The entire industry baulked when Sony announced the pricepoint it had decided for its PlayStation 3 games console. US pricing (the only territory to receive on-the-record costings at time of press) was set at a whopping $500 - $600 - a huge leap on what many had predicted, in spite of Sony's pre-conditioning of the market.
However, Sony is sure that the machine is way too cheap (which in component real terms, it actually is) with SCE president Ken Kutaragi outlining as much in a follow-up to the firm's E3 announcement,
full details of which you can catch here.Recently-crowned Sony CEO Howard Stringer has added his weight to the project, explaining that early adopters will be paying for the "potential" of the machine, rather than what it will deliver on day one. Speaking to assembled press in Tokyo, Stringer said, "The price of the PS3 is high, but you're paying for potential. Obviously, it's a higher-risk strategy - as all new inventions are - but if the PS3 lives up to its total potential, then I don't think anyone will be worried about Nintendo or Xbox's cheaper price": these comments made to assure investors that the masses of cash invested in the next-generation of PlayStation will see returns comparable with previous iterations. This comes on the back of widely-publicised concerns over the project, led by jittery analysts forced out of their investment comfort zone by the PlayStation 3. Indeed, Merrill Lynch Japan issued a warning in December of last year that launching the PlayStation 3 would cost Sony a whopping $1.18 billion to just manufacture, with millions more required for a massive global marketing campaign.
You can read Sony's response here.Stringer continued with a question to consumers. "Do you go for a cheaper transitional [product], or do you take a chance on future-proof, higher technology which will keep you going for many, many years?"
As to how the public reacts to PlayStation 3 will be very interesting, to say the least. Let us know what's in your very own minds in the forum below.