Sony is ran by idiots, 60GB PS3 being phased out, $600 here to stay. - AVS Forum
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post #1 of 109 Old 07-13-2007, 12:24 AM - Thread Starter
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http://www.gamesindustry.biz/content_page.php?aid=26704
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post #2 of 109 Old 07-13-2007, 12:33 AM
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That's not really that suprising.


I don't think it makes them idiots though.


I paid 599 for mine with a smaller drive and no game.

Does that make me an idiot too?
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post #3 of 109 Old 07-13-2007, 12:34 AM
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No but if this is true and not some misunderstanding. Then its not a price cut, its getting rid of older stock so the only choice customers will is the $599 model. Of course that is, until THE NEXT PS3 version comes out. Unbelievable!

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post #4 of 109 Old 07-13-2007, 12:39 AM
 
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Its my opinion that after the 60 gigger is gone you might see the 80 sold for a little while at 600, but it will then be moved down to 500 without a game. Most people believed this would happen from the beginning.
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post #5 of 109 Old 07-13-2007, 12:42 AM
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My first reaction was that Sony is friggin stupid and this whole move was retarded, but then when I gave it more thought, this news is only part of the picture.

Think of it this way.

1. Drop 60 gig system to $499 to clear out stock.
2. Introduce 80 gig limited edition set with Motorstorm and new cheaper to manufacture system for $599.
3. 60 gig stock gets cleared out
4. Take away limited edition set and release 80 gig system for $499.

Now why do I think this is plausable? Well for starters the 60 gig has the emotion engine and the 80 gig does not. This makes the 80 gig cheaper to manufacture and dropping the price for the 60 gig is an easy way to try to push out all the remaining stock to move into the holiday season. I've also heard that 80 gig hdds are cheaper to get in mass quantity over 60 gig hdds these days. Even if not, the cost difference is probably very minimal and can be offset by the cheaper costs of the revision. This could just be a simple way to transition to the new cheaper system which will help them reduce losses quicker. Not to mention the perception of another price drop when they really didn't.

This makes sense, and hopefully it is the case, otherwise what a stupid move by Sony.
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post #6 of 109 Old 07-13-2007, 12:45 AM
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Quote:
Originally Posted by Darknight View Post

My first reaction was that Sony is friggin stupid and this whole move was retarded, but then when I gave it more thought, this news is only part of the picture.

Think of it this way.

1. Drop 60 gig system to $499 to clear out stock.
2. Introduce 80 gig limited edition set with Motorstorm and new cheaper to manufacture system for $599.
3. 60 gig stock gets cleared out
4. Take away limited edition set and release 80 gig system for $499.

Now why do I think this is plausable? Well for starters the 60 gig has the emotion engine and the 80 gig does not. This makes the 80 gig cheaper to manufacture and dropping the price for the 60 gig is an easy way to try to push out all the remaining stock to move into the holiday season. I've also heard that 80 gig hdds are cheaper to get in mass quantity over 60 gig hdds these days. Even if not, the cost difference is probably very minimal and can be offset by the cheaper costs of the revision. This could just be a simple way to transition to the new cheaper system which will help them reduce losses quicker. Not to mention the perception of another price drop when they really didn't.

This makes sense, and hopefully it is the case, otherwise what a stupid move by Sony.

Dude think about it TWO, COUNT EM TWO Versions of the hardware have already been phased out in under a year? And the 20GB was not on par with 60GB, and now the 80GB has partial backwards compatibility. Way too soon!!
If its the 80GB is going to be 499.99 then why are they asking people to pay 100 bucks for Motorstorm?

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post #7 of 109 Old 07-13-2007, 12:47 AM
 
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Originally Posted by Dankir View Post

Dude think about it TWO, COUNT EM TWO Versions of the hardware have already been phased out in under a year? And the 20GB was not on par with 60GB, and now the 80GB has partial backwards compatibility. Way too soon!!

