Comments on: Sony Gives Critics Cause For Pause http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/ Jeff Nolan's take on investment, innovation, entrepreneurship and the technology industry Mon, 15 Mar 2010 20:27:53 -0600 http://wordpress.org/?v=2.8.6 hourly 1 By: ITechTips http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/comment-page-1/#comment-92710 ITechTips Sun, 18 Mar 2007 12:53:53 +0000 http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/#comment-92710 <strong>Sony silences critics...</strong> Sony is experiencing a tough time for their strategy and crappy stores, failed online music service and the most recent one will be regarding the newly launched PS3. Today Sony launches a social network for PS3 users and named...... Sony silences critics…

Sony is experiencing a tough time for their strategy and crappy stores, failed online music service and the most recent one will be regarding the newly launched PS3. Today Sony launches a social network for PS3 users and named……

]]> By: Jeff http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/comment-page-1/#comment-86238 Jeff Fri, 09 Mar 2007 06:15:40 +0000 http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/#comment-86238 Tim, I think you are right about the pricing strategy. However, if Sony keeps coming out with services that leverage the PS3 they could end up making those price points look a lot more reasonable. Keep in mind that it's not about coming up with reasons to make people buy a $600 console, but rather making a $600 console a lot more appealing to a segment of the market that just needs to be pushed over the edge. Tim,
I think you are right about the pricing strategy. However, if Sony keeps coming out with services that leverage the PS3 they could end up making those price points look a lot more reasonable. Keep in mind that it’s not about coming up with reasons to make people buy a $600 console, but rather making a $600 console a lot more appealing to a segment of the market that just needs to be pushed over the edge.

]]> By: Global community spirit « Joe Duck http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/comment-page-1/#comment-86056 Global community spirit « Joe Duck Thu, 08 Mar 2007 20:14:18 +0000 http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/#comment-86056 [...] perhaps most significant, is SONY’s Playstation 3 virtual world that launches this spring.  Critics are raving about SONY’s brave new world, some suggesting it’s superior to the top virtual world [...] [...] perhaps most significant, is SONY’s Playstation 3 virtual world that launches this spring.  Critics are raving about SONY’s brave new world, some suggesting it’s superior to the top virtual world [...]

]]> By: Tim Marman http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/comment-page-1/#comment-86043 Tim Marman Thu, 08 Mar 2007 18:44:47 +0000 http://jeffnolan.com/wp/2007/03/08/sony-gives-critics-cause-for-pause/#comment-86043 Just to play devil's advocate, does this *really* matter? It's a nice add-on, but is anyone really going to be compelled to spend $500-600 on a gaming console because of a Second Life clone? (I'll point out that SL is ostensibly free to play, at least from a subscription perspective). The price to me is still the killer thing. Both the 360 and the PS3 offer media center capabilities, but the one really smart thing I think Microsoft did (well, aside from launching a year earlier than either the Wii or PS3) was not building in the price of the next-gen drive. I don't watch enough movies to be really interested in either HD-DVD or Blu-Ray, and Microsoft gave me the ability to avoid (or defer) that additional $200 cost. Classic market segmentation. (Even the core to premium gap was a smart one - though most would eventually buy the hard drive, it was a smart move lowering barrier to entry to many parents. The PS3 had two levels, but from what I recall it's not possible to upgrade later because of built-in components... though I may be wrong there). Until the premium comes down significantly on the Blu-Ray drive, the PS3 is going to have a severe disadvantage when it comes to the casual user, and most gamers either made their mind up before either system came out or are getting both. Just my opinion though :) Just to play devil’s advocate, does this really matter? It’s a nice add-on, but is anyone really going to be compelled to spend $500-600 on a gaming console because of a Second Life clone? (I’ll point out that SL is ostensibly free to play, at least from a subscription perspective).

The price to me is still the killer thing. Both the 360 and the PS3 offer media center capabilities, but the one really smart thing I think Microsoft did (well, aside from launching a year earlier than either the Wii or PS3) was not building in the price of the next-gen drive. I don’t watch enough movies to be really interested in either HD-DVD or Blu-Ray, and Microsoft gave me the ability to avoid (or defer) that additional $200 cost. Classic market segmentation. (Even the core to premium gap was a smart one – though most would eventually buy the hard drive, it was a smart move lowering barrier to entry to many parents. The PS3 had two levels, but from what I recall it’s not possible to upgrade later because of built-in components… though I may be wrong there).

Until the premium comes down significantly on the Blu-Ray drive, the PS3 is going to have a severe disadvantage when it comes to the casual user, and most gamers either made their mind up before either system came out or are getting both.

Just my opinion though :)

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