MGS4 Pushes PS3 Up 300%

Metal Gear Solid 4 was a solid release for the PlayStation 3, the exclusive title that gives Sony an edge over the competition. This was Sony’s Halo 3 title and it needed to be a big success in order to keep gamers confident in the Sony brand.

Sony is reporting a 300% increase in PlayStation 3 sales over last month, mainly due to the desire for people to own Metal Gear Solid 4. Remember, this isn’t an increase in game sales, this is an increase in console unit sales, providing evidence that MGS4 sold consoles.

While Grand Theft Auto 4 seemed to sell a few consoles but, overall, didn’t impact console statistics during its release, this exclusive PS3 title has done just the opposite. Perhaps because of its exclusivity? Xbox 360 consoles have been in the hands of the consumer for a few years now, most of those consumers actually purchased GTA IV (as expected and reflected in sales) but not a lot went out to purchase the console. They already had it or didn’t care to own it for a game like GTA IV.

While many people purchased Metal Gear Solid 4 because it’s “Metal Gear,” you can see from the trailers that the game looked impressive, felt complete and contained a lot of great action. You’ll get a great sales pop the first few days on a title with a huge fan base but to sustain the growth and sell consoles you’ve got to provide a well known title that doesn’t suck.

MGS4 doesn’t suck by any reviewers score; it’s not perfect, but what game is? MGS4 delivered what it was said to deliver with very few bad experiences and that’s all you can ask for a console moving title.

So, what next? Sony has promised us that MGS4 is just the first of many titles to blow our minds. Resistance 2, Little Big Planet and what of that MAG game they showed off at E3? 256 players? We won’t hold our breath for that title, but Resistance 2 and Little Big Planet, combined, may move a few more units.

It may not be about the games today that move the next round of PlayStation 3 consoles, it’s about the promise of the games tomorrow with titles like MGS4 to hold us over until then.

PLAYSTATION®3 (PS3™), led by the launch of the highly anticipated Metal Gear Solid 4: Guns of the Patriots PS3 bundle, continued to experience tremendous momentum in June 2008, selling 405,488 hardware units – 84% higher than Microsoft’s Xbox 360 (according to NPD June 2008 sales data). PS3 year-over-year hardware sales growth exceeded 311% in June, with month-over-month growth exceeding 94%.

Metal Gear Solid 4: Guns of the Patriots, exclusively for PS3, was the best-selling title on any platform in June 2008, with 774,647 units sold. More than 2.4 million software units were sold for PS3 in June, representing an increase of more than 300% from this time last year. (Software totals do not include software units sold as part of the Metal Gear Solid 4: Guns of the Patriots PS3 retail bundle).

* The launch of Metal Gear Solid 4: Guns of the Patriots kicks off the beginning of a blockbuster software line-up for PS3 in the back-half of the year, including highly-anticipated exclusive titles such as SOCOM: US Navy SEALs Confrontation, Resistance 2, Motorstorm: Pacific Rift, NBA ‘09: The Inside and LittleBigPlanet to name a few. These monster titles promise to further drive PS3 sales into the holiday season and beyond.
* The PLAYSTATION®Network community continues to grow in popularity with more than 10 million registered accounts worldwide and 180 million pieces of content downloaded worldwide.

Fueled by enthusiasm for the launch of the God of War: Chains of Olympus PSP® (PlayStation®Portable) bundle, PSP experienced strong sales in June, with 337,356 PSP hardware units sold. This represents a sales increase of 85% month-over-month.

PlayStation®2 (PS2) also had a solid month in June, selling 188,798 hardware units, an increase of 42% from May. The popular console continued to experience strong software sales, with 3.9 million software units sold. More than 42.4 million PS2s have been sold in the U.S. as of June 2008.

Power of the PlayStation Portfolio

The PlayStation brand continued to generate impressive sales, earning $626.7 million in June.

· Year to date (Jan-June), the PlayStation brand generated almost $2.9 billion in revenue, representing an increase of 24% year-over year.

· PlayStation total hardware revenue was $265.5 million in June, representing a year-over-year growth of 90%.

· PlayStation total software revenue in June was $298 million, representing a year-over-year growth of over 52%.

CEO Perspective

“The PlayStation brand is truly hitting its stride on its long-term opportunity across all three platforms. Our strong June numbers serve as proof to the continued momentum of the PS3 and affirms that we’re exactly where we expected to be. This month’s success can be attributed to the exclusive blockbuster Metal Gear Solid 4: Guns of the Patriots and we’re poised for continued growth into the back half of the year with a much anticipated line-up, including LittleBigPlanet, SOCOM: Confrontation, Resistance 2, MotorStorm: Pacific Rift, and NBA ’09: The Inside. Additionally, the new PlayStation Network video delivery service will be a big driver for the PS3 and PSP, allowing consumers to extend their multi-media and entertainment experience.”

– Jack Tretton, president and CEO, Sony Computer Entertainment America

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Sony Says Competition is GoodSony Says Competition is Good

It seems the console maker who’s trailing in sales typically says how great competition is and how it’s great for the consumer. Sony’s not leading the console race, as of now, and Sony Computer Entertainment Europe president David Reeves stated in a recent interview:

The winner, he said, is the consumer. “That’s why we are not going to slag off Microsoft or Nintendo at all,” he said, “because again it’s rather like the trainer market: one year it’s Reebok, next year it’s Nike, and then suddenly it’s Adidas; it’s cyclical, but in the end everyone wins in five to ten years.”

Sony continues to speak towards their “10 year plan” and how they’re increasing momentum in the market. They’re not winning in sales but with a ten years to go, this is just the beginning. Had this statement come from Microsoft it would be a chance to worry, but Sony has proof to backup their statements.

The PlayStation 2 is going strong as a nine year-old and doesn’t seem to be letting up in game releases. Sony’s press conferences always cover the PlayStation 2 in their talks with the PSP and PlayStation 3 for three big reasons: it’s worth bragging about, it distracts from lower PS3 sales and it separates them from the competition.

Where is the GameCube or classic Xbox in Nintendo and Microsoft’s press conferences and number crunch reports? The fact is, the companies have given up on both products retiring them as “last generation” (translation: poor sales). What better reason to buy a PlayStation 3 than knowing the company is in the game for the long haul?

It might be bit cheaper to buy an Xbox 360 but who’s to say Microsoft isn’t going to announce their next generation console tomorrow and kill off the Xbox 360? Obviously, Microsoft will deny those claims but there will always be doubt without a proven track record.

On the other hand, Microsoft hasn’t seen the success in the classic Xbox and Nintendo hasn’t seen nearly the fervor over the GameCube as compared to their current generation consoles. So, that begs the question, why would they halt all that for new console announcements?

Until they’ve had more time in the market, we cannot be 100% certain what Nintendo and Microsoft are going to do when it comes to next-generation announcements while Sony’s been very clear in each press conference. As Kaz Hirai said to Eurogamer earlier:

“We certainly don’t do the consumer the disservice of basically saying that the consoles have gone by the wayside because we have a new one. Right now, a prime example? PS2 is nine years into it. Where’s the Xbox? Where’s the GameCube?”

If one console maker is looking for a way to stand out and explain their slow sales figures, Sony’s got the PS2 and its long history in their back pocket.

Now, if we could only get those game designers to continue to take it seriously and not put all their eggs into the PS3 basket.