First, let's state the obvious: in-stock product is, for the most part, a good thing. If you're a manufacturer, it means people can buy your goods in exchange for monies that go in your pocket. But if your product is launching in short supply to a seemingly high demand, early in-stock units may indicate poor long-term viability for a product. That's the current white elephant in the room for Sony's PS3; widely reported to be sitting on store shelves throughout the nation.

Analyst PJ McNealy -- who originally believed the PS3 would see shortages well into June of 2007 -- said, "It is our position that while the PS3 launch is seven+ weeks old, we find it a little troubling to find the console in stock." He credits the current and unexpected availability of PS3s to the following scenarios:
  • People aren't buying due to lack of new games at this point
  • $600 for a game console appears too pricey for most people
  • The "cheap Blu-ray player" argument isn't converting into sales
  • Slow release of exclusive titles isn't helping

This article was originally published on Joystiq.

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