A month ago, the CEO of Activision, Bobby Kotick, complained about the high cost of Sony’s PlayStation 3. Kotick’s threat to Sony, to lower the price of the PS3 or Activision stops making games for the console, is covered here.
Yesterday, in an investor call, Sony CEO Nobuyuki Oneda revealed that manufacturing costs of the PS3 are down by 70%.
Sony reported the company’s first annual loss in 14 years when it released its fiscal first quarter earnings yesterday. Further, the company is projecting over a $1 billion loss through March 2010. Sony may be blaming poor sales on the state of the economy, but people like Bobby Kotick would be sure to argue the price of the PS3 is to blame.
Why does Sony’s PS3 cost so much?
The cost of manufacturing each console is roughly $800. The price to buy a PS3? $399. While it may be the highest priced console against its competitors, Microsoft’s Xbox and the Nintendo Wii, Sony is taking a hit for every PS3 sold.
Sony saw some relief in January when it announced that the cost of manufacturing had dropped by 35% to $450. Though a 70% drop in cost seems to be just what the company needs, which would allow, as rumored, Sony to drop the price of the PS3. But will Sony really want to eat into its new profits, especially after a first quarter in the red and a poor outlook for the rest of the fiscal year?
In an interview with the Times of London, Activision CEO Bobby Kotick threatened to stop making video games for Sony’s PlayStation 3. Kotick blames the high cost of the PS3 and the company’s poor sales of the No. 3 video game console. To the Times, Kotick said, “I’m getting concerned about Sony; the PlayStation 3 is losing a bit of momentum and they don’t make it easy for me to support the platform. It’s expensive to develop for the console, and the Wii and the Xbox are just selling better.”
The No. 1 video game console in the United States, the Nintendo Wii, has a price tag of $250. The cheapest version of Microsoft’s Xbox costs $200. But Sony’s PS3 goes for a staggering $399, causing complaints among many of Sony’s game publishers.
Unfortunately for Kotick, who is calling for Sony to make some price cuts before losing more business, Sony refuses to do as such. Despite reporting a $1 billion loss last quarter, Sony insists that the PS3 is losing momemtum in the mark. In response to Kotick’s threats, Sony issued this statement, “We enjoy healthy business relationships with and greatly value our publishing partners and are working closely with them to deliver the best entertainment experience.”
Kotick may give Sony until 2010-2011 to make a price cut before reconsidering Activision’s support of PS3 and the PSP. But with a market value of $16 billion as the world’s largest independent video game developer, we’re pretty sure Activision has no qualms about cutting Sony out.
This may come as a surprise, but for the past 5 weeks straight the PS3 has been outselling the Wii…in Japan! Nintendo sales are hurting in Japan, despite the fact they continue to boom here at home. Apparently Nintendo is not putting out the software needed to keep its fans faithful.
A Nintendo spokesperson has said “We hope to line up strong software to support hardware sales in the second half of the year.” The boost in PS3 sales have been attributed to the quality titles they have been releasing, something Nintendo is not doing.
” It is still the first few months of the year when sales are slow for the industry, so we are not particularly concerned.” From what I have been hearing they should be! Some economists are saying Nintendo’s stock will soon drop and now is the time to sell.
I think that it all comes down to putting out quality games, and Sony has done an excellent job of that. Last year, we had Metal Gear Solid 4, Little Big Planet, Resistance 2, just to name a few titles. I honestly can’t remember the last time Nintendo put out a title I was even remotely interested in (aside from Resident Evil 4), and I am not being biased - just realistic. Unless Nintendo starts releasing some innovative games, I foresee this trend continuing.
As Christmas is quickly approaching we are sure that you are trying to come up with a creative gift idea for the gamer in your life. Since gamers tastes are picky we know it can be hard trying to find the right type of gift for them. So here at NothingButSoftware we decided to compile a short list of games and accessories that are sure to please any gamer.
1. The Atari Flashback 2
For the classic gamer the Atari Flahback 2 is a plug and play console. It has 40 classic Atari games including, Pong, Centipede, and Pitfall. Plug and plays have been around for a while so the price will be low. A great gift idea for any gamers stuck in the 80’s.
2. Wrath of the Lich King Expansion
If you are looking for a gift for a Wow Gamer this Christmas this expansion is a must. This is the greatest endeavor thus far from Blizzard. Wrath of the Lich king is already breaking sales records, and it continues to grow in popularity. So get this one as early as possible. A good price for a lot of great content, and a whole new Wow experience.
3. The Wii Lightsaber
Of all of the Wii Accessories this one has got to be the best. A great gift for a Wii gamer, and a must have gift for a Star Wars fan. The Wii Lightsaber is designed to be like the real thing, when turning it on the light actually rises from the bottom to the top. It is available in a dual pack with two separate colors, and it is reasonably priced.
4. Guitar Hero World Tour
Hands down the most popular music series in video games is Guitar Hero. Recently released Guitar Hero World Tour is rumored to be one of the most popular game titles this holiday season, and it is already flying off the shelves. It has a huge music library, and supports download content. If you know a gamer that likes this series or wants to get into it check it out.
5. Nintendo Wii
After two years of shortages I am sure we are all weary of the Wii holiday craze. Wii sales are still through the roof, and from what we have heard this year will have it’s share of shortage nightmares. If you have a special gamer in your life who has not been able to get his hands on a Wii yet this would certainly make his/her Christmas I’m sure.
