Sterne Agee’s Arvind Bhatia states "We believe Sony’s FY09 forecast of +30 percent for PS3 hardware unit sales implies a definite and meaningful price cut sometime this year, as that is really the only way we see for them to change the sales momentum for PS3," wrote Bhatia. We believe this forecast implies Sony will likely do two things 1) introduce an upgrade to PSP and; 2) lower the price of the current generation PSP. In addition to a $100 price reduction, which would put the PS3 in easier reach of a mass market audience, we note that Sony has a healthy lineup of upcoming first-party video games planned over the next year, including Infamous, God of War III, Heavy Rain, Uncharted 2 and Gran Turismo 5. We also believe the sweet spot for console sales is below $300; thus, a price cut of less than $100 would likely be perceived negatively by the market. For Sony PlayStation, we believe the next 12 months are critical to regain market share, particularly with Nintendo losing some momentum near-term, and with Microsoft likely introducing a new gesture-based user interface. read more
Technorati Tags: price, sony, cut, lineup, market, ps3, psp news
This entry was posted
on Sunday, May 17th, 2009 at 3:46 am and is filed under PSP News.
You can follow any responses to this entry through the RSS 2.0 feed.
Responses are currently closed, but you can trackback from your own site.
Loading ...
