Quote:
Originally Posted by wizwor
Don't kid yourself. Microsoft was willing to sell their console at prices Sony could not match. They did a great job acquiring and developing content at the top of the market while filling the low end with inexpensive fun. They also had a year to carve out a niche before the PS3 arrived, but that didn't help Sega.
The point is that Microsoft has a long and broad vision. When they choose to enter a market, Microsoft maked an impact.
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The only reason they couldn't match it was because even a $600 retail Sony was already taking a substantial loss; At launch each system cost them about $900! The 360 only cost Microsoft somewhere around $500-600. Repeated price cuts meant that Sony would continue to take a loss for the first several years of the PS3's life. In all SCE lost ~$2 billion before finally breaking even on the production costs.
So in fact Sony was just as willing to pour money in. If they hadn't opted for the ridiculously expensive Blu-Ray drive AND Cell processor they could easily have matched, or even undercut, the 360.