Stringer On Kotick's Threat: "He Likes To Make A Lot Of Noise"
Sony CEO Howard Stringer has never been one to mince words. Therefore, his responses to recent questions concerning a PlayStation 3 price cut, Activision's threats, and the recession were predictably short and to the point.
Stringer, along with Activision Blizzard CEO Bobby Kotick, arrived at the Allen & Co conference in Sun Valley, Idaho on Tuesday, and Stringer replied to some queries posed by Reuters. First on the agenda was addressing Kotick's widely known threat that Activision Blizzard might stop supporting the PlayStation brand if Sony didn't drop the price of the PS3. Analysts dismissed the threat as just nothing more than hot air and of course, logical humans knew the world's biggest video game publisher wasn't about to eliminate 45% of any product's sales potential by not delivering it to PS3 owners. Stringer didn't have much else to say:
"He likes to make a lot of noise. He's putting pressure on me and I'm putting pressure on him. That's the nature of business."
Then Stringer was asked about the logic of failing to issue a price cut, to which the CEO promptly responded, "I [would] lose money on every PlayStation I make -- how's that for logic." He also clarified that Sony has no intention of selling off any of their assets and as for the recession, he sees "green shoots but it's a very light shade of green." In other words, he sees the economic situation in most of Asia rebounding and China may have hit bottom (which of course would allow it to rise back to the top). Stringer had commented before that Sony would have to ride out the storm posed by this recession, and it seems they've done exactly that thus far.
As for a price cut...well, like we've been saying all year, you probably shouldn't expect one until fall, when the supposed Slim PS3 hits the market.
7/8/2009 Ben Dutka