They are attempting to respond to two big forces here. 1. People want a cheaper console. 2. Their investors want them to stop losing tons of money. Its no surprise that they are going to try to continue to improve their profit to boost sales and increase profitability.
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post #8 of 109 Old 07-13-2007, 12:49 AM
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Originally Posted by dpe8598 View Post

They are attempting to respond to two big forces here. 1. People want a cheaper console. 2. Their investors want them to stop losing tons of money. Its no surprise that they are going to try to continue to improve their profit to boost sales and increase profitability.


I think they are just going to confuse customers. 2 consoles out at once, then only 1, then back to 2 and from the looks of it back to 1. If they don't drop the price of the 80gb to 499 then Sony is batshit insane.

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post #9 of 109 Old 07-13-2007, 12:52 AM
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I don't know why people always talk about price cut. There was a $500 PS3 before and it was phased out.
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post #10 of 109 Old 07-13-2007, 12:52 AM
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Well, if they do drop the gameless 80GB to $499, it's likely that they'd do it around X-Mas.

Not saying they will, but it would make sense for them to do so.
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post #11 of 109 Old 07-13-2007, 12:54 AM
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Originally Posted by The_Dark_Knight View Post

Well, if they do drop the gameless 80GB to $499, it's likely that they'd do it around X-Mas.

Not saying they will, but it would make sense for them to do so.

They have to drop the regular 80gb console to 499.99. They just have to.

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post #12 of 109 Old 07-13-2007, 12:55 AM
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Quote:
Originally Posted by Broccoli View Post

I don't know why people always talk about price cut. There was a $500 PS3 before and it was phased out.


They talk about it because the 499 model before was a 20GB with no Wifi and no Memory card reader.

And the 60GB model with wifi and memory card reader was 599.

The price cut was for the 60GB model, not the 20GB.
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post #13 of 109 Old 07-13-2007, 12:56 AM
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Originally Posted by Dankir View Post

They have to drop the regular 80gb console to 499.99. They just have to.


Actually, they don't.
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post #14 of 109 Old 07-13-2007, 01:00 AM
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i wonder if they'll do a blu-ray promotion for the 80gb ones. in any case losing the emotion engine kinda sucks.
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post #15 of 109 Old 07-13-2007, 01:01 AM
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Quote:
Originally Posted by Dankir View Post

Dude think about it TWO, COUNT EM TWO Versions of the hardware have already been phased out in under a year? And the 20GB was not on par with 60GB, and now the 80GB has partial backwards compatibility. Way too soon!!
If its the 80GB is going to be 499.99 then why are they asking people to pay 100 bucks for Motorstorm?

I think the 20 gig system was retired prematurly as it was the system that fit most people since they don't need the media card slots, nor the wi-fi. However, they say at the time that the system was not cost effective to sell at $499 because they were losing more money on it than they were on the 60 gig. That's why that was phased out. If this is true, I don't think they are making anymore 60 gig. Whatever is already produced is it and once that supply is out, it'll be the 80 gig which is cheaper to manufacture for them. It's a transition phase and I think Sony sees it better to only have one SKU. This just helps transition them to the cheaper system much faster and by Christmas if what I said is true, there will be one sku, and it will be the cheaper to manufacture model. It's not way too soon, this is just the smoothest way to do it.

As for your last statement, again, you have 60 gig at $499, 80 gig w/ game Limited Edition bundle at $599. Once 60 gig is gone, you release 80 gig only for $499, it looks like another price drop when it isn't. You can't think of it as paying $100 for Motorstorm because there is no 80 gig at $499 at that point. Here, I'll lay it out easier for you.

1. 60 gig $499
2. 60 gig $499, 80 gig LE w/ game $599
3. 80 gig w/o game $499

That is the stages where the system will exist. None of the stages will exist at the same time effectively. They may drop the 80 gig w/ game to $549 to help phase out the bundle or even keep it at that price.
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post #16 of 109 Old 07-13-2007, 01:06 AM
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Quote:
Originally Posted by Darknight View Post

I think the 20 gig system was retired prematurly as it was the system that fit most people since they don't need the media card slots, nor the wi-fi. However, they say at the time that the system was not cost effective to sell at $499 because they were losing more money on it than they were on the 60 gig. That's why that was phased out. If this is true, I don't think they are making anymore 60 gig. Whatever is already produced is it and once that supply is out, it'll be the 80 gig which is cheaper to manufacture for them. It's a transition phase and I think Sony sees it better to only have one SKU. This just helps transition them to the cheaper system much faster and by Christmas if what I said is true, there will be one sku, and it will be the cheaper to manufacture model. It's not way too soon, this is just the smoothest way to do it.

