Sony: Developers Just Want The PS3 To Be Free

Analysts, journalists and gamers alike are all clamoring for a PlayStation 3 price drop, despite Sony's insistence that the machine is well worth the money, and they have no plans to issue a price reduction any time soon.

Janco Partners analyst Mike Hickey predicted a price drop within the next month, but Sony quickly shot down that possibility, although they didn't rule out the chance of a price cut some time down the road. The Nintendo Wii's much more accessible price and wide mainstream appeal has garnered millions upon millions of fans worldwide and as EA's Peter Moore said, "you can't ignore the guy who has half the market." He also added that Sony has "a ways to go with their pricing," but Peter Dille, perhaps a little miffed at the constant pressure to drop the price of the PS3, replied-

"Everybody in the development community would love for the PS3 to be free, so they could just sell razor blades."(source- Bloomberg)

That's actually pretty funny. Dille did admit that Sony is indeed concerned with profitability, but then again...what company isn't? At this point, we figure it's safe to expect a $50 - $100 price cut for the 2009 holiday season, but perhaps no earlier than that. It would make sense for Sony to issue the reduction in accordance with a major exclusive release, and Uncharted 2: Among Thieves may be a prime candidate. Remember the PS3 bundle that featured the original Uncharted...? Anyway, we'll definitely keep you updated on the situation.

3/16/2009 Ben Dutka

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Comments (60 posts)

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The_Benny
Monday, March 16, 2009 @ 11:14:27 AM
Reply

It must be annoying to have so many people talking about nothing but the console's price, but as soon as a cut does come I think the boost to hardware sales will be pretty impressive. Lots of people are just waiting for it to pass that tipping point.

I imagine third-party developers would love all consoles to be free though, seeing as it's the main obstacle between them and high sales. If all you make is the razor blades all you need to care about is that the razors sell cheap enough for lots of people to have them.

3 up, 1 down

anjpikapp3
Monday, March 16, 2009 @ 5:50:23 PM

Sorry "The_Benny" this really has nothing to do with your comment...
Why does Sony have to break their cost?? is it because of developers? or is it because of competition? developers will continue to make games because that's their job....if they wanted cheaper consoles then they should have thought of that before getting into the developing business. As for competition...has anyone tried to buy a 360 lately? console (pro bc of the hard drive) $300, extra controller $50, wireless network $100, Live $70...altogether $520 without tax.

PS3 and extra controller $455 without tax...REALLY? Oh, and don't for get the added bluray player...additional $200 in value if you had to buy one separate.

so 360 + blue ray player $720
OR
PS3 for $455

Sony does NOT need to drop the price...if you cant afford it then you should get another hobby!!

Last edited by anjpikapp3 on 3/16/2009 5:54:25 PM

4 up, 2 down

The_Benny
Monday, March 16, 2009 @ 8:47:56 PM

Yep, competition is a big part of the reason. The Wii and the cheapest 360 SKU sit in a much more attractive price bracket, and while the Wii isn't really comparable and an equivalent price breakdown makes the 360 more expensive, to the average consumer that doesn't come across. The 360 saw huge sales momentum from its price cut and the PS3 will likely do the same.

From the developers point of view it's obviously a case of wanting the largest install base possible because that translates to more people able to buy the game, and with games being more expensive to develop that becomes increasingly more important. If they're looking at 500,000 sales from the 360 version and 300,000 from the PS3 version (I'm just making the numbers up), and believe that a price cut of $50-100 would bring the PS3 side up to 400,000 or even matching the 360's, then obviously that's more desirable. They get more games sold (and more money earned) for no additional effort.

I imagine some devs and publishers are looking at it as the only thing between them and increased sales. "If we release the game before a price cut we'll sell 300k, but if we release after we'll sell 400k!" Considering everybody thinks the price cut is coming there are probably quite a few who don't want to release on the wrong side of it.

0 up, 0 down

Cpt_Geez
Monday, March 16, 2009 @ 11:17:34 AM
Reply

II think sony will make a $50 price reduction this coming holidays. Free yeah right nothing is free in life, hell if they could they would charge us for the air we breathe. These developer not gone give us games for free lol.

