Howard Stringer: Sony "studying" PS3 price cut

Not that there's ever been a mainstream game console or gadget that didn't eventually go down in price, but PlayStation fans not ready to plunk down the up to $800 sticker price for a new PS3 can take heart. Sony's Howard Stringer did confirm that Sony is looking at ways to bring down the price on its monolith at some point down the road -- probably way, way down the road -- but unfortunately there wasn't much more to it than that. We know Stringer wants to drop the price on the thing, but as usual one shouldn't expect any formal pre-announcements of price cuts on hardware the company's struggling to make a dime off of.

[Via The Inq]

[NHAnimator @ Jun 15th 2007 10:13AM]

They warned us and warned us and warned us: "This thing ain't gonna be cheap." And they were right.

I've saved the money to buy one. Now I just need a reason to buy one. I have two reasons not to: (1) No absolutely killer game and (2) No foreseeable end to the format wars.

If they drop the price 20%, most likely MS and Nintendo will follow suit. A price cut is helpful, but not what they need. Sony HAS to do something drastic soon. The unit is not a bad machine, but it's no PS2. And at this rate, they will not be dominating the console wars 5 years from now.

[7of7 @ Jun 15th 2007 10:19AM]

Eh, it's still cheaper than the iPhone that many people seem to want despite being several years out of date.

[gibber9583 @ Jun 15th 2007 10:30AM]

yes but that PS3 is not the status symbol that an iPhone is/would be.

[Scott @ Jun 15th 2007 10:44AM]

Yes, multi-touch screens and visual voicemail are SO last year!

[William @ Jun 15th 2007 10:49AM]

Yeah the IPhone looks really sweet and to be honest i would get it if it were here in Australia and i had the money but comparing between a PS3 and an Iphone i would chose a PS3 Anytime. Also 600 bucks up front + contract over 2 years means it is going to be one bl**dy expensive gadget. Also 2 years from now the PS3 is still going to have at least another 2-3 years life in it unless it breaks an Iphone will most likely be outdated and time to get something new.
Also if i were in the US i would not be complaining about the price of the PS3 almost everywhere else is paying far far more than the the US except Japan. Here in Australia it cost 1000 AU$ which is 830 US and thats similar for the rest of Europe as well. Anyway ill be picking up a Japanese PS3 next month when i go there for 450US$.

[Yayaja @ Jun 15th 2007 10:40AM]

Hmmm. which part of this post is actual news?

[murray @ Jun 15th 2007 1:00PM]

That's what I was wondering. Ryan even started the story by basically admitting that this was an utterly redundant item. It's like the weather man saying "news flash: it will be cold in winter."

Of course the fucking price will go down.

[apeguero @ Jun 15th 2007 10:44AM]

I have an XBox with about 10 games, mostly racing. I have an XBox Live account on it as well. I bought a PS3. Why? I'm an F1 fan and PS3 is the only one to have an F1 title that is current. True, a lot has changed between 2006 and 2007 but still, it's a beautiful title. I also happen to have that same title in my PSP.

I like the simple interface the PS3 has to offer. I like the features the PS3 has, plus it has the Blue Ray DVD player built right in. XBox 360 doesn't have an F1 title nor does it come with the High Def DVD built in.

In the end, I would've had to pay almost the same price for an XBox 360 which didn't offer an F1 title and had an additional, detached device. Don't know. I'm still well into the 30 day return policy period of Best Buy though. Will I stay with the PS3? Or will I return it and get the XBox 360? I have 20 days to decide. For now I'm leaning towards keeping the PS3 but I would welcome arguments otherwise if you all don't mind.

[apeguero @ Jun 15th 2007 10:44AM]

I have an XBox with about 10 games, mostly racing. I have an XBox Live account on it as well. I bought a PS3. Why? I'm an F1 fan and PS3 is the only one to have an F1 title that is current. True, a lot has changed between 2006 and 2007 but still, it's a beautiful title. I also happen to have that same title in my PSP.

I like the simple interface the PS3 has to offer. I like the features the PS3 has, plus it has the Blue Ray DVD player built right in. XBox 360 doesn't have an F1 title nor does it come with the High Def DVD built in.

