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(Column) - Activision CEO Bobby Kotick said Microsoft and Sony will need to drop their console prices to $199 in the next 12 months in order to better compete against Nintendo's Wii, which is in short supply, thanks to its innovative features and attractive gaming style. This advice is excellent, and Microsoft and Sony will definitely have to lower their prices to better attract consumers who are in love with Wii. Unfortunately, neither of the two are in any position to do that, especially not in the next 12 months. It's more wishful thinking than reality.
Microsoft is already losing money on its Xbox 360 consoles, and Sony, well, let's just say, their ego is getting in their way of making a mark. This is what you get for polarizing your users too much. And it appears as though no one is really interested in working overtime to get their PS3. Heh, what a surprise! There goes Kotick's idea of substantially cutting console prices. Nintendo Wii Zapper Review On top of that, Microsoft is doing well. If they aren't generating revenue on hardware, the company's Halo series has done stupidly well with Halo 3 generating $300MM in revenue in the first week. Nintendo is obviously struggling to meet demand. That leaves us with Sony and its PS3. Talk about a disappointment. Once considered the hippest gaming console in the gaming community is now struggling to empty store shelves.
As if the prices aren't hurting enough, developers are also looking to allocate more resources to the Wii platform due to its obvious success. When it comes down to it, Microsoft, and more importantly, Sony are in a rough spot. They can't refine their manufacturing processes enough to cut a decent chunk of prices. Plus, it also cost more per unit due to their advance technologies. It's a pity mainstream consumers aren't interested in the sheer technical prowess of the console warriors. Instead, they are more interested in pure game play that Nintendo has refined.
All in all, while Kotick presents a noble idea, Microsoft and Sony are stuck in a difficult position. Microsoft doesn't care much about hardware sales for obvious reasons, it's Sony that has me worried. But if it isn't clear by now, Nintendo is the hands down winner with its hardware and software (Mario Series) sales. What a perfect combination! Click here to check out the latest prices on Nintendo Wii accessories!
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