Last edited by Cpt_Geez on 3/16/2009 11:19:17 AM

2 up, 0 down

maxpontiac
Monday, March 16, 2009 @ 11:17:36 AM
Reply

Sony is right, where can you buy a machine that offers the feature set the PS3 has a whole?

You can't. And that's the bottom line.

I can see the other side viewpoint as well. Once the PS3 becomes equal to the competitors in pricing, the PS3 user base will explode, so it's obvious on why game companies want a price drop.

3 up, 0 down

JasperLoons
Monday, March 16, 2009 @ 11:38:27 AM
Reply

Why isn't anyone yelling for Wii price drop? Yeah, yeah, I get that they sell like hotcakes anyway, but it's a rip off!
If Microsoft can sell the bottom of the line 360 for $200, the Wii should definitely be that cheap.

Honestly, I just want the Wii gimmick train to end. I sick of the real games consoles being compared to it.

0 up, 0 down

HeXeN
Monday, March 16, 2009 @ 4:16:29 PM

I feel the same way about the wii.I still can't believe that people are being suckered by such an old gimmick, I remembered that I use to play my dreamcast with the motion reel but I got tired real fast.So wii basically combined the power glove with the gamecube and everyone is licking their butt hole.

0 up, 0 down

Gone
Monday, March 16, 2009 @ 4:37:38 PM

"The Wii gimmick train" is about to end. I have noticed a lot of Wiis still on the shelves.

0 up, 0 down

Qubex
Monday, March 16, 2009 @ 9:11:47 PM

PSXMAX, that would be nice... I would like to get a Wii just to play around with it and hack it, load home brew. Put Linux on it etc... could be fun!

Q!

"i am home"

0 up, 0 down

NULL
Monday, March 16, 2009 @ 11:42:13 AM
Reply

This sounds pretty stupid but why not drop the price for like 3 months then raise it again, people would be mad to get it before it ended.

0 up, 0 down

Troy Powers
Monday, March 16, 2009 @ 12:01:06 PM

THAT would be HILARIOUS!!!

0 up, 0 down

Sir Shak
Monday, March 16, 2009 @ 11:43:27 AM
Reply

The PS3 will always remain the most expensive out of the three even after they get aggressive with price cuts . So the bitching won't stop in the future either .

0 up, 0 down

Cavan
Monday, March 16, 2009 @ 11:51:05 AM
Reply

the thing is, the 360 elite has just had a price drop in the uk, it is now 199, while the ps3 retails at 299, which is quite a gap as the normal 360 is only 169, which is nearly half price the ps3, now i know all the add ons etc and value for money and stuff equals the ps3 being better value, but i know better, many don't particulary parents, who buy their kids consoles for birthdays and such. if the ps3 was at 249 then its competitve, if it was at 229 it would sell like hot cakes, if it was 199, it would destroy the market. However i dont think the ps3 will have a price drop until they bring out a ps3slim or summin like that and drop that at the 199 sweet spot, lets just hope its not too late by then.

0 up, 0 down

Troy Powers
Monday, March 16, 2009 @ 11:59:57 AM

If the PS3 is 199 and the 360 is 169, Joe Schmoe is STILL going to buy the 360. So, why even play the price game? If I were a Sony exec, I'd do the same thing. Keep the price the same, and keep pumping out great products...exclusive games. The consumer that appreciates quality will pay for it. The cheapskate will buy the system with last gen specs, or the system with a 33% failure rate. You've gotta pay to play with the big boys.

4 up, 1 down

Qubex
Monday, March 16, 2009 @ 9:12:46 PM

I don't know Troy Powers, we would have to wait and see if that really is the case when the PS3 price drops are introduced :)

Q!

"i am home"

0 up, 0 down

Troy Powers
Monday, March 16, 2009 @ 11:54:40 AM
Reply

I say stick to your guns, Sony. You get what you fuckin' pay for. If you're being a cheap bastard, you get cheap products.

I say screw the whole thing. Stop trying to compete with the 360. The PS3 is a completely different animal. The PS3 is a premium product and it sells at a premium price. If it's too steep for you, get a 360 or a Wii. I could care less about NPD hardware sales numbers. I don't need my console to sell as many units as another console. Leave that for the commoners. Get on my level or get lost.

