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PlayStation 3 to face an uphill battle after launch

March 22nd, 2007 · No Comments

Sony has got an uphill battle on its hands persuading consumers to buy into the . So predicts Carl Gressum, senior analyst at marketing group Ovum. “Sony has gone from being the king of consoles, to face stiff competition in a market where for the time being it has been side-tracked.” Ovum, a consultant to blue-chip firms, believes that Sony could learn much from “Apple on corporate communication, and how to work with the press and media. Sony has too many outspoken executives and too little control of what they say and do.”
The Japanese giant also needs to “get costs under control and bring down the price point of the PS3. There is no secret that Sony is losing money on every console that is sold. The cat is out of the bag, so Sony’s hands are largely tied by now, but key will be the Cell processor manufacturing process, and bringing down the cost of the Blu-ray drive. It also needs to re-establish confidence in the market, which is losing faith in the PS3 because of the poor execution from the PlayStation Group.”
Sony has received considerable criticism for the pricing of the PS3. The console is 27 per cent more expensive in the UK than in the US and a massive 68 per cent more than in Japan.

Tags: HD DVD and Blu-ray · Trade · Video games

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