Why Did The PS3 Fail?

jonabbey said:
The PS3 has lost more money than the PS2 made? :lol
-viper- said:
So true. The amount of shit that comes out of some people on this forum is quite unbelievable.
I realize that you don't want to believe it (and I agree that it does sound crazy), but it's true. Here're SCEI's fiscal year results from the release of the PS2 through March 31 2007. (Q1 FY 08.)
Code:
FY        Sony
2001    -409,000,000
2002    623,000,000
2003    939,000,000
2004    650,000,000
2005    404,000,000
2006    75,000,00
2007   -1,969,000,000
2008    -237,000,000 (Q1 only)
Totals  76,000,000
The net result is a $76 million profit, and this includes the money made by PSP. Note that the FY 2007 loss would've been even greater if both PS2 and PSP wasn't currently profitable so the total loss caused by PS3 is unknown.
DemDereNads said:
Blu-Ray royalties, wha?
It's a possibility, but Blu-Ray has a long long way to go before it can be considered the successor to the DVD.
 
P90 said:
That don't work on Iron Chef or when I go to a restaurant and pay big $$$.

Tell that to the guy who bought a steak for $349 and has to send it back 35% of the time.

May the analogies never cease.
 
Segata Sanshiro said:
Doom and bloom? Would 'bloomers' be people who think the PS3 is going to take off?
"Bloomers" is a polite term for women's underwear, Segata. As the man-legend responsible for writing the thesaurus I thought you would know this.
 
jarrod said:
I like Microsoft's steak myself... lower price, equal quality and way more sides. :D

What is this? Did the whole 360 hardware catastrophe not happen? Equal quality?

The PS3 is hurting in the network effects game right now, and Sony is going to have to step it up, absolutely. But there's nothing blocking in the system's hardware or software, it's all down to price, public perception (witness this thread), and developer support.

Has the PS3 got to the point where the market for it is going to collapse and it's never going to get any better than it is right now? Because that's what happened to the GameCube and the XBox. If Sony has lost heart, and aren't willing to even try to market, to cut deals, to get the games, to get the hardware sold, then yeah, the PS3 has failed.

If Sony still has the balls to make a fight about it, they still have some room to move, they do have Blu-Ray, they do have PS2 compatibilty and a large user base that might be persuadable to upsell so that they have a nice hi-def movie player under their TV that can still play their PS2 games, along with some (please, god, please) AAA titles that will be coming real soon now.

It's not a failure yet, it's in third place with piss-ass momentum and no evidence that Sony knows what to do about it yet.

If Sony shows that evidence, it's not over. The 360 has succeeded in part because the 25 million whatever XBox owners from last-gen liked their XBox just fine despite the second place finish it came to, and they were ready to sign on the dotted line with Microsoft this gen, despite the legendarily ridiculous hardware problems, the locked down hard drive, the expensive peripherals, the live cost.

Sony has fans too (we're the ones arguing this question here), and there are a lot of people out there with PS2's who haven't yet made the move to the next generation. If Sony can get some excitement going, if they can convert some of those PS2 hold outs, it's not over yet.

No matter how disappointed and frustrating us Sony fans find all of this right now.
 
The Sphinx said:
"Bloomers" is a polite term for women's underwear, Segata. As the man-legend responsible for writing the thesaurus I thought you would know this.
I'm familiar with the term in that sense, but I can't help but think he grabbed the wrong word there.
 
jonabbey said:
What is this? Did the whole 360 hardware catastrophe not happen?
Not to me it hasn't... yet anyway. :/


Still, 360's delivered comparable spec, a lower price, and a bigger library... not a bad deal really.
 
beermonkey@tehbias said:
PS3 is more like a cow that you hope has potential to deliver great steak in the future.

The PS3 is a steak we ordered well, but came out a little rare. Fortunately, it is something that a little more time in the grill, and extra seasoning, will make it taste the same if not better than our previous steaks.

p.s. Many won't go for a burger, after they enjoy steak

p.s.s. The other steak restaurant is not really changing the menu that much, so not many new customers will be jumping in.