In the end, I would've had to pay almost the same price for an XBox 360 which didn't offer an F1 title and had an additional, detached device. Don't know. I'm still well into the 30 day return policy period of Best Buy though. Will I stay with the PS3? Or will I return it and get the XBox 360? I have 20 days to decide. For now I'm leaning towards keeping the PS3 but I would welcome arguments otherwise if you all don't mind.

[apeguero @ Jun 15th 2007 10:50AM]

Sorry for the double post.

[McGinley @ Jun 15th 2007 11:47AM]

Triple Post.

Also,people above,dont compare a mobile phone to a gaming console.There is no direct comparison.

[Geoffrey Sperl @ Jun 15th 2007 10:45AM]

Let's be honest: Sony walked into Neo•Geo and 3DO territory with this one... and neither of those consoles, as slick as they were, ever found traction other than with a very small, but rabid, niche. The PS3 has not really even managed to get the rabid part of the niche going... and it's looking more like a Pippin (well, okay, it's sold many thousands more than the Pippin ever did) than Neo•Geo or 3DO.

Now, I do not think either MS or Sony had a chance against Nintendo in this round - Nintendo has managed to make itself cool and relevant again and that probably would have happened no matter what. However, Sony had a chance to take MS down with this generation but, instead, has handed a large percent of its marketshare over to MS with some very poor ideas. They should have taken the price hit and introduced one model of the PS3 at $399. Making the PS3 black and the same size as a regular home theater component would have been nice, too. I can also say that the lack of IR on the console is one reason I am not buying one yet (the other being price) - if I can't use my Harmony with the device, why bother with it (yes, I know about the USB/IR hack, but that's not the point)?

Now, when GTA IV comes out, and Final Fantasy XIII close behind it, I will be tempted to upgrade to the PS3 from my PS2. But, in my mind, the PS3 is more a Blu-Ray player with a few games than a game console that plays Blu-Ray movies... but I'm not willing to shell out that many benjamins for either a console or a disc player.

[Matt B @ Jun 15th 2007 10:49AM]

I do hope Sony drops the price so all the whiners can STFU!!!!

[panik @ Jun 15th 2007 10:53AM]

hopefully they will also shrink the size and redesign the ugly bitch

[Matt B @ Jun 15th 2007 10:55AM]

I hope they do drop the price so the whiners can STFU!

[Matt B @ Jun 15th 2007 10:59AM]

Ugh, I knew that was going to happen.

[david @ Jun 15th 2007 10:59AM]

...up to $800 sticker price?? Last I checked the price was still $599 at Best Buy and everywhere else. Unless you are talking about the price in euros but then you wouldn't use a dollar sign. I don't think bundles (if that's what you are doing) count in an article about the actual unit's possible price drop.

[cs32 @ Jun 15th 2007 12:20PM]

PS3 fans always talk about how you need to spend more to bring the capability of the 360 up to the PS3. But you also need to spend more to bring the PS3 up to the 360. For the record, I own both so I know how much it costs.

To make it equal, you need to need to buy a new wireless adapter for the PS3 - the 360 wireless is A/B/G, the PS3 is only B/G. I use A for my laptop at home, much faster and reliable than B/G.
Now add in the $60 for the Sony HDMI cable - the elite version has one in box. $53 for a 120GB drive for the PS3 (from newegg) - the elite version has one in box. $30 for a headset (the cheapest one from EBGames) - the elite version has one in box. I get a movie in the box with the HD drive, none in the box with a PS3 (at least I didn't when I bought it 3 months ago) - let's add $20.
Add $200 to the 360 for the HD DVD drive (although, there were reports of it for $79 from Sam's, but we will go with the official prices).
360 Elite price - $779 (system, wifi, HD DVD drive)
PS3 price - $862 (system, wifi, remote, headset, movie, cable, HDD)

That is more than $800, and it looks like the 360 is a much better value.

[Jamar @ Jun 15th 2007 12:37PM]

Out here (China) the PS3 is $800 (approx. since the eschange rate actually moves around now), but hey, it's pre-modded (so I'm told- never bought one since only one game, soon to be two, catches my eye so far- Railfan) so it's worth the price, I suppose...

[Karan @ Jun 17th 2007 6:50AM]

@cs32:
let's do your math for you:

For everything you've priced there - $599 + $60 + $53 + $30 + $20 = $599 + $163 = $763.