5 up, 1 down

karneli lll
Monday, March 16, 2009 @ 1:49:18 PM

"Get on my level or get lost"

killa line

0 up, 0 down

Qubex
Monday, March 16, 2009 @ 9:13:35 PM

Rise to the occasion; or don't rise at all :)

Q!

"i am home"

0 up, 0 down

WorldEndsWithMe
Monday, March 16, 2009 @ 11:54:54 AM
Reply

Worth...every...damn...penny.

6 up, 0 down

Ultimadream
Monday, March 16, 2009 @ 12:15:17 PM

Damn Straight!
Think of what you get
PS3,2,1, DVD/BLURAY player/ CD player, Video,Photo and Music Storage and player, web browser, it has the whole kit and kaboodle

3 up, 0 down

NightHawk17
Monday, March 16, 2009 @ 1:31:05 PM

Every penny for my launch 60 gig, these people got a lot of nerves complaining about the price. They can get a 80 gig w/ a dualshock for $400 meanwhile i saved up from my summer job to buy a 60 gig for $600 and a dualshock for $50 and haven't looked back since

2 up, 0 down

Troy Powers
Monday, March 16, 2009 @ 2:09:39 PM

Exactly. I bought a launch 60 gigger, an extra controller, and can't remember if I bought one or two games with it. Either way, I walked out of the store $800 lighter. I said it then, and I still say it now, it was worth every penny. I'm so sick of cheapskates whining about the price. That's like going to the Audi dealership and saying, "I'm not buying this S8 until it costs the same as a Ford Focus."

Ummm...no. WALK your happy ass down to the Ford dealership, and you can drive a Ford.

Everybody's happy.

I mean, honestly, this is the best deal. If you want a high end console, you can get one. If you want a mid-level console, there's one of those too. And if you want a low end console...duh! Something for everyone.

But, don't drive to my house in your Focus and tell me my S8 is too expensive. It's not too expensive. It's just too expensive for YOU.

5 up, 0 down

Diggity Dan
Monday, March 16, 2009 @ 11:55:25 AM
Reply

I for one think it's well worth the current price, but the reality is most consumers dont see it that way. Im not saying that means that Sony "needs" a price cut, but it does mean they're not gonig to move consoles until they do.

In fact, my PS3 was stolen a few weeks ago. Im trying to decide if I can hold out a few months to see if price drops before I buy. Best Buy has a promotion where you get the console plus a free game (KZ2, MLB 09 the show, LBP). Tough to resisit since all my games were stolen too :(

1 up, 1 down

Gone
Monday, March 16, 2009 @ 11:58:51 AM
Reply

This week Best Buy has a sale where you buy any PS3 and you get a free game (KillZone2, LBP, MLB 09: The Show). That is a great deal, but I am waiting for the 45nm RSX and 45nm Cell PS3 to come out sometime in July.

0 up, 0 down

HeXeN
Monday, March 16, 2009 @ 4:18:29 PM

what is the deference between those cells and the ones out now.

0 up, 0 down

Gone
Monday, March 16, 2009 @ 4:33:50 PM

The difference is power usage and size. With the smaller chips, Sony might make a Slimline. Here is an article about it.

http://www.videogamesblogger.com/2007/02/19/smaller-slimline-ps3-or-psthree-possible-by-2008-or-early-2009.htm

0 up, 0 down

ps92117
Monday, March 16, 2009 @ 5:09:19 PM

45% less electricity and 34% smaller, not sure bout rsx though.

0 up, 0 down

NoSmokingBandit
Monday, March 16, 2009 @ 12:00:40 PM
Reply

Why cut the price, the ps3 is selling just fine. Everyone compares its numbers to the 360, but it was out a whole year earlier with no competition. The ps3 does NOT need a price cut, it needs less bitchy developers.

5 up, 0 down

rell
Monday, March 16, 2009 @ 12:47:57 PM

@NoSmokingBandit I agree with u.

1 up, 0 down

elass0wyp0
Monday, March 16, 2009 @ 3:28:50 PM

Good point. The 2 products do not offer the same features. You can't buy a Porsche for the price of the Camry just because they are both cars. It's not the same thing. Naturally the lower priced and featured car will be cheaper and possibly sell more.

