Sony PS3 Price Cut Coming

Sony is all but certain to cut the PlayStation 3's price in the near future, the company's CEO Sir Howard Stringer has revealed in an interview published today. The executive observes that the main question at the current stage in the PS3's life is the extent of the price cut. The company is "trying to refine" the cut to achieve its maximum effect, he says. Although Stringer declined to provide a target range for the cuts, researchers expect that Sony may trim the price by as much as $100 before the holiday season, hoping to spur a fresh wave of sales. A combination of a cut and "break-out" games would revitalize the console, Stringer says.

In a surprise observation, however, the Sony head reflects that price was one of the key reasons the PS3 has languished in sales compared to the Nintendo Wii, which has largely led US console sales since both systems launched in November. The PS3 would have to see a price drop simply due to demand from gamers, he claims.

"Nintendo Wii has been a successful enterprise, and a very good business model, compared with ours... because it’s cheaper," he says.

The PS3 has recently been considered a hindrance for an otherwise resurgent company, according to reports. While the company's Bravia LCD TV series and breakthrough movies such as Casino Royale and Spiderman 3 have helped the Japanese firm turn around its once-flagging business, the PS3 has sold poorly and fell short of its recent shipping targets by half a million units. At $600, the device is currently more than twice as expensive as the $250 Wii and more than $100 pricier than Microsoft's top-end Xbox 360 Elite.

By Electronista Staff