From Drought to Glut in One Month: PS3

[Lemur]

Wasn't sure if I should post this in the Arena or here, defaulted to here since this is more my hangout.

Wasn't the PS3 released just about a month ago? Weren't there people waiting days in the rain to get one? Turns out they were sadly misguided. A mere month later, reports are flowing in that there is a glut of unsold PS3s showing up in retail.

Sony made every wrong move over the last year, and it would have taken a miracle to save this launch. Looks like miracles don't happen for naughty corporations.

Spoiler Alert, click show to read: 

Bundles and high price creating PlayStation 3 glut

Matt Martin 10:06 20/12/2006

Forced bundles and high retail price put consumers off, claims tracking firm

The high price of the PlayStation 3, along with the retail practice of bundling the console with software, has lead to a glut of stock online, claims tracking firm NotifyWire.

The company believes the fervour greeting the console launch has already slowed, with consumers put off by forced software and hardware bundles which in some cases can see the retail price doubled.

"I think we're already at the point where people won't pay a premium for the console or be forced into buying bundles," said Ian Drake, president of NotifyWire.

Drake believes interest is waning for the console, and compared the speed in which new Xbox 360 stock sold out before Christmas 12 months ago.

"Last year we tracked several one thousand dollar Xbox 360 bundles which would sell out in less than two minutes after becoming available."

Drake noted a US $1000 PS3 bundle was on offer at an online retailer for over 12 hours recently, claiming, "This sort of thing didn't happen with the Xbox 360 until well after Christmas."

NotifyWire tracks online retailers and informs members when product is available.

Drake also believes that consumers are becoming less trustful of auction sites such as eBay, where newly released consoles can sell for double the recommended retail price.

"I think people are tired of being gouged on eBay, and services like NotifyWire.com are making it easier for the everyday person to buy the PlayStation 3 online from a retailer they know and trust."

[Fragony]

Hmmmm, can't feel very sorry for Sony, indeed a bit of a naughty company, what was it, 'what you create we duplicate'

[lars573]

I follow console developments. And this is not entirely unexpected. The 360 was first. Which counts for something, this is proof. Also there is the fact that Cell is a pain to manufacture. IBM had been having trouble making Cell units with all 8 cores working. In fact they reported that just testing units off the line can blow a core or 2, they're that sensitive. Combine price and potentially dead consoles and you've a bad situation.


Still the fact that Sony is willing to compromise on the new format war. Means they aren't in as strong a place as they though they were.

They are also losing all their 3rd party exclusive games. So far Virtua fighter 5 is going multiplatform. Assassin's Creed, Sony paid off Ubisoft to keep it's multiplatformness secret. Also Mercenaries 2 has been sort of leaked as a none PS3 exclusive. As the developer blog shows them testing the game with 360 dev kits. Now MGS4 rumours keep swirly over Konami taking it multiplatform.

[rory_20_uk]

And current PS3 games are not utilising anywhere near the console's potential, making the difference between it and the 360 even less.

Initially I was utterly sold on the PS3. But due to delays, price, and for me little difference in grunt compared to the 360, why bother?

[Xiahou]

Here's some new info along similar lines.

My own recent experience squares with that of the article's author. I popped into a local Gamestop and it had 4 PS3s in stock, which they said weren't moving very well and 1 (of a larger shipment) Wii left that they expected to be bought up any second.

[Evil_Maniac From Mars]

Took be about a minute. I couldn't resist.

[BDC]

Still the fact that Sony is willing to compromise on the new format war. Means they aren't in as strong a place as they though they were.

That story is nearly 2 years old...

[drone]

Appears that the Land of the Rising Sun has cast it's vote. The Wii is kicking the PS3's butt in Japan, selling twice as many consoles in the same timeframe.
http://mdn.mainichi-msn.co.jp/busine...bu017000c.html

[ZombieFriedNuts]

All I can say is they had it coming ha ha ha

[TevashSzat]

Yep, Sony had it coming since if they weren't all ready to try to jack up prices, they won't be in this situation right now

[Xiahou]

More anecdotal evidence: I was at Target tonight to grab Warioware and there were 10 PS3s in stock and 0 Wiis.