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Posted

from ign and forbes

 

 

Is a price drop imminent?

 

 

It's old news now that PlayStation Vita isn't selling very well in its native Japan. As we already reported, Vita is off to a rocky start, only selling 72,479 in its first week on the market after pushing about 325,000 in its first 48 hours.

 

This precipitous decline hasn't gone unnoticed in circles outside of the gaming realm. In fact, Forbes tech contributor Tero Kuittinen has written a scathing article titled "Sony in Big Trouble with PS Vita," outlining the problems the company is currently facing with Vita.

 

Kuittinen notes that Vita's "second week brought devastation," especially when compared to Nintendo 3DS' second week on the market. Nintendo 3DS was widely believed to have had a terrible start, only more recently pushing bigger numbers now that games players want have finally starting arriving. Yet, 3DS sold 370,000 units in Japan in its first week, and 210,000 units in its second. In other words, it beat PlayStation Vita by 45,000 units in its first week, and a massive 137,500 units in its second week.

 

"That drop off led to steep further sales erosion," the Forbes article notes, "which forced Nintendo to implement an unusually early and steep price cut." This, of course, begs the question if Sony will do the same. Tero Kuittinen thinks that it will. "Sony will likely be forced to cut the price of the PS Vita from 24,000 Yen (~$311) to well below 20,000 Yen (~$259) very soon."

 

But the problems don't stop there. Kuittinen continues, "The upcoming US launch could be a true debacle for several reasons. Sony has decided to price Vita at $250, higher than the Amazon Kindle Fire. The hottest games like the latest Uncharted are priced at $50, while many other major titles are $40. The pricing seems delusional in light of the Japanese response to the PS Vita."

 

However, Kuittinen saves perhaps his harshest words for later in his article. "The 3DS should have been a surefire blockbuster in its domestic market -- the summer softness in Japan may have been an early warning sign of the coming global portable market malaise. The disastrous second week of the PS Vita is the second sign." The reason? The Forbes author argues that the rise of the smart phone and tablet markets are much to blame.

 

But he also argues that Sony should be concerned, as it seems to be on recent word that Sony had no comment when asked about Vita's sluggish sales. "…the portable console market may now have entered an age of permanent, slowly accelerating decline," Kuittinen concludes. "The true test of the industry is the United States, where consumers are embracing games designed for smartphones and tablets. The possible shrinking of the portable game consumer base would hit the runner-up Sony before Nintendo really gets mauled. The rot sets in first at the periphery."

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  • I will give you my PSN once a KH Game comes out on it

  • LightningXIII
    LightningXIII

    Wow. Really Sony? This is so cheesy. If people don't want the Vita, then they don't want it. If people do, then they do. Targeting the 3ds isn't improving their sales. Nintendo doesn't target Sony to

  • ...Material goods are very cheap to make. If costs 12 dollars to make a memory card, then it costs more to make a memory card than ti does to make a game disk and packaging. Know why? Because while

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I don't see myself getting a Vita at all. Only a KH game on the Vita would actually make me consider getting one.

The Vita is a system that has potential, but Sony has relied on 3rd Party titles for too long. After the big point was made that it was more powerful then anything this gen, the Xbox 360 can support Crossgame Chatting (ie. Xbox Live Parties) while the PS3 can't which is most likely why it 360 beat PS3.

 

The only game that I'm REALLY interested in is Army Corps of Hell.

 

I really hope Sony steps up their game.

  • Author

The Vita is a system that has potential, but Sony has relied on 3rd Party titles for too long. After the big point was made that it was more powerful then anything this gen, the Xbox 360 can support Crossgame Chatting (ie. Xbox Live Parties) while the PS3 can't which is most likely why it 360 beat PS3.

 

The only game that I'm REALLY interested in is Army Corps of Hell.

 

I really hope Sony steps up their game.

 

Herm, odd i though had alot of first pary support.Ps vita will cross game chat.360 has only sold 2 million more systems than ps3 and it's been out year longer.

 

Asia

North America Europe Asia North America Europe Maybe i imagine alot of those games.

It's crazy, the Vita costs 150 dollars to make apparently, so Sony is actually selling at a prodit for once.

If they'd used their business model of selling at a loss, they could have offered the Vita for less than the 3DS' lowered price, and I'd bet you anything sales would have improved immensely.

Considering stores in Japan are already giving 20% off, I have no problem waiting for the price drop.

  • Author

It's crazy, the Vita costs 150 dollars to make apparently, so Sony is actually selling at a prodit for once.

If they'd used their business model of selling at a loss, they could have offered the Vita for less than the 3DS' lowered price, and I'd bet you anything sales would have improved immensely.

Considering stores in Japan are already giving 20% off, I have no problem waiting for the price drop.

 

They should sell it for 175$ and it will sell gang-busters.

They should sell it for 175$ and it will sell gang-busters.

 

They could, but imagine if they sold it for 100 dollars? That's nearly unheard of.
  • Author

They could, but imagine if they sold it for 100 dollars? That's nearly unheard of.

 

Don't think they would that any time soon but that would awesome.

They could, but imagine if they sold it for 100 dollars? That's nearly unheard of.

 

I might buy it at that price. But the 3DS costs only around $100 to make, so they could match Sony at that price, and could go even lower if they decided to sell it for a loss. I am doubtful that would ever happen, for either company, ever, like I doubt anyone would even have the guts to suggest it.

