockchain plans and a year after outraging developers, blowing up its reputation, and saying goodbye to its CEO, Unity decides ‘Runtime Fees’ are a bad idea so it’s getting rid of them.

Oh, and the PS5 Pro is $700.

And it’s Friday the 13th.

Other news includes:

Let us know what you think.

The post Episode 732: Let’s Play Balatro first appeared on Gaming Podcast.

Dead Rising On Wii, Does Anyone Care?Dead Rising On Wii, Does Anyone Care?

Dead Rising is being ported to the Nintendo Wii, only two years after the original title. In Japan, they’ve changed the name to Dead Rising: Zombies Sacrifice, perhaps to make it sound like a different game.

The game, in fact, is said to have some difference from the original title. These changes are ‘upgrades’ from the original title based on feedback from consumers. Rather than simply reissuing the same game, “in addition to a revised story structure, the Wii version of Dead Rising will feature new enemies and items, as well as a behind-the-shoulder camera system modeled after Resident Evil 4” (1up)

Fixing the camera and adding some new monsters is enough to give the game the subtitle Zombies Sacrifice. They’ve included full waggle support for the controller allowing you to kill zombies with the greatest of ease, but… it’s still killing zombies…

Does anyone care?

Episode 325: Civilized PodcastEpisode 325: Civilized Podcast

This week’s podcast has Dan Quick filling in for an ailing Jordan Lund, while Civilization V inevitably comes up in conversation with the Polycast host with Jonah Falcon. There’s no Gaming History or Gaming Flashback, but tons of news items.

The news includes:

  • Andrew Wilson named Electronic Arts CEO
  • PlayStation Vita TV announced
  • Sega buys Atlus for 14 billion yen
  • Star Trek video game “big disappointment” to J.J. Abrams
  • Chair on Shadow Complex 2: Fans “don’t want it more than we do”
  • Steam adopts Xbox One’s former family sharing program
  • Diablo III auction house closing in March 2014

There’s also some Listener Feedback from the T-shirt winning contestant.