As for your last statement, again, you have 60 gig at $499, 80 gig w/ game Limited Edition bundle at $599. Once 60 gig is gone, you release 80 gig only for $499, it looks like another price drop when it isn't. You can't think of it as paying $100 for Motorstorm because there is no 80 gig at $499 at that point. Here, I'll lay it out easier for you.

1. 60 gig $499
2. 60 gig $499, 80 gig LE w/ game $599
3. 80 gig w/o game $499

That is the stages where the system will exist. None of the stages will exist at the same time effectively. They may drop the 80 gig w/ game to $549 to help phase out the bundle or even keep it at that price.


Well you agree with me, the 80GB will be 499.99 , cuz if for whatever reason it isn't sometime later on this year, I don't even know where to start.

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post #17 of 109 Old 07-13-2007, 01:10 AM
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Originally Posted by jeanson View Post

i wonder if they'll do a blu-ray promotion for the 80gb ones. in any case losing the emotion engine kinda sucks.


I wouldn't be suprised if there are several Blu-Ray promotions for the next year or so.

I could definatly see a PS3/Spiderman trilogy promo happening.

That could sell alot of players.
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post #18 of 109 Old 07-13-2007, 01:18 AM
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Well you agree with me, the 80GB will be 499.99 , cuz if for whatever reason it isn't sometime later on this year, I don't even know where to start.

Ya, I said that in my first post. It's stupid if they don't but what I outlined is a reasonable explaination of why they have made such a statement. It just doesn't outline the full picture nor can they because if you say an 80 gig is coming for $499, that will completely negate the whole purpose of clearing out stock because people won't buy the system and wait for the 80 gig at $499. So again, if they are doing what I think they are doing, then it makes complete sense and why they've said such a thing but didn't say everything.
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post #19 of 109 Old 07-13-2007, 01:27 AM
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wow...phasing out the 60gb...so there stuck with a 600 dollar console again...speechless lol

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post #20 of 109 Old 07-13-2007, 01:32 AM
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Heck, I'll take even one step further. Now this is unlikely, but think of it in this scenario. 60 gb they're losing way more money than they are on 80 gb systems because the newer ones are cheaper to manufacture. They have to remove all the 60 gig systems out there before they can go full force with the 80 gig cheaper systems. So for now they drop the price a bit to help push the 60 gig, sell the 80 gigs at 599 which helps them gain back some of their losses at selling the system at 499 and also possibly help pay off other losses since the margin is much larger on the newer cheaper to make systems. When the 60 gig is gone, they price drop the 80 gig without game to $449 or even $399. They can't do that now because they need to get rid of all the 60 gig systems out of the market before tha happens or they lose a lot more money that way. This is another thing that's possible, fairly unlikely, but not totally impossible either.

You have to remember that Sony profited on the PS2 hardware alone for quite some time despite them releasing newer versions that cost cheaper since they didn't do a price drop for a long time. It was one of the rare cases where a company makes money off the hardware but it did happen because they were able to lower costs without the need of a price drop.

So to sum it up, even though they could sell an 80 gig system without game for $399 or $449, they don't and sell it for $599 to help recover some losses up until the 60 gigs are all gone. If anything, it's likely at $599 it's at least recouping the losses on the price drop to 499 of the 60 gig.
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post #21 of 109 Old 07-13-2007, 01:33 AM
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Originally Posted by CommanderCool View Post

wow...phasing out the 60gb...so there stuck with a 600 dollar console again...speechless lol

Read the thread. Read what I said....
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post #22 of 109 Old 07-13-2007, 01:49 AM
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Originally Posted by Darknight View Post

