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Sony Boss Not That Concerned About Platform Pricing

by Alex Co, posted on 06 April 2011 / 2,169 Views

PlayStation boss, Jack Tretton shares his philosophy on platform pricing and why he thinks the PlayStation 3 is just hitting its stride.

Speaking to Fast Company, Tretton compared the purchase of console or handheld to that of a gadget such as an iPhone or iPod.

"I think when you're buying a platform, when you're buying technology, you're hopefully buying a device you're going to enjoy for many, many years." Tretton further added that "People are used to spending several hundreds of dollars to get a portable device. I think in the long run, when you look at that total investment in a platform, the amount of money you spend on the hardware is a relatively small percentage of the total investment."

Tretton added that "It's not to say the price of the platform isn't a consideration, but I don't think price makes or kills a platform,” speaking about console pricing in general and not pertaining to a specific platform. He also remarked that something lousy and very expensive is not going to be successful and that something that might be considered pricey will ultimately find its audience if there’s enough value to be had there.

He also said that he thinks the PS3 is “just hitting its stride.” For people with good memories, the Sony boss also shared the same sentiment three years ago. Although now he thinks the implementation of 3D technology and the Move motion controller will be something Sony will benefit from for years to come.   

Tretton ended by saying that they’ve seen steady growth in the last four years and this is something they’re expecting to continue well into the next fiscal year.

While some might see Tretton’s statements as more of Sony tooting their own horn, he does have a point. People will pay top price for gadgets and consoles that they think are worth it. The big question here is: will the NGP be worth it if it releases at a high price? Is this a hint from the Sony boss that it will?


21 Comments

thekitchensink (on 07 April 2011)

I wonder if he remembers how the launch price nearly killed the PS3 and they had to drop it substantially in order to be competitive. XD


wiifan75 (on 07 April 2011)

If he believed in value and price, then why drop the PS3 price at all if it's such a good value? And sales are up because they couldn't go any lower.


Kenryoku_Maxis (on 07 April 2011)

"I think the PS3 is worth the price, so everyone else should." -Ken Kutaragi 2006 -Jack Tretton 2011 ...will Sony ever learn?


Linkasf (on 07 April 2011)

The PS3 doesn't cost much anymore. Why are people claiming that it's still expensive. It's dirt cheap now. ;/


Bl00dSaint (on 07 April 2011)

Well obviously he duznt know wat consumers want...


kain_kusanagi (on 07 April 2011)

Once again Sony thinks people will pay anything for Sony products even after consumers have shown time and time again that they are willing to wait as long as it takes for the price to drop and stick with cheaper alternatives. The PS1 and PS2 eras are over yet Sony seems to still think they're the only game in town.


craighopkins (on 06 April 2011)

Im not getting a ps3 till a price drop.. 360 will hold me over


Silver-Tiger (on 06 April 2011)

So he thinks prices doesn't matter that much and people are gonna realize the worth of a product? Oh Jacky, you couldn't be more wrong....


Teo (on 06 April 2011)

I buy when the price is right. I bought my PS3 for $400 - still looks and works like new. I bought 2 360, first was $300 and RRD claimed it, second for $200 - if it breaks I'm selling all my games on ebay/gamestop and never buying an xbox again. I will buy the 3ds when it is $150 or less, just like I waited for the DS to drop to $120. I bought the PSP for $300 on release because I had a best buy gift card with $50 expiring soon, otherwise I would have waited for a lower price. The NPG needs to be $300 or less if they want my money on release date. 3g connectivity has completely bought me.


naruball (on 06 April 2011)

Oh boy...


usrevenge (on 06 April 2011)

PS3 is hitting its stride because everyone who has a 360 wants the other console... i want a ps3, i want to play a few exclusives, i would never buy a multiplatform game for ps3 though.


viperlegendkiller (on 06 April 2011)

@ jkudladz wow good comment way to make a lot of sense especially cause ps3 is worth everypenny although as you say u havnt played any other console and ps3 will never be cheaper than 360


Rath (on 06 April 2011)

Question is, is it hitting its stride too late? Will it be able to compete with the generation that will be coming either late this year or next year?


djneibarger (on 06 April 2011)

my 320g ps3 slim move bundle was worth every penny :)


Roar_Of_War (on 06 April 2011)

@jkudlacz Sony's PS3 and PSP are only really "killing" in Japan, and even that is only because they keep releasing software that pushes hardware. Nintendo really doesn't have anything right now like that.


Raider84 (on 06 April 2011)

Who cares. You get what you pay for. If I wanted a cheap lousy product that was going to break down within a few months of use, I would shop at walmart for my electronics. Myself, as well as millions of people around the world would much rather have a more expensive, reliable product. I bought my fat PS3 80GB when it wa 599$ and it is still running just fine. I don't regret one second dropping nearly 1k on games, in store warranty, extra controller and the console itself. Awesome investment that has lasted me nearly 5 years and will probably last me another 5 years. The only people that I notice getting really upset and up in arms over price are little kids, or teenagers who cannot afford a product. Thus they bash on it for being over priced and ridiculously inaccessible. The PS3 now sitting at 299$ is a steal, and almost any modern day family or grown adult can easily afford that. Like I said, if you can't you are either a little kid or a jobless teenager.


jkudlacz (on 06 April 2011)

I must agree with him. If you compare Wii, XBOX 360 and PS3. PS3 has much more value than two other consoles. Well VALUE may be a bit debatable depending on what you like. If you love Mario, don't care for Blue Ray or HD quality of your games, or even playing them in 3D, with decent motion control games, than Wii is for you. If you must play Halo, or next Gears of War, love Kinect but don't mind paying $40-$50 a year for ONLINE gaming, don't care for 3D movies or 3D games (sure there are some 3D options on XBOX but lets be honest they are very limited) then XBOX 360 is your TOP choice a gaming console. Now if you want a console that SURE will cost you more but offers superior advantage over longer life span then PS3 is for you. Now you can say that I am favoring PS3 (you bet) but not because I never played Wii games or XBOX 360, my reasons are more about longevity and amount of fun I can get from my Console. I think PS3 is the ONLY console on the MARKET that is actually worth it's full price. Wii should cost $100. Because it isn't worth more than that, it probably costs $50-$70 bucks to make, and yet Nintendo still milks you the consumer to death for it. XBOX should be priced at $150 for base model while 250GB one should sell for $200 at most. It is an outrage that Microsoft charges people $120 for a HARD DRIVE common, we know it cost $10 to make those yes $10, and they rip you off. Anyway I think I said to much. PS3 is killing other consoles while selling for $100 more. Now imagine, just imagine what will happen when SONY drops the price to $200, it will be the end of other consoles, Nintendo and Microsoft will have introduce NEXT GEN consoles because dropping price won't help them in outselling PS3.


Roar_Of_War (on 06 April 2011)

NGP confirmed to be $400 Just kidding lol I wouldn't be surprised though. Sony is kind of trying to enter that Apple App market, so they might think people will buy a console for that much if they'll buy an iPad for $500.


MonstaMack (on 06 April 2011)

So basically expect the NGP to be pricey. Thats fine as the competition is just as pricey (3DS and IPad)


UnknownFact (on 06 April 2011)

Sony again with its pricey stuff. It's been like this since I was a kid. Seriously.


piccoro (on 06 April 2011)

I want a NGP!