/Kojima.
 
jarrod said:
I like Microsoft's steak myself... lower price, equal quality and way more sides. :D
Yeah, but Microsoft's steak requires also paying rent to share a table with your friends and family and enjoy it together. :D

Aurean_Mentat said:
1) from the American Heritage Dictionary,

fail·ure (fāl'yər) Pronunciation Key
n.

1. The condition or fact of not achieving the desired end or ends: the failure of an experiment.
2. One that fails: a failure at one's career.
3. The condition or fact of being insufficient or falling short: a crop failure.
4. A cessation of proper functioning or performance: a power failure.
5. Nonperformance of what is requested or expected; omission: failure to report a change of address.
6. The act or fact of failing to pass a course, test, or assignment.
7. A decline in strength or effectiveness.
8. The act or fact of becoming bankrupt or insolvent.

Let's see, which apply to the Playstation 3? certainly #1, #3, #4, #5, #7.

Your "certainly" is not certain in the least. I don't understand how any of those definitions apply to the Playstation 3.
1. You need to be at the end of something to judge whether the "desired end" has been achieved.
3. Please provide a "fact" in which the PS3 has fallen short. Otherwise this makes no sense.
4. How has the PS3 stopped functioning or performing?
5. I also don't see how PS3 is not performing as expected, considering it's doing better than PS2 did in the same timeframe.
7. This last one made me laugh. Since, having a PS3, I've seen nothing but improvements in its functionality and effectiveness as a gaming console since the launch.

Your PS3 bashing is the only thing I can see in that post which conforms to the definition of "failure."
 
jonabbey said:
What is this? Did the whole 360 hardware catastrophe not happen? Equal quality?

The RRoD is bad, but its not terrible. I got it once, it took me all of two weeks to deal with and I got a free month of Live for my trouble. It wasn't that bad. Plus you pay to play, the 360 catalogue far and away destroys everything else.
 
Bulla564 said:
The PS3 is a steak we ordered well, but came out a little rare. Fortunately, it is something that a little more time in the grill, and extra seasoning, will make it taste the same if not better than our previous steaks.

p.s. Many won't go for a burger, after they enjoy steak

p.s.s. The other steak restaurant is not really changing the menu that much, so not many new customers will be jumping in.


/Kojima.

And if you expect this particular cow to produce a similar 100million pieces of meat, you're in candyland.

PS I love steak. I have burger far more often, however. I'm like most other people.
PPS A battle between these 2 steak restaurants for 1/4 of the market is still futile compared to how much that burger restaurant is selling. The best part is that the burger restaurant used to be called "Playstation".
 
GenericPseudonym said:
The RRoD is bad, but its not terrible. I got it once, it took me all of two weeks to deal with and I got a free month of Live for my trouble. It wasn't that bad. Plus you pay to play, the 360 catalogue far and away destroys everything else.

And right there is the power of network effects.
 
jonabbey said:
Unless you count backwards compatible titles, sure.

I spent $500 (CDN) for the "next gen" titles, not to play games I could have on a system I either already own or easily could own for less.

Edit: WTF changing your posts. What are these "network effects" you keep mentioning?
 
StevieP said:
The best part is that the burger restaurant used to be called "Playstation".

Nah... the PS2 was without a doubt a fine steak for gamers. That it sold like it did, was well justified. Compared to the steaks of this gen, the wii seems like just a burger.
 
StevieP said:
And if you expect this particular cow to produce a similar 100million pieces of meat, you're in candyland.

PS I love steak. I have burger far more often, however. I'm like most other people.
PPS A battle between these 2 steak restaurants for 1/4 of the market is still futile compared to how much that burger restaurant is selling. The best part is that the burger restaurant used to be called "Playstation".

Most of the world still can't afford beef. Plus India hates beef in every incarnation.
 
GenericPseudonym said:
I spent $500 (CDN) for the "next gen" titles, not to play games I could have on a system I either already own or easily could own for less.