Heck, I'll take even one step further. Now this is unlikely, but think of it in this scenario. 60 gb they're losing way more money than they are on 80 gb systems because the newer ones are cheaper to manufacture. They have to remove all the 60 gig systems out there before they can go full force with the 80 gig cheaper systems. So for now they drop the price a bit to help push the 60 gig, sell the 80 gigs at 599 which helps them gain back some of their losses at selling the system at 499 and also possibly help pay off other losses since the margin is much larger on the newer cheaper to make systems. When the 60 gig is gone, they price drop the 80 gig without game to $449 or even $399. They can't do that now because they need to get rid of all the 60 gig systems out of the market before tha happens or they lose a lot more money that way. This is another thing that's possible, fairly unlikely, but not totally impossible either.

You have to remember that Sony profited on the PS2 hardware alone for quite some time despite them releasing newer versions that cost cheaper since they didn't do a price drop for a long time. It was one of the rare cases where a company makes money off the hardware but it did happen because they were able to lower costs without the need of a price drop.

So to sum it up, even though they could sell an 80 gig system without game for $399 or $449, they don't and sell it for $599 to help recover some losses up until the 60 gigs are all gone. If anything, it's likely at $599 it's at least recouping the losses on the price drop to 499 of the 60 gig.


I think because Sony is experienced in making electronics in general that they can probably reduce production costs on their hardware faster than say Microsoft or Nintendo who only makes a few hardware products. They have other electronic avenues/resources to draw upon if they need to.

I don't know any of this for certian, I'm just theorizing.
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post #23 of 109 Old 07-13-2007, 01:55 AM
 
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Being that Sony is actually a hardware manufacturer, they certainly have an advantage in cutting costs over MS, but not Nintendo. Nintendo makes their own stuff.
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post #24 of 109 Old 07-13-2007, 01:59 AM
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Originally Posted by dpe8598 View Post

Being that Sony is actually a hardware manufacturer, they certainly have an advantage in cutting costs over MS, but not Nintendo. Nintendo makes their own stuff.


Right, but Nintendo doesn't make AS much stuff as Sony.

Sony makes pretty much every electronic device you can think of.

I haven't seen any Nintendo tv's or Recievers.
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post #25 of 109 Old 07-13-2007, 03:08 AM
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The question is, how long will Sony keep the 80GB version at $599?

Obviously this depends on how long it'll take to deplete the 60GB inventory. I think they'll sell pretty fast, especially when there's an almost identical version for $100 more. It's a no brainer. Sony knows this. As soon as just about every 60GB version is gone, drop the 80GB version down to $499.99. It'd be nice if they could accomplish this goal before the Holidays. We'll see.

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post #26 of 109 Old 07-13-2007, 03:38 AM
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All this bickering over a game console. Just buy the 60GB for $499 (or less if you search a little) and pop in a larger HDD. Overally, It will cost less than $599. Some places are even offering free controllers, games, etc. for the 60GB.
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post #27 of 109 Old 07-13-2007, 03:45 AM
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God, if anyone thinks that Sony isn't going to introduce an 80 GB PS3 Core Pack for $499.00 when the 60 GB ones are all gone they're pretty sad.

Just think.. god. Use common sense.
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post #28 of 109 Old 07-13-2007, 03:55 AM
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If you as a consumer are concerned about this, then you should be heading out and buying one now.

But no one here is a consumer concerned about this, just more bitching and moaning about $ony.

Do yourself a favor and write a letter to them, it will make you feel better and we won't have to wade through it.
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post #29 of 109 Old 07-13-2007, 04:01 AM
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Nah, just wait for more price cuts.

I sense trouble from Sony PS3. Real trouble.
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post #30 of 109 Old 07-13-2007, 04:07 AM
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This sends a message to consumers: Don't buy a PS3 at $599, eventually a new one will come out at $599 driving the price temporarily to $499 so grab one then.

If Sony needs ot make $599 a system then they should fluff the package up. Not just Motorstorm but three games, Motorstorm, R:FoM and a family game. That would send the value way up while not costing Sony all that much more $$$$. Just pack that box with software so darn near anyone would like them.

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