Assuming there's a point in adding the 802.11a adaptor - my router doesn't support it anyway, and it's not exactly faster than g - that's... oh wait, that's cheaper? Oops.

[slug @ Jun 15th 2007 11:01AM]

$800??? HOLY JESUS!! fair enough its got a few more features the the xbox, but i dont think its worth $800!!?!?
Get them prices down Howard!!

[slug @ Jun 15th 2007 11:02AM]

$800??? HOLY JESUS!! fair enough its got a few more features the the xbox, but i dont think its worth $800!!?!?
Get them prices down Howard!!

[Agathos @ Jun 15th 2007 11:08AM]

@apeguero

I have all 3 and the PS3 is getting better and better, and looking at Lair, Ninja Gaiden, Ratchet and Clank, Warhawk, Drake's Fortune, Little Planet, and MGSolid as good future exclusive coming up within the next 6 months, in addition to the majority of games being multiplatform and available for the 360 and PS3, and a good looking bunch of Blu-Ray titles coming up, PS3 is also continuing to update firmware and add nice features like upscaling to 1080p. THAT being said u may not like ANY of those titles in which case I want to remind you that the 360 just released FORZA2 and DIRT that scored incredibly high. Either way you're in good shape and I think it's good to have options.


@panik

That's comment extends a bit far outside the realm of fair opinion and into trolling to piss people off, the PS3 is the slickest looking electronic devices in my 20k+ entertainment set up. It's not like the 360 which I love the games on but is a F"ED up poor excuse for hardware (loud, HOT, red ring o death all over the planet, scratching discs, even the brick sized power supply). Good thing it came out a year early and has gotten a respectable library together.

[apeguero @ Jun 15th 2007 12:04PM]

Thanks for the reply. I definately bought the PS3 because I think it's the best Blue Ray deal going on out there right now: Wifi, Internet, gaming, hard drive, media, movie downloads, etc. The big crutch this thing has is the lack of games. I am thinking of holding on to it and wait for GT4 which is always a reliable kick ass game, plus, I'm sure that F1 2006 will be updated to 2007 as well. I just don't know if I'm making the right move of holding on to the PS3 waiting for games. I might return it and then buy it again at a later date when more games are available. Also, aside from the bulge at the top, the design is pretty nice. It's quite and very simplistic. I did also end up looking for the power supply when I unboxed this thing. I was surprised that there was none, just a standard PC cable, nice.

[KC @ Jun 15th 2007 2:31PM]

I do hope that F1 2007 will incorporate the use of the PSP as side mirrors (as planned with 2006, but they removed that feature later).

Right now, the integration between the PS3 and PSP is fantastic. If Sony ups it another notch or two, they will have a killer combo.

[Belial20XX @ Jun 18th 2007 11:16AM]

Are you a moron???? For one have you even been reading the posts about the??? updates for firmware its mostly all vaporware since most of the endless amount of "we gotta fix that too" firmware updates were to correct flaws in the design..remember the crap upscaling deal still aint 100% worked out and alo they keep updating to fill the security holes in the firmware its self. Dont forget that ps3 has been cracked now to read burnt bd and dvd so expect many more "mindblowing" firmware updates with next to no new features.

[Sy @ Jun 15th 2007 11:16AM]

Why does Engadget spread FUD? There is only one price for the PS3

[Sy @ Jun 15th 2007 11:18AM]

Why does Engadget spread FUD now? There is only one price for the PS3 and its $599. If you want to mix euros with dollars, then specifically note it as such. Don't make it out to look like the PS3 can cost up to $800 in US dollars.

[Rick @ Jun 15th 2007 11:19AM]

Guess what Sony doesn't care about your hopes, dreams, thoughts, feelings, predictions, etc. I bought a PS3 2 weeks ago because I wanted one with the emotion engine chipset before they were gone. Now I have a Xbox 360 and a PS3 and I couldn't be happier. Also got Training Day on Blu-Ray....very cool.

[Sy @ Jun 15th 2007 11:26AM]

In other words, don't make it look like Engadget is in the back pockets of Microsoft ...at least be less obvious about it.

[fistpittingnork @ Jun 15th 2007 11:33AM]

Howard Stringer looks like he could be David Letterman's brother.

Anywho, $800? I'm assuming that's a typo for $599?