You get what you pay for and every PS3 owner knows that. If anything, the PS3 should get a price increase. The late adapters should be penalized for waiting so long to jump ship. lol

I don't honestly care what the console sells for now, I got mine a long time ago.

2 up, 1 down

Gone
Monday, March 16, 2009 @ 3:49:38 PM

What are you talking about, the "late adapters" did get penalized. We didn't get backwards capability.

1 up, 0 down

convergecrew
Monday, March 16, 2009 @ 12:19:37 PM
Reply

If you met Peter Dille face-to-face I bet he would be the biggest, smarmiest d*ck youve ever met. He just seems that way.

0 up, 0 down

PANICinc
Monday, March 16, 2009 @ 12:40:12 PM
Reply

Think about it like this. Sure the 360 has higher sales numbers than the PS3, but that doesn't make it a better system! XBOTS are buying 2-3 replacement systems a year! PS3 you only buy once and live in gamer bliss! A price cut is not needed, nor is it feesible! The PS3 is not cheap to make, so why should it be cheap to buy?

2 up, 0 down

rell
Monday, March 16, 2009 @ 12:46:36 PM
Reply

I hate sales number, yes we all know the ps3 is expensive but so what you must pay the cost to be the boss. In order for sony to lower the ps3 price, some gamers need to make that sacrifice and purchase one if haven't already, some gamers on psxe are proud owners of the ps3 who have families and sacrifice to buy one. I guess some gamers still don't know how to save money or get a job. I just been laid off on my job because of cut backs and three days later got another one. I guess its the state of mind of the person, Im not rich but I learn how to save and still spend.

3 up, 0 down

Jordahn
Monday, March 16, 2009 @ 1:18:54 PM
Reply

I'm sure that "the development community would love for the PS3 to be free." Who doesn't want the PS3 to be free, but that was such an unprofessional statement because it makes it look as if the developers were a bunch of cheapscapes. This is not a pretty scenario here. If SONY lowers the PS3 price, it hurts their profitability. If they do lower the price, software sales will potentially go up, helping these developers in a slowing economy. And as much as I agree with this "the PS3 is selling well enough" statement, this only applies to SONY. There are the 3rd party support they need to be concerned about.

1 up, 0 down

slugga_status
Monday, March 16, 2009 @ 1:26:08 PM
Reply

@ rell - I agree with that 100%. I waited a whole year after the ps3 launch to get mine. People who bi*** about the price need to shut up or buy something else. I mean if you want a Blue ray player its about $300 alone. So why not pay the same price or a little more for a ps3? All my friends who have 360 have already moded theirs to burn their games on dvd-r and play online with xbox live.

Wii is in a different category. I personally wouldn't spend my money on it. Still haven't and never will.

3 up, 0 down

Troy Powers
Monday, March 16, 2009 @ 1:33:40 PM

"People who bi*** about the price need to shut up or buy something else."

</discussion>

5 up, 1 down

rell
Monday, March 16, 2009 @ 4:41:41 PM

@slugga_status enough said. 1.Ps3 owners including myself help the sales to get the ps3 current price drop from $600 to $500 and from $500 to 400 did any ps3 owners complain probably not, because our mind set was I need to save money or borrow money and pay back. 2.Maybe some gamers need to lay away on a ps3. I know this economy is struggling we will see when income tax roll around. 3.Some gamers shouldn't concern themselves with sales, as long as sony still in the gaming business we shouldn't worry about sales. 4.We need to worry about games and buying them. 5.Theres a rumor going around saying ps3 owners including myself are all about hype when a new game come to the ps3 some gamers say they will go out and buy and then change their minds. 6.Thats why VC didn't sell well in america because of out that 21 million ps3 owners and this game couldn't sell a million copies. MGS4 should have sold a least 6million worldwide. 7.Im not trying to dictate how people should spend their money.

