DFC Intelligence Questions 'Elite' Strategy - Article

the 360 isn't stepping on anyone's turf...it's dead in Japan and hardly successful in Europe. NA is its only saving grace.

I think that ps3 fanboys are afraid that the 360 is stepping on their turf. And its stepping on it better then the PS3.

footbag---

The people that dont have there mind made up may. I remember being on the waiting list for the PS2 but ended up getting a DC instead because it was cheaper and the game I wanted wasnt out yet. I ended up selling my DC to buy a PS2. Now I really wanted the PS2, not the DC but I ended up with it because at the time it had the most value for me. When that changed I bought my PS2. As for the BD costing sales, dont think thats what costs so much. Its more along the lines of the CELL and the HDMI version. Most companies still dont have 1.3a because of cost. Sonys own Tvs are just now starting to show up with it. Thats the same reason M$ didnt include it with there "ELITE" version. The BD is good for the future of the console. It allows for the space needed this gen with games being developed using higher textures and vast landscapes, not to mention longer games. Does it help push there format....yes. But the PS2 helped DVDs get to where they are today as well.

My very large and detailed response got deleted. So all I'll say is Sony has a major problem. The PS3 is a next gen gaming system with terrible NA demand. The additional cost of Blue Ray is what killed their demand. In my deleted post I pointed out that Sony could have sold twice as many units by removing blu-ray, but instead they left it in and are winning the format war... At the expense of the gaming wars.

Now I'm not sure where everyone is from but I'm from NA and the PS3 is having major problems here. Blu Ray isn't, so maybe Sony succeded.

Darendt... You really think that someone is going to walk into a game store to buy a 360 and all of a sudden change their mind because they can get a movie player on the PS3 for $200 more. IME people walk into stores and buy the console they walked in to buy.

footbag --

People may end up walking out of the store with a PS3 over a 360 or vise-versa if they look at what each offers for there need. If someone walks in to buy a 360 but finds out that the PS3 has a 1000$ BD player built in and the 360 sells a HD-DVD add-on for 200 bucks, that may change there mind. On the other hand if they want to play Gears or HAlo and dont care about needing to swap discs in the near future or dont want to watch HD-DVD or BD movies then they may get the 360. IMO the "VALUE" is in the PS3. A lot of people that buy either console have some sort of HD set, and being able to watch HD movies without having to shell out extra money is a plus.

Yeah, I'm not impressed. I currently own a wii, but I wouldn't mind eventually grabbing a 2nd console this generation. So I was about 50/50 between the xbox and the ps3.

They needed to include the HD-dvd drive and wireless before I'd consider the elite. xbox 360 had a chance to end the blu-ray advantage that ps3 had by building the hd-dvd internally here (just for the elite model). As an add on it's just not going to sell. This is true of the PS3 too. If they would have matched the xbox at $400 and had a blu-ray player add-on it wouldn't have sold the blu-ray player (although sales of the PS3 would have been strong). Adding it into the PS3 has killed PS3 sales for the next 3 years but it'll have a strong enough following to win the nex-gen war format war (which some people say makes sony more money).

The 2nd thing is wireless. Yeah, wireless is a little slower than hard wired, but wires suck. My TV is 60 feet from my hub. I am usually on the internet there (laptop, wii, ds) and I'm not going to make it wired. I constantly stream movies and stuff off the internet too. It's slower but not enough for me to care. If you have that bad of a wireless signal get a new hub.

footbag ----

The Elite does not come close to doing everything the PS3 does. First and formost there is still no HD media drive. So no HD-DVD or BD for Elite owners unless they spend another 200 bucks for ADD-ON. There are no multi-card slots for SD, compact or MS, so you still need a usb thumb drive to add files/pics. The HDD is 120GB but you are still limited to that size unless M$ releases a bigger one. The PS3 can use any laptop HDD. There version of HDMI is also not ver. 1.3, so there is no support for DEEP color or DTSHD/DolbyHD.

Also I forgot about +60 a year for X-box Live.

The point is the Elite hurts the 360. If 1080p was such a concern why did MS not include it a year and a half ago.... All of a sudden Microsoft and its fans want 1080p? Can Microsoft games even present in 1080p doesnt that compromise disc space? As if the core didn't sell poorly enough how can you market a machine that has a 120 gb hard drive and HDMI out and still make people believe that the "same" machine comes with no Hard drive and no HDMI.

Now as far as external competition they actually show off the Value of the PS3. With a 120GB hard drive its obvious that the machine is not just for gaming. So add to the fact that for about $100 you can get a PS3 that has more power and potentialy better graphics over it lifespan (now id say its closer to equal) as well as Wifi built in and plays Bluray movies. To get an "Elite" and still have to upgrade it to be able to do what a PS3 can makes no sense.

The "Elite" should have included everything -HDMI Wi Fi and the ability to play HD-DVD. The fact that MS is going to sell another HD-DVD player in black makes no sense and you still got to drop 100 on a Wi Fi adapter.

In the end Elite at 480 + HD-DVD at 199 + WiFi at 100 = $780 or PS3= $599

"No, it doesn't."

Uh, OK

"Sure, and CEOs want to avoid making money."

I don't use Wi-fi because unless its operating perfectly, its slower then my wired connection. I do have Wi-fi in my house, but I wire the 360. Also do a lot of video streaming from my computer.


"You can think that, but Sony also offered a low end model and it didn't help them at all."

$500 is not much less then $600. (17%) And that is not low end console pricing. Who has $500 that isn't willing to spend $600? The Core @ $299 is $179 dollars less then the Elite.(38%)

This article assumes that people only look at price when it comes to consoles. Games sell consoles. And someone who walks into a store to buy a 360 isn't going to walk out with a PS3 just as someone who walks in to buy a PS3 isn't going to walk out with a 360.

It's the job of the games to create the desire to want one console over the other.

"The Elite does everything the PS3 does for $100 less."

No, it doesn't.

"As far as Wifi... Don't gamers want to avoid wireless internet?"

Sure, and CEOs want to avoid making money.

"Having an expensive console is only a disadvantage if you don't offer a lower priced one."

You can think that, but Sony also offered a low end model and it didn't help them at all. In fact, it sold so poorly they discontinued it in the US. People generally just don't like to have the "inferior" product, even if it does everything they could possibly want the thing to do.

All sold out. I'll have to wait for mine.

I already have a premium, but I want the 1080p. I would get the PS3, but there are no good games scheduled for at least as long as they can hold out for a price decrease.
One problem I see for Sony. The Elite does everything the PS3 does for $100 less. And there are some great games out for it. I would only consider getting the PS3 if I already had a 360, and they came out with some more games.

As far as Wifi... Don't gamers want to avoid wireless internet?

My true guess is that M$ will discontinue the core system and drop the prices of the premium and elite eventually. Up until now, Sony hasn't given them a reason for a price drop.

Having an expensive console is only a disadvantage if you don't offer a lower priced one. Sony showed that $600 and $500 is a bit too much to get blockbuster demand. M$ showed that $400 and $300 can produce great demand. Nintendo swept up with a $250 console and you still cannot find one in stores.

So this story says the Elite still doesn't include WiFi?

I agree completely with this analysis. The Elite erodes the 360's main advantage over the PS3, price. It also makes people wary of buying the Premium, since they want to be sure they aren't going to miss out on any extra functionality. The trend seems to be toward more and more expensive consoles, which is not a good thing for gamers.

I've heard a lot of people have reserved it so it's doing SOMETHING right.

We'll see if that keeps, though.

Do they now.