Maybe they could follow MS's lead and seperate the game console from the Blu-Ray player. Just like with my 360, I don't want it to watch movies on, it creates unecessary wear and tear, create a seperate movie disc player add-on. Drop the price $100-$200 for the console and charge $200 for the same cheapened Blu-Ray parts within the current Ps3.

I don't mind waiting for Blu-Ray or HD-DVD to be deemed the winner, so until then, I don't want either player, especially if I'm forced to buy it in a Ps3.

[Jon @ Jun 15th 2007 11:42AM]

It isn't $800, it's $600. Is Engadget spreading FUD for MS??? Just fix the article.

[Agathos @ Jun 15th 2007 11:45AM]

@fistpittingnork

I can't beleive people still make this argument! Have you people forgotten that the GAMES ship on BD!? So your suggestion is to have two models of PS3 (one w and one w/out BD) AND have to ship multiple copies of games some on BD some on DVD for the others oh and to re-ship games already released!?

Sony, MS, and Ninty, all took their own approach to this gen, Sony wanted to allow for higher capacity games which is already becoming issue/news ala GTAIV content rumors.

[fistpittingnork @ Jun 15th 2007 1:19PM]

I was looking for the details, but I'm at work and simply can't find the time to do so, but there are hardware and software/firmware differences which cost money to produce and for labor which is tied into the $600 price tag on a ps3, so I'm not saying ditch blu-rau format for games, just ditch the requirements for blu-ray movie playing.

[KC @ Jun 15th 2007 2:35PM]

@fistpittingnork,

The cost to produce, ship, stock, support multiple versions of a console is immense. Not only that, you will need to produce different format games, and retailers will have yet another shelf for DVD games vs BD game versions. That's a totally bad idea. Don't you already hate buying DVDs and have to watch out for "full screen" vs "widescreen"?

[Manfred @ Jun 15th 2007 11:46AM]

bla bla bla . . . I think Sony needs to drop the price for the PS3 fast . . . asap. Or PS3 is going to be history altogether.

I bet Sega never knew one day they were going an announcement and tell the world they were exiting the home console business.

So wake up Sony. Aibo is dead already.
Qualia is finished.

Both lovely product.
But 95% of the population could afford it.

Everything I look at PS3's price tag.
I tell myself get a Wii & Xbox at the same time instead.

So Stinger better wake up.
I bet the old man never held of NEC PC Engine Duo system. A perfect case study in Console Business.

[alphaman @ Jun 15th 2007 12:00PM]

I love my PS3. I've had it about 3 months now, and with the nearly continuous updates Sony's done, it gets better and better every month. And it's not a kludge like the XBox/HD-DVD conglomeration that costs just about as much, but offers less, and promises that you'll have to upgrade in another couple years.

My large stash of existing PS2 games look beautiful on it; PS3 native HD games are jaw-dropping. Playing streamed media from my server/PVR is a no-brainer. The free content online is more than enough fun to keep us entertained between the big game headliners (I can't get enough drifting in GT-HD!). I've got 22 Blu-Ray DVDs and am in the process of converting as much of my library over to BR as I can.

I was a little hesitant when I bought the system, but there's no way I'd go back now.

This is like a relationship where you've heard some rumors about your partner before the first date and questioned if you really wanted to go out, but now after dating for 3 months, you're ready to be committed for life.

They don't need to lower the price, they need to better market what you can do with the system. I'm throwing away my DVD player, PVR media streamer, and iPod i/f to my stereo, and have moved the PS2 to the study. The PS3 is my prize component in my living room's HT!

[alphaman @ Jun 15th 2007 12:05PM]

Yes, I'll admit -- I'm an unabashed PS3 fanboy. But I wasn't 6 months ago. I was hopeful, but doubted a lot about the console. There's no doubt anymore.

[Ordeith @ Jun 15th 2007 1:41PM]

alphaman:

When Sony is paying you to talk up their products in forums the trick is to be subtle so people will think you are just an average joe with an honest opinion.

Your post is not subtle.

[alphaman @ Jun 15th 2007 2:57PM]

LOL -- that's funny. Yeah, I wish they were paying me.

Nope, that's my honest opinion. I am not in the game industry and I have not received remuneration from anyone for my comments or opinions.

Never let it be said I am subtle. Just blunt and honest. If MS Fanboys can bash, then why can't I praise?