1 up, 0 down

RustEDalex
Tuesday, March 17, 2009 @ 7:42:53 AM

@ rell-your number 1 is wrong its the removal of parts and making the Cell SPU and other parts smaller that made the price drop

Last edited by RustEDalex on 3/17/2009 7:47:16 AM

1 up, 0 down

crawdaddy
Monday, March 16, 2009 @ 2:24:36 PM
Reply

Yeah! It should be free! Sony Sucks! The PS3 has a major design problem just like xbox 360, and Sonywill not admit it. Look on the internet at the number of people that have bricked systems with the yellow and red lights of death. I am a 56 year old disabled man on a very fixed income, and I own a 60 gig PS3 that bricked. Sony should give everyone with a bricked system an auto 3 year warranty like Microsoft did, and repair these systems. I paid 599.00 and that should cover it. It was all I could do to buy it to start with, and I canT afford to pay another 150.00 or more to get it fixed. Sony sucks, and Im thinking about going to Xbox 360. At least they will back their product.

Last edited by Ben Dutka PSXE on 3/16/2009 6:51:39 PM

1 up, 4 down

ps92117
Monday, March 16, 2009 @ 2:29:44 PM

I hope you are being sarcastic, else ahhh there really ain't any hope for humanity.

2 up, 0 down

JDC80
Monday, March 16, 2009 @ 4:35:01 PM

That's the only beef with Sony 150 bucks for repairs I was still under warranty when the blu ray drive kicked the bucket last summer. But saying that I wouldn't trade my PS3 in for a 360 cuz Microsoft already shown me once they come out with a new system they're willingly to drop their past system. And the warranty even I do wished Sony had the same 3 year warranty but why you want a console you have to go through 3 or 4 until you get lucky?

While the PS3 isn't prefect but comparing what the other two systems offer I take the PS3 all day. Now if Sony want to do a price cut do it for the repair cost.

2 up, 0 down

Ben Dutka PSXE [Administrator]
Monday, March 16, 2009 @ 6:52:55 PM

crawdaddy: I'm sorry to hear about your PS3, but there really is no comparison in terms of reliability between the PS3 and 360. One is quite reliable while the other is basically catastrophic, based on retail defective numbers.

Guess which is which... Microsoft HAS to "back" their product; they made a crappy one to begin with.

3 up, 1 down

Qubex
Tuesday, March 17, 2009 @ 3:09:49 AM

Yip, if M$ did not back it to the level they were forced too, they would have had riots on the streets!

Q!

"i am home"

0 up, 0 down

ps92117
Monday, March 16, 2009 @ 2:27:15 PM
Reply

I am expecting something in GDC, as of now its doing just fine. It outsold the wii 2.5/1 for the 3rd week now, in japan. KZ2 must have had some sort of effect on US, and PS3 always does well in EU.

1 up, 0 down

Robochic
Monday, March 16, 2009 @ 2:38:47 PM
Reply

@ troy Powers 10000% agree with you. So does my husband we've been reading you're remarks and he's been saying the same thing since the PS3 was launched. If you can't afford it then go for the cheaper consoles but you won't get close to the greatness that you do with the PS3.
I got a 20gig Ps3 on launch my dad got it for me, after paying for the console plus an extra control which has no vibration it was like 680 bucks. I've been saying it for like ever the PS3 does not need a price reduction, i would rather them concentrate on making great exclusives then do a price cut. It's like everything cheaper does not mean better actually it means crapier. my parents never regret spending the amount they did, now i'm looking at getting another one with a bigger harddrive, i'm just saving for it little by little.

2 up, 0 down

Mystearica
Monday, March 16, 2009 @ 3:05:52 PM
Reply

I honestly dun care anymore... I'm thinking of going 360... I LOVE RPGs - but sheesh I wish the PS3 would get more... I swear I dun mind spending a grand but I need something to work with! YES I know some are coming... but the 360 keeps getting more and more... as far as I can tell the only thing that the 360 does not far that I'm interested in is FF vs XIII.

0 up, 1 down

rell
Monday, March 16, 2009 @ 4:49:38 PM

@Mystearica I feel your pain the ps3 need more rpgs I hope this year at e3 theres some anouncement about rpgs coming to the ps3.