Edit: WTF changing your posts. What are these "network effects" you keep mentioning?

Sorry, I realized the backwards compatible thing was stretching it, I didn't want to have to stand on that, true though it is that the PS3 library is significant inasmuch as it encompasses Blu-Ray, PS2, and PS1 games in addition to PS3 downloads and discs.

A network effect is that property by which a certain good or service becomes exponentially more valuable, the more people have the good or subscribe to the service. It's the foundational theory behind Microsoft's vast wealth in the PC market, and it's what every tech company since then has striven for in order to gain riches.

See http://en.wikipedia.org/wiki/Network_effects
 
Bulla564 said:
Nah... the PS2 was without a doubt a fine steak for gamers. That it sold like it did, was well justified. Compared to the steaks of this gen, the wii seems like just a burger.

The PS2 had by far the worst hardware and the best sales. The Wii is in the same boat, the only reason the PS2 had so many games is because of sales. The Wii will turn around.
 
One thing to all those who say you can't judge something as a failure until it is over, do you really think Sony expected to be in this position right now? As a business, they forecast their expected earnings for every quarter and I can promise you that they have fallen well short of that. They did not plan on being this far behind, having to slash prices this much in their initial assessment of where they would be 6 months after launch. So, since it has not met any of their forecasts or expectations it is a failure. Could it turn around in the future ... possibly, but that doesn't mean it isn't a failure right now.

And this steak analogy is ridiculous. How about this: Sony is like a steak chain owner who has successful restaurants in several locations. Normally he would do some market research and determine if an area was a good place to open his next restaurant but by this time he is convinced that everyone loves steak (I mean, come on, its delicious), so he will just open a new location without looking at the economic situation. Meanwhile, a burger joint owner realizes that the same neighborhood is low income and the demographic is perfect for his type of food. The burger joint thrives and the steak place goes out of business because they didn't give the market what it wanted or at a price they could bear. Quit trying to act as if people just don't get the fact that the steak is more valuable. It is Sony's fault for not giving the people what they wanted.
 
Bulla564 said:
Nah... the PS2 was without a doubt a fine steak for gamers. That it sold like it did, was well justified. Compared to the steaks of this gen, the wii seems like just a burger.

No, it was a burger restaurant. The overwhelming majority of its owners were casuals. Okami was one of the "steak burgers" of that particular burger joint, and it sold accordingly.
 
Catchpenny said:
I want to know how you get 207 pages out of overpriced, no games, difficult to program for and superior competition.
Perhaps he just quoted and translated this thread.

TIME PARADOX
 
The chefs at Sony have, in my opinion, delivered a medium-rare and well aged t-bone steak (PS3). They are charging accordingly for it (more than most can afford). Unfortunately, burgers (like the Wii) are much cheaper and more popular with the mainstream. That doesn't mean the burger is better than the steak.

why not just go the whole hog and try and make out that PS3 fans are true epicures whilst everyone else is a prole?

Thing is, it`s not the proles eating rabbit turds out of ice cream cones right now whilst trying to make out they are having caviar our of unicorn horns.
 
jonabbey said:
What is this? Did the whole 360 hardware catastrophe not happen? Equal quality?

The PS3 is hurting in the network effects game right now, and Sony is going to have to step it up, absolutely. But there's nothing blocking in the system's hardware or software, it's all down to price, public perception (witness this thread), and developer support.

Has the PS3 got to the point where the market for it is going to collapse and it's never going to get any better than it is right now? Because that's what happened to the GameCube and the XBox. If Sony has lost heart, and aren't willing to even try to market, to cut deals, to get the games, to get the hardware sold, then yeah, the PS3 has failed.

If Sony still has the balls to make a fight about it, they still have some room to move, they do have Blu-Ray, they do have PS2 compatibilty and a large user base that might be persuadable to upsell so that they have a nice hi-def movie player under their TV that can still play their PS2 games, along with some (please, god, please) AAA titles that will be coming real soon now.