[Kinburn @ Jun 15th 2007 12:13PM]

Maybe Ryan Block is including the cost of the system, 2nd controller, a movie and 2 games for the $800.

[Karan @ Jun 15th 2007 12:56PM]

That's not "Sticker Price"

[Sy @ Jun 15th 2007 12:16PM]

Why do we still have people demanding Sony to separate the Blu-ray player from the PS3? Don't they know its much too late in the game to even consider that?? The Blu-ray player is part of the PS3 and it will always be that way. Current games won't run without the Blu-ray player and certainly not upcoming ones either.

[boku @ Jun 15th 2007 12:47PM]

Psh.. duh... dont you want a 400 dvd player! its the next cool thing. PS3 that cant play games or BD but atleast it can play dvd's at 400 bucks a unit.

Also. if $800 is all that crap. might as well go the whole 9 yards and say the ps3 is like $3k for tv, ps3, and all the games that are out.

The only big problem is the most obvious problem, theres no games out as of this momment. With 360 coming out games left and right, of course ps3 is going to fall behind. When the ps2 game out, i remember a crap load of games coming out. But it seems like theres not that many games coming out for the ps3 and their competitors are coming out games left and right. We will see this holiday season whether or not the games that come out will save sony.

ps3 = unrealized potential
wii = general/casual/novelty gaming for all ages
360 = library of games, online gaming puts it ahead of the game as well as having 1 year head start

if sony can get the ball rolling for the ps3, sony will dominate. price cut will help for a little bit, but they need to get more exclusives out.

[Karan @ Jun 15th 2007 12:56PM]

Maybe they can simply reassess the price in Australia given how much the Aussie dollar has shifted (upwards) since the announcement, and even the launch. the price difference is ludicrous - I can fly to Japan and back (hooray for superbudget airlines!) and buy a PS3 for the same price.

[captain underpants and the bringdown gang @ Jun 15th 2007 3:13PM]

here is an idea, why not create a price drop in exchange for buying 1st party sony games? buy 3 1st party sony games get a 50 dollar price drop for the PS3 (of course the games have to be for the PS3) that should help sony recoup the losses OR they could go the route of Xbox 360 and create a pay-per-year online service with even more features (and of course free downloads of sony games) of course with the purchase of said online service a mail in rebate will be mailed to you (for 25 dollars or something)

[Stephen Lang @ Jun 15th 2007 3:24PM]

All the consoles suck. The XBox360 is a red ring of death, the PS3 is super-expensive with no games, and the Wii is a Gamecube 1.5 with gimmicky controls that don't even work well.

Have I summed it all up? Should I just keep using my XBox and Gamecube for the next 4 or 5 years?

[ibelli @ Jun 15th 2007 3:27PM]

The tipping point for this console's success is in a price-cut. There are countless people out there, waiting for a good price to "jump-in" at. $75. If you bring the price down $75, the thing will take of. Bring it down $150 and Microsoft will have something serious to think about.

Sony:

You'll make it back, I promise. Bringing the price down will essentially lead to a re-launch of the system. People who have been waiting (like me) will pull the trigger. You might even find yourself having supply problems. In your current situation, thats a good problem to have.

[Victor Cavazos @ Jun 15th 2007 3:28PM]

I'm, like, having this huge Sega Saturn Flashback all of a sudden!

Pricing is a very tricky bussines. You try to factor all the production costs, and then you try to figure out the price range where your consumers are. All this "we are not in the same market" rant that Sony and Microsoft keep telling us when compared to Wii sales is mostly because price categories are not the same, thus the market is also not the same.

In short notice, the inventory is going to be a factor and Sony will be willing to take the blow, letting the console ride with a very big loss, trying to add some services that will grant them a kind of benefit (maybe getting rid of some overstocked blue ray dvd's or making an internet service mandatory for every ps3 purchased).

Either ways, Nintendo needs to act quickly on it's tittles. The fact that they are on shortage makes Wii a hot deal anywhere it's sold. No need to cut the price or offer bundles. But not having blockbuster tittles gives Microsoft some breathing air.

[dunnypop @ Jun 15th 2007 3:34PM]

Sony's bleeding will stop when they have some really good titles... which is 2008.
until then, the 360 has the chance to continue winning the next gen (i'm not including the wii - it's won the console war but it's not a next gen system).