We recently did a post on how Nintendo was taking steps to prepare for the Wii demand for Christmas, and from what we had surmised they were all system go for this holiday season. Nintendo of America president Reggie Fils-Aime was quoted as saying “We’re producing an unprecedented level of hardware to try and meet demand.”
Well it seems there are only a few things in life that are certain death, taxes, and Wii holiday shortages. This has been an issue for the past two years and it seems that the sales clerks at GameStop will have another wonderful year of it.
GameStop CFO David Carlson has stated that he is expecting all Wii stock to be sold out by Christmas, gone, bone dry. “Wii Fit is in very, very short supply. It sells through as quickly as it hits the stores,” Carlson stated. “And although the Wii hardware is in very good supply right now we believe it may as well be out of stock by the holiday season.”
It seems we are getting two different stories; one from the retailers and another from Nintendo, as Reggie has been quoted multiple times as saying that Nintendo was better prepared this year for holiday sales. For now keep your fingers crossed, but if we start hearing this story from other retailers you may be getting a really nice pair of shoes instead.
These are in my humble opinion the five must have upcoming survival horror games. This is for the zombie slayers, monster hunters, and lovers of mayhem. It was our intention to post this video on Halloween, but better late than never.
After 2 years of holiday shortage nightmares; Nintendo is taking steps to meet demands for the Wii this holiday season.
For the past two years Nintendo has completely dominated in revenue, due to the demand for the DS, and Wii console. This year Nintendo is producing a world wide average 2.4 million Wii consoles a month, a vast improvement from last year which was 1.6 million. Good news for consumers, who are anxious to get one this holiday season.
Reggie Fils-Aime the president of Nintendo of Americahas said the reason for the shortage in Wii consoles in recent years has been due to a high level of demand; although it hasn’t slowed down in the least; Reggie has assured consumers that this year’s holiday season will be different than the last
In an interview with the LA Times, Reggie was quoted as saying “We’re producing an unprecedented level of hardware to try and meet demand.” Reggie also went on to say that Nintendo is producing 33% more Wii consoles monthly from last year. When asked in the interview how consumers could better their chances of getting a Wii this holiday season Reggie stated “Look at retailer circulars. Go to their websites. We’re flowing products into stores on a very regular basis. Once you see it on the shelf, you ought to buy it.”
The overall message from Nintendo this holiday season is that although they are expected a big demand they feel adequately prepared for it. So for any of you worry warts out there still nervous about the crowds, the shortages, and the Wal-Mart parking lot riots; rest easy because it seems this year will be a vast improvement over the last.
Photo’s of a new Wii peripheral have recently surfaced on the Internet and a buzz has quickly followed. Currently there is a rumor that the new peripheral could be a Wii pedometer, which could be an added accessory to the Wii fit.
The President of Nintendo Satoru Iwata had announced that Nintendo would be taking a break on peripherals, and word on the street is the Pedometer will be one of the last units released. As much as Wii fans LOVE there health oriented peripherals some are saying they are not interested in the new piece. Sadly the photos are not very telling, and the information on the piece is very vague. For all we know the image looks like glorified garage door opener.
As of now this is all just speculation, there is no solid indication on what the peripheral really is. Nintendo will be having a press conference this Thursday, and hopefully they will address the question of the mystery peripheral.
Since the introduction of Wii-Fit from Nintendo bloggers, readers and even doctors have criticized the brand new gaming console’s attempt in the weight loss arena as just another piece of worthless workout equipment. Even with the major continued success of Wii accessories (i.e. Guitar Hero III Wireless Bundle), and domination of the interactive gaming world, Nintendo’s controversary over the combination of gaming and exercise is clearly taking the gaming world by storm. As time passes more and more Wii-Fit users are fighting back and sharing their experiences online. No commercials, no bias opinion, and no lies. These bloggers and video bloggers are merely trying to prove that this new Wii component IS indeed worth it’s weight (no pun intended).
The Wii-Fit was launched May 21st 2008 has already sold over 1 million units in the US alone! With so many people willing to give Wii-Fit a try we wanted to scour the internet and see just how well the Wii-Fit was working in the bloggosphere!
Results?
Wii came across (haha) this site and this site which is (you guessed it) dedicated to the Nintendo Wii-Fit and testing it’s results. While the weight loss wasn’t dramatic, nor astonishing considering the length of workout, it’s easy to conclude that the Wii-Fit really does work! Obviously keeping a healthy diet, and adding exercise to your daily regiment is still the number one way to keep healthy, the Wii-Fit is a great way to have some fun AND get additional exercise in your day.
So what can I do with Wii-Fit? Wii-Fit has several games that are specifically designed just for it and new games are being released to work with the Wii-Fit. Along with the standard Wii Balance Board, Wii is also going to introduce a number of new attatchments this year. Currently the four main categories of exercise:
Yoga Tree Pose
Warrior
Half Moon
Deep Breathing
Balance Games Soccer Heading
Ski Slalom
Ski Jump
Table Tilt
Strength Training
Single Leg Extension
Torso Twist
Push-Up and Side Plank
Jack-Knife
Lunge
Aerobics
Hula Hoop
Basic Step
Basic Run
2 People Run
Opinion
Wii-Fit is an awesome way to combine fun and exercise. I still always suggest a healthy diet, regular exercise routine and healthy social life as a must to staying in shape, but there is no doubt that the Wii Fit is a fun way to combine gaming and exercise! I personally would love to get a Wii Fit routine in place and test it my self, but with the warm beautiful summer here, it’s hard to resist my desire to exercise outside… I guess I will have to wait for winter for my official Wii Fit experiment!
Since the introduction of 