It's not a failure yet, it's in third place with piss-ass momentum and no evidence that Sony knows what to do about it yet.

If Sony shows that evidence, it's not over. The 360 has succeeded in part because the 25 million whatever XBox owners from last-gen liked their XBox just fine despite the second place finish it came to, and they were ready to sign on the dotted line with Microsoft this gen, despite the legendarily ridiculous hardware problems, the locked down hard drive, the expensive peripherals, the live cost.

Sony has fans too (we're the ones arguing this question here), and there are a lot of people out there with PS2's who haven't yet made the move to the next generation. If Sony can get some excitement going, if they can convert some of those PS2 hold outs, it's not over yet.

No matter how disappointed and frustrating us Sony fans find all of this right now.[/QUOTE

Good post, I only owned the Xbox last gen and had more killer titles than I could play.So if you are happy with what is being released for the PS3, Don't worry be happy,this is Sony's problem not yours.
 
secondary problem for japan is that a dog product rarely , if ever, recovers.

PS3 i`m pretty sure is starting to fall into the same category as the PSX round about now.

I just wonder how the sales of PS3 compare to PSX?
 
JCBossman said:
Good post, I only owned the Xbox last gen and had more killer titles than I could play.So if you are happy with what is being released for the PS3, Don't worry be happy,this is Sony's problem not yours.

Well, see, that's the thing about network effects. If the network effects aren't running towards a platform you've invested in, that platform is ultimately worth a great deal less to you.

It's that aspect of network effects which makes fanboys so rabid in markets dominated by network effects. It's why the Blu-Ray and HD-DVD fans are so incredibly unpleasant to be around when they are 'talking' to each other.

If you own a Ford, it doesn't take away anything at all from the utility I can get from my Toyota.. we both drive on the same roads, we use the same gasoline, we can buy tires at all the same places, etc.

If you own only an XBox 360 and I own only a PS3, you are contributing (to whatever miniscule extent) to the strangulation of my platform in the network effects race, and I'm doing the same to you.

This, incidentally, is why Microsoft has Live.. Achievements and the integrated Friends system are tools to reinforce network effects on the 360. The more of your friends own a 360, the more likely you'll tip to buying a new game on the 360, even if that game happened to be slightly better in some other way on a competing platform. The more people on Live, the more Live is worth to the users who subscribe.

My biggest mystery about Sony this generation is why Sony isn't consciously, strategically targeting these effects the way Microsoft has. I guess they're trying, but they don't seem to have anyone as cunning or as machievellian as Microsoft has.
 
That's the X360, not the PS3.

Indeed it is, X360 is over for MS in Japan. It`s, once again, a dog product - and very little will save it. For MS they have to go big at launch to capture the audience. Unless they launch with something rediculous like FF14 and DQ10 , then i don`t see them ever turning things around here to any meaningful extent.

However, over at camp Sony, 20k peaks for the new Playstation must look horrific right about now.

I don`t think anyone (lovers or haters) would have predicted this would be the case (and has been for several months now)

The more of your friends own a 360, the more likely you'll tip to buying a new game on the 360

Couldn`t agree more - all my game playing friends have an X360, only a fraction of that set has a PS3. If a multiplayer heavy game goes to both platform, which version am i going to buy? Seems pretty obvious.
 
Sony lost because they committed the cardinal sin of console gaming


Though shalt not create a 600 dollar system in which the games look the same or worse than the 400 dollar system.
 
DCharlie said:
However, over at camp Sony, 20k peaks for the new Playstation must look horrific right about now.

I don`t think anyone (lovers or haters) would have predicted this would be the case (and has been for several months now)


I never would have predicted it, but some signs were there: PSX, PSP. That must have been some good weed KK had the Sony BoD smoke to sign off on the PS3 at the MSRP it has.
 
jonabbey said:
Well, see, that's the thing about network effects. If the network effects aren't running towards a platform you've invested in, that platform is ultimately worth a great deal less to you.

