Sony Talks PS4 Sales Potential

Sony Talks PS4 Sales Potential

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Were you hoping for a PS3 price drop? You might be out of luck.

Sony's financials are out, and while other divisions - notably cameras, televisions and especially the movie unit - aren't doing so well, its Games division is expected to hold the line. Sony describes demand for the PS4 as "quite strong" and expects the PS4 to start showing a profit very early on, thanks to lower hardware costs and network services revenue. The Games division is one of Sony's core business areas, its growth driver, and Sony has every reason to think that the PS4's strong sales performance will carry the company forward.

"Compared to past platforms," says CFO Masaru Kato, "the [PS4] pre-orders that we have received for this new platform is much, much, much higher." Sony expects to sell-in 5 million units to retailers and distributors, and third party support is very high, it says. Sony knows that its console will live or die on its software catalogue, but this time, "on a comparative basis," says Kato, "I think we have a much more stronger lineup of software coming."

It wants a wide install base for its new console; from that foundation, it can build its business model, supplying non-game as well as game content to customers."We can do all sorts of things on this platform," says Kato. An interesting statement, particularly given that Microsoft's keen to get original content for its Xbox One; perhaps the PS4 will follow suit, but clearly Sony isn't about to go into detail yet, not without a confirmed install base to work with.

If you were hoping for a PS3 price drop now the next generation's here, you may be out of luck. When questioned as to whether a price drop would be necessary to achieve current PS3 sales predictions in light of the new console launch, Kato played it safe. He didn't go into any detail on pricing "because it has a lot of big impact on competitive moves and et cetera." In other words, Big Microsoft is listening, so let's not discuss pricing in an open forum. But Kato's confident that the PS3 still has good sales potential, particularly in "the emerging countries." That doesn't mean there will never be a PS3 price drop; it just means Sony isn't prepared to publicly discuss it.

Source: Sony via Seeking Alpha

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It's a shame that Sonys other areas don't sell as well. Every Sony product I've ever owned always ends up being of incredible quality and I have yet to see any of it break or malfunction (with the exception of my poor, overused PS3). Of course, this quality does always end up at quite a high price, so that probably explains everything.

PS3 won't see a price drop till the 20nm production node is in mainstream use ( supposed to have been this year now looking like 2015 :( ) then as a older product it can move to the current expensive 28nm node.

5 million? That's 20 times the launch-day sales of Wii Us! It sounds like Sony will win this console generation.

EDIT: It seems like the total PS4 pre-orders will be 750,000 or so, but that's still 100,000s more than the pre-orders of the other Big 3 next-gen consoles.

Xman490:
5 million? That's 20 times the launch-day sales of Wii Us! It sounds like Sony will win this console generation.

EDIT: It seems like the total PS4 pre-orders will be 750,000 or so, but that's still 100,000s more than the pre-orders of the other Big 3 next-gen consoles.

Um... That's 725,000 preorders in the US. Not total Worldwide. Worldwide is probably much higher. Which I dare say explains the 5 million prediction. Especially with Christmas right around the corner. For reference, Xbox One has 525,000. That's as of Oct 19, and seems to be the most up to date currently available.

You can see the US preorder numbers for PS4 and Xbox One and their Top 10 games here.
There are some notable trends. Killzone 3 is the most preordered exclusive at 250,000, with none of the Microsoft exclusives even breaking 100,000. Most games are selling almost half again as well on PS4, expect CoD: Ghosts which is selling better on Xbox One. By and large, seems to be split about 60/40 between the two in the US. Looking at the sales trends of the PS3 and 360, I think Microsoft will be playing catch up a little bit.

So nothing has changed then. Last financial repoty kinda said the same. Too bad other parts dont hold up, sony does make qualityp roduction, but quality means expensive and people arent throwing money around on electronics like they used to. Almost makes me want to chose sony product now over LG which i have planned. But LG never dissapointed me and its cheaper so you see where this logic puts me, right?

well, i guess they will pay more attentino to gaming them now, lets just hope that is not EA kind of attention.

It's good to hear, since a big install base lures games to the system which gets more users which lures more games etc etc. One of the reason a system that doesn't get the install base quickly can have such a hard time getting on their feet is that snowball effect that goes either way depending on how well the first few months - 1 year do.

Saltyk:

There are some notable trends. Killzone 3 is the most preordered exclusive at 250,000, with none of the Microsoft exclusives even breaking 100,000.

Just to correct this statement, Killzone: Shadowfall is actually Killzone 4, as KZ3 was released on PS3. Other than that I agree, the PS4 seems to be dominating the market for now and the news couldn't be better.

 

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