0 up, 0 down

tlpn99
Monday, March 16, 2009 @ 3:12:00 PM
Reply

The PS3 is worth the money pity about the backwards compatibility thing but for those who cant get one now there is always plenty of PS2's out there quite cheap now too. I am lucky in the fact that I have mine still but even luckier that I got the PS3 thats backwards compatible, only games I have played besides some retro classics is the MGS games.

Last edited by tlpn99 on 3/16/2009 3:12:36 PM

1 up, 0 down

kidgrid
Monday, March 16, 2009 @ 3:17:12 PM
Reply

With all the talk of price cuts, why doesn't ea cut the price of their games to $40 and lead the way? Oh that's right they don't like to give stuff away either.

3 up, 0 down

Blaiyan
Tuesday, March 17, 2009 @ 4:37:49 PM

I agree with releasing some games at $40. 90% of the games I have I bought at $40 and under. I'd be willing to buy and try more games on release at that price point. Otherwise i'll just wait. I'd be glad to buy a ratchet, uncharted, MGS or resistance at $60 but a Dark Sector, Wheelman, Stranglehold or a sports or racing game(s) is more than likely to be a $40 or less purchase.

0 up, 0 down

Gone
Monday, March 16, 2009 @ 4:09:17 PM
Reply

Remember the PSX? Nobody bought it because it was a $500 PS2. I am not knocking the PS3 price. I just wanted to know if anyone even bought a PSX?

0 up, 0 down

Gone
Monday, March 16, 2009 @ 4:48:07 PM
Reply

The price doesn't matter, it's how you use it.

1 up, 0 down

ps92117
Monday, March 16, 2009 @ 4:57:27 PM

correct.

0 up, 0 down

cadpig
Monday, March 16, 2009 @ 7:08:43 PM
Reply

Why are you guys against a price cut? When you got Developers,Analysts, journalists and gamers begging for a price cut. Give them one. Give the people what they want.
I think a pricecut would get more folks off of the fence and in to the PS3 camp and that's a good thing.

Last edited by cadpig on 3/16/2009 7:12:36 PM

1 up, 3 down

Dingodial
Tuesday, March 17, 2009 @ 10:39:36 PM

You are forgetting that a price drop may cause Sony to go out of business because it already cost them more to make PS3 that what we pay for PS3.

1 up, 1 down

RadioHeader
Monday, March 16, 2009 @ 7:12:14 PM
Reply

Stop perpetuating the myth that the PS3 is expensive.

1 up, 0 down

slugga_status
Tuesday, March 17, 2009 @ 10:09:50 AM
Reply

No price cut. You either get it or you don't. Plain and simple. You gotta pay the cost to be the boss.

2 up, 0 down

Dingodial
Tuesday, March 17, 2009 @ 10:36:37 PM
Reply

I know some people on this site must really want a price drop (I see articles like this nearly every other day on PSXextreme & I honestly think you shouldn't spend time writing articles like this one Ben because it's the same story over and over again). Everyone has to agree that a price drop would raise sales on PS3 but as a result it would also make Sony declare bankruptcy. Here's the reasons why...

1. Sony recently declared this year that they have experienced a 95% loss in profit since 2006.
2. It cost Sony more to make PS3 than what they sell it for.
3. Everyone complained when Sony cut off the Backwards Compatibility & the memory card slots (so they could offer more hard drive memory). Even the dumbest of idiots know that the only way Sony could offer another price drop is by cutting out more of the features. If they did that, everyone would complain even more than they are now.

People who are begging for another price drop are really just selfish people who probably payed $3000 for their TV but for some excuse think that 400 bucks is too much money to fork out to buy the world's greatest game system (PS3). We should stop complaining about the price but instead be thankful that a system this great is even available for purchase!

No offense but if PSXextreme releases articles talking about how great of a bargain the PS3 is now AND at the same time releases articles asking for price drops (like this one) then you guys at PSXextreme are really being contradictory.

1 up, 1 down

cadpig
Wednesday, March 18, 2009 @ 6:39:28 PM
Reply

I guess these guys didn't get the memo...

http://www.bloomberg.com/apps/news?pid=20601101&sid=aiHCQM2xNCmU&refer=japan

Sony is under pressure from video game publishers to cut the price of the PlayStation 3 console, or risk seeing more development funds shift to Nintendo's Wii:

0 up, 0 down

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