It's that aspect of network effects which makes fanboys so rabid in markets dominated by network effects. It's why the Blu-Ray and HD-DVD fans are so incredibly unpleasant to be around when they are 'talking' to each other.

If you own a Ford, it doesn't take away anything at all from the utility I can get from my Toyota.. we both drive on the same roads, we use the same gasoline, we can buy tires at all the same places, etc.

If you own only an XBox 360 and I own only a PS3, you are contributing (to whatever miniscule extent) to the strangulation of my platform in the network effects race, and I'm doing the same to you.

This, incidentally, is why Microsoft has Live.. Achievements and the integrated Friends system are tools to reinforce network effects on the 360. The more of your friends own a 360, the more likely you'll tip to buying a new game on the 360, even if that game happened to be slightly better in some other way on a competing platform. The more people on Live, the more Live is worth to the users who subscribe.

My biggest mystery about Sony this generation is why Sony isn't consciously, strategically targeting these effects the way Microsoft has. I guess they're trying, but they don't seem to have anyone as cunning or as machievellian as Microsoft has.


I see your point, but I am platform neutral( In my perfect world ALL games would come out on all platforms) Hell I own a PSP, so it's not like I hate Sony. I just feel MS is preforming better in terms of getting games I like/selling for a good price/and generally far less bullshit than Sony.It seems they have a tighter vision for the future and more importantly the present.
 
That must have been some good weed KK had the Sony BoD smoke to sign off on the PS3 at the MSRP it has.

i would have absolutely LOVED to have heard the conversation between Stringer and Ken after he decided (seemingly on stage at TGS06 whilst delivering the most amazingly crazy keynote ever) to cut the price in Japan without , according to Stringer, consulting anyone.

That said - 60/80,000 yen PS3 in japan would have been horrific for them.
 
The PS3 is a movie player for me. The only games I've actually enjoyed on it are Super Startdust HD, Ninja Gaiden Sigma and Resistance. I already beat Ninja Gaiden on the original Xbox. I'll give Heavenly Sword a rental once my 360 versions of Medal of Honor and Stranglehold go back to GameFly. Only other game I'm wanting to check out this year on the system is Uncharted.
 
Shamrock said:
Sony lost because they committed the cardinal sin of console gaming

Though shalt not create a 600 dollar system in which the games look the same or worse than the 400 dollar system.

Enjoy this talking point. It won't be around much longer.
 
Bulla564 said:
Enjoy this talking point. It won't be around much longer.

Well we've been hearing it since launch for holiday '07 games, and they're all either worse looking or delayed to look better. Not that I doubt they will look better in the near future, but I wouldn't take it for granted either.

/shitty contribution to an equally shitty thread
 
I still think that a lot of it has to do with its pricing. Even for people who love Sony and would normally buy a playstation, you can't expect everyone to be able to afford a console over half a grand, let alone have people want to spend that much money even if they have it.

Wii = smooth move by Nintendo to monopolize younger market
PS3= boneheaded maneuver to create such an expensive monstrosity and just assume
everyone will still buy one
360= expensive, but still less than half a grand and will appeal to hardcore gamers more than
a Wii

Ultimately
Wii+360= End of PS(ofExpensiveCrap)3
 
I think with the expectations of it based upon its predecessors, the amount of money invested in it and its lacklusture prospects for the future I think the PS3 as 'a failure' is not an unreasonable conclusion. At least until this point anyway.
 
xabre said:
I think with the expectations of it based upon its predecessors, the amount of money invested in it and its lacklusture prospects for the future I think the PS3 as 'a failure' is not an unreasonable conclusion. At least until this point anyway.

There is where you fail massively.
 
chubigans said:
Not if you've known the chef for several years, who has also delivered two delicious steaks in previous visits.

I like where this analogy is going!

If the chef made 150 steaks on the anticipation that they would all sell when the dinner crowd came, and the dinner crowd is ignoring his restaurant and instead eating a the diner across the street, leaving the chef with a pile of cooked steaks that he can't reuse (and thus a significant fiscal loss)....

Yeah, the chef's a failure.
 
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