PlayStation 3 Launch Allocation Slashed in Japan
Japan suffering so that units can fill US launch day inventory in the war with Xbox?
Japanese gamers hoping to snap up a PlayStation 3 were dealt a blow overnight, as the Japanese press revealed that Sony has slashed its allocation of launch hardware by a fifth.
A meagre 100,000 units had initially been promised by SCE (Sony Computer Entertainment) – compare this to the estimated 900,000 units for the Japanese launch of the PlayStation 2. Now, a mere 80,000 PS3s are to be thrown into the retail pit.
Due for launch on November 11, the news of the reduction as revealed by Nikkei Keizai Shimbun, will no doubt infuriate early adopters. Keen to install the latest Sony gaming hardware into their living-boxes they might even have overlooked the fact that launch day software will also be sadly lacking.
Huge Demand
Speaking to SPOnG today, Kyoto-based Dylan Cuthbert, the head of Star Fox Command-developer, Q Games, said, "The way I see it, a few thousand units really doesn't make a difference in the long run. This is especially the case in Japan, where the competition is non-existent in the case of Microsoft's Xbox 360, or yet to be proven in the case of the Wii."
These sentiments were echoed by Jonti Davies, a freelance reporter working in the games industry in Kyoto and Tokyo. "This doesn't make any difference, really. Japan doesn't merely like Sony's products, it’s proud of Sony. There's little to no negative press here; certainly nothing to compare with the scepticism of many Western critics and gamers. The most important question is, how quickly can Sony increase its production capacity to cater for Japan's inevitably huge demand?"
Complacency Kills
Mie Kumagai, manager of Sega AM 3 and producer of Virtua Tennis 3, was not quite so culturally complacent when speaking to SPOnG today, "Of course this sort thing happens every time a new console launches. But in the PS3's case it's vital that a steady supply of units becomes available very quickly. I think that, in view of the reduced allocation, users are going to be really worried about whether or not they can even buy a PS3."
The latest slippage has been put down to further (as yet unspecified) production routine problems at point of manufacture and assembly. However, conspiracy theorists are already hinting that in order to meet the US launch target of 500,000 units, the Japanese have had to suffer.
Problems with shifting hardware will also put more pressure on Sony's management to fill the massive cash hole generated by the PlayStation 3 research, development and marketing to date.
As well as being unable to compete in Europe during this Christmas, (something SPOnG readers were made aware of in February) the group announced severe profit fall-out last week.
A meagre 100,000 units had initially been promised by SCE (Sony Computer Entertainment) – compare this to the estimated 900,000 units for the Japanese launch of the PlayStation 2. Now, a mere 80,000 PS3s are to be thrown into the retail pit.
Due for launch on November 11, the news of the reduction as revealed by Nikkei Keizai Shimbun, will no doubt infuriate early adopters. Keen to install the latest Sony gaming hardware into their living-boxes they might even have overlooked the fact that launch day software will also be sadly lacking.
Huge Demand
Speaking to SPOnG today, Kyoto-based Dylan Cuthbert, the head of Star Fox Command-developer, Q Games, said, "The way I see it, a few thousand units really doesn't make a difference in the long run. This is especially the case in Japan, where the competition is non-existent in the case of Microsoft's Xbox 360, or yet to be proven in the case of the Wii."
These sentiments were echoed by Jonti Davies, a freelance reporter working in the games industry in Kyoto and Tokyo. "This doesn't make any difference, really. Japan doesn't merely like Sony's products, it’s proud of Sony. There's little to no negative press here; certainly nothing to compare with the scepticism of many Western critics and gamers. The most important question is, how quickly can Sony increase its production capacity to cater for Japan's inevitably huge demand?"
Complacency Kills
Mie Kumagai, manager of Sega AM 3 and producer of Virtua Tennis 3, was not quite so culturally complacent when speaking to SPOnG today, "Of course this sort thing happens every time a new console launches. But in the PS3's case it's vital that a steady supply of units becomes available very quickly. I think that, in view of the reduced allocation, users are going to be really worried about whether or not they can even buy a PS3."
The latest slippage has been put down to further (as yet unspecified) production routine problems at point of manufacture and assembly. However, conspiracy theorists are already hinting that in order to meet the US launch target of 500,000 units, the Japanese have had to suffer.
Problems with shifting hardware will also put more pressure on Sony's management to fill the massive cash hole generated by the PlayStation 3 research, development and marketing to date.
As well as being unable to compete in Europe during this Christmas, (something SPOnG readers were made aware of in February) the group announced severe profit fall-out last week.
Companies:
Sony
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Comments
Joji 31 Oct 2006 14:18
1/6
Maybe they are playing it down a bit over in japan. First PSP cut elsewhere and now this. What do I care anyway, I won't by buying one fora ages.
RiseFromYourGrave 31 Oct 2006 17:27
2/6
you never know, maybe most japanese dont want to have to remortgage their house so they can play warhawk on their standard def tvs before the year is out
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soanso 1 Nov 2006 03:00
3/6
I can see this sort of thing actually help Sony in Japan.
Having a console that only a few people can buy will make it more desirable, as if it wasn't already.
Having a console that only a few people can buy will make it more desirable, as if it wasn't already.
tyrion 1 Nov 2006 08:26
4/6
soanso wrote:
Having a console that only a few people can buy will make it more desirable, as if it wasn't already.
This sort of tactic may work, or it may not. The gaming public is a fickle beast.
However, lets not forget that launch day figures are always a disappointment. They mean very little in the grand scheme of things. Just look at the sales of the 360, it was very hard to find last year, but now Microsoft are claiming six million sold. That's about a quarter of the numbers that the original Xbox sold overall, and in just one year.
Make no mistake, the PS3 will sell and it will sell well, at least as well as the 360, probably better. As the Blu-ray and HD-DVD players get out onto the market, the supply and costs for the blue laser diodes will become much more favourable. The costs of producing the RSX and Cell will drop too. This will enable Sony to get more units into retail and to have price cuts which will draw in more gamers.
The component of the PS3 that currently is causing so many issues, the Blu-ray drive, will become much cheaper. Unfortunately for Microsoft, their DVD drive can't get significantly cheaper since it is already a commodity component. The prices of the PS3 and 360 will converge, I'm sure, over something like three years.
SPInGSPOnG 1 Nov 2006 09:27
5/6
This is a clear case of Sony f**king the faithful in order to keep the heretics happy.
Us yanks like Microsoft and we like Xbox, so its important to woo us soon... hence a nice big early shipment. Nips will buy it regardless - so they are getting the shaft.
And Europe... neither MS or Sony gives a f**k about Europe.
Us yanks like Microsoft and we like Xbox, so its important to woo us soon... hence a nice big early shipment. Nips will buy it regardless - so they are getting the shaft.
And Europe... neither MS or Sony gives a f**k about Europe.
tyrion 1 Nov 2006 13:19
6/6
Rod Todd wrote:
This is a clear case of Sony f**king the faithful in order to keep the heretics happy.
Make sure we get more units than Microsoft sold into stores on day one.
There were 43,970 360s sold in Japan in the first week. We know the PS3 will sell out, so as long as they get 45K into stores they will beat the 360 launch. In the US, there were about 326,000 360s sold, so with 400K PS3s, Sony should out-sell Microsoft there too.
It's all about the PR, if you can't outsell the opposition, don't bother. So Europe gets to wait until there are enough PS3s ready to outsell the 360s launch over here too.