Now, the heavy weights have given it their best shot! They've all had their big opening days and dollars coming in. Time to sum up the points, pick up the pieces and clean up the rubble!
That battle was pretty much settled as Wii has an estimated 1 million Wii consoles already sold in Japan and the US alone in addition to another 50,000 sold across Europe with that much again sold in Australia. Compare that with Sony's meager 400,000 units in the US and Japan.
Now, yes Wii wins this round hands down but in Sony's defense I would have to say the war is far from over. Much of Sony's loss was due to logistics. Sony, being a company richer than many countries in the world, forgot the first rule of business: Supply and Demand!
Sony just didn't deliver more PS3s to the shelves. They lost mainly due to the large demand with no supply. If Sony had been able to deliver, things would have been different. But even with things the way they are, Sony probably made more money, although I don't have any figures, it's easy to calculate. Wii costs $250 and PS3 costs $600. So for every 10 PS3s sold, Wii has to sell 24 to match the price and still, PS3 is attracting customers with its graphics, online gaming features and Blu-ray DVD player, while Wii is luring customers in with its lower price tag and a motion-sensor that enables them to play virtual tennis and golf.
Let’s wait and see as the giants beat each other's brains out during the Christmas sales.
Click here to read complete article, (Source: wii - Google News)
1 comment:
Are you serious?
What does the selling price have to do with making your argument?
PS3's are sold at a $270 loss
Wii's are sold for an undetermined profit.
When the PS3 reaches 1 million units manufactured and sold Sony will have lost $270,000,000 million. 270 million
the 600,000 US Wii units alreay sold have been caculated as a 190,000,000 million
190 million profit.
At the current royalty price. it is estimated that it will require the sale of 15-20 PS3 games to break even. However this number is offset by any Blueray movies witch also pay royalties to Sony.
The long term furture problem is the high development cost raising the profit bar for 2nd tier developers to 500k units from the typical 100k-200k units profit bar for PS3.
So when it comes down to it if your not EA, Konami, Capcom, SquarEnix or the like your not making games for PS3 in the near furture.
Sony is obviously banking on making Blueray the dominate standard and there using the game developers to sell there movie disk format.
The unanswered questions will the PS3 reach crital mass of units sold, where the average 3rd tier developer can make a profit before, the launch momentum settles and all three systems are judged by the games not the names.
the actual critical mass figure is debatable, however for this generation Microsoft believes it to be 10 million units.
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