Microsoft dismisses PlayStation 2 price cut
"The future lies in the growth of current generation consoles," says Euro exec Chris Lewis
Microsoft has shrugged off any suggestions of increased competition from Sony after it announced a price cut today for the nine year-old PlayStation 2 console.
Sony has dropped the price of the console stalwart to EUR 99 and USD 99 in North America, with SCEA's Jack Tretton suggesting the move "will bring in new consumers who will discover how PlayStation platforms are an outstanding choice for their gaming and home entertainment needs."
However, Microsoft dismissed the price cut, stating that the future is about the growth of current generation consoles, not older technology.
"This move from Sony at the end of the PS2’s life cycle is not unexpected," Chris Lewis, VP of the Interactive Entertainment Business for Microsoft, told GamesIndustry.biz.
"We believe, however, that the future lies in the growth of current generation consoles and Xbox 360, as the fastest growing games console last year, with sales up over 80 per cent, will continue to drive the market.
"Xbox 360 has clearly demonstrated that the combination of the right price, blockbuster games as well as the market-leading broad connected entertainment content available through Xbox Live will continue to resonate with the ever growing needs of today’s consumers," added Lewis.
Edited 1 times. Last edit by Alex Wright-Manning on 31st March 2009 5:32pm
Specifically in the US where the PS2 was $129 and the X360 Arcade is $199. A drop to $99 by the PS2 is not really biting into the market territory of the X360 arcade anymore than it already was at $129.
In Europe sans-UK, the Arcade SKU retails for €179.99 which puts it similarly in the same pricing scenario as the US.
In the UK the Arcade retails for £129.99 and the PS2 is not getting a price reduction making the issue a moot point there.
My point is that if you're already significantly cheaper than than the competition, dropping your price a few bucks isn't going to win over many would be X360 owners. I agree that this sounds more like a stock clearance move especially when you consider that PS2 sales are down ~50% year on year.
Edited 1 times. Last edit by Jim Webb on 5th April 2009 4:05pm
Like Jimmy says, I think it's a moot point with regard to Microsoft's Arcade SKU.