I might buy it at that price. But the 3DS costs only around $100 to make, so they could match Sony at that price, and could go even lower if they decided to sell it for a loss. I am doubtful that would ever happen, for either company, ever, like I doubt anyone would even have the guts to suggest it.

 

It costs 100 dollars to make, yes, but you should know that Nintendo doesn't make 100% profit on the retail price. The current price of the 3DS is actually sold at a lost for Nintendo.

Herm, odd i though had alot of first pary support.Ps vita will cross game chat.360 has only sold 2 million more systems than ps3 and it's been out year longer.

 

Asia

North America Europe Asia North America Europe Maybe i imagine alot of those games.

 

That is one awful-ass post. Copy-Pasting from Wikipedia makes it look worse. I was talking about the Vita in general and most of those games were/are '1-shots' anyway. Vita is a useless system to have Cross-Game Chat on, your not always connected to the internet, and 1 year doesn't make a different, Wii outsold the 360 and that came out within the week the PS3 came out. I'm finished, and don't try to make some wimp excuse on how your points fail. THERE IS NO ESCAPE! :O

It costs 100 dollars to make, yes, but you should know that Nintendo doesn't make 100% profit on the retail price. The current price of the 3DS is actually sold at a lost for Nintendo.

 

Yes, I do know (except the part about Nintendo taking a loss). But wouldn't the same hold true for Sony then? If the 3DS is sold at a loss at $170, when it costs $100 to make, that means there is at least $70 in other costs per 3DS sold. Assuming that the Vita had a similar amount "other costs", it would only be selling at a small profit. I doubt Sony wants to give up profit, and I doubt they would sell at a very big loss (of course, I don't follow Sony, so I have no clue how much was lost with each PSP and PS3).

Yes, I do know (except the part about Nintendo taking a loss). But wouldn't the same hold true for Sony then? If the 3DS is sold at a loss at $170, when it costs $100 to make, that means there is at least $70 in other costs per 3DS sold. Assuming that the Vita had a similar amount "other costs", it would only be selling at a small profit. I doubt Sony wants to give up profit, and I doubt they would sell at a very big loss (of course, I don't follow Sony, so I have no clue how much was lost with each PSP and PS3).

 

Erm... I don't think you understand. The store you BUY the 3DS gets money as well.

Erm... I don't think you understand. The store you BUY the 3DS gets money as well.

 

Nope, I am lost now. Okay, you said that the Vita costs only $150 to make, and Sony was actually making a profit. Then you talked about them selling the Vita for $100, to which I responded that Nintendo could match the price as the 3DS costs less to make than the Vita. You responded that Nintendo was already selling them at a loss, and they don't make 100% profit. To which I responded that extra costs (like advertising, packaging, etc.) would apply to both. Now you say that the store you buy a 3DS from gets money as well (which makes sense, because stores have to make money somehow), but would they not also get money from selling a Vita?

 

So yeah, I am not even sure where this conservation is going anymore...

  • 3 weeks later...

Vita looks like a great console but, *cough*steals3dsideas*cough*andsucksatittoo*cough* there really aren't any good games out at launch or near launch. The store is really useless unless I want to download Escape Plan and Plants VS Zombies. (No KH on PSN Store)

 

I'm only interested in MotorStorm RC, Street Fighter X Tekken (Want the exclusives), Ninja Gaiden ∑ Plus, and Dynasty Warriors Next. I'm not willing to shell out $350 just for 4 games. I really don't trust Sony. I don't think it's worth it, and I've played the demo unit at GS. It feels really uncomfortable. Hell, the CCP for the 3DS feels better, much better if I might add. Try convincing me if you wish. I'm also predicting a price-drop this year. :)

No, haha, i wouldnt mind but the amount is to damn high, someone actually took apart the PS vita a saw the pieces and the total amount was £140 or $200, ill wait i think

I'm definatly gonna start saving up for one once I get a 3DS. cX

I wont pay the amount they are asking for it thats for sure ..Thats crazy..I agree on future impending price drop possibility..Furthermore they better produce a lot better games to go with this system bc so far theres nada for me.

I have no interest in it right now. Like you, there aren't really any games on it that appeals to me. And the price plus the price of the data chip is a rip off.

I would wait until they lower the price and until it has a larger game library. :)

I have no interest in Vita or PSP. I love my Nintendo handhelds, 3DS especially. PS3 being the only exception, I don't really like Playstation systems much anymore.

I told myself I would not consider the Vita worth it unless Square put a KH game on it. ;)

I am the opposite :P I can't wait to get it, with the graphics and power of the console, I can't wait to see what happens. I am really looking forward to the Final Fantasy HD remakes, Lord of the Apocalypse, Ragnarok Odyssey, Persona 4 the Golden, future Monster Hunter, remote play with the PS3, sports game (Madden, Fifa), any Squeenix games...

Also I'm sure a Kingdom Hearts game will end up on it :P AND finally it's only 250$ :P I already had a memory stick from a gamestop deal so it's only 250$ for the console and with the games I'm getting at first will only cost me around 300$ to get everything going.

Well since after the third week after it's release the original PSP had sold more in that week than the Vita had, then I'd say no, you can't use UMDs on them, they expect you to pay $250 plus however much it is for the games. I haven't even seen them being sold in any stores either, weren't they supposed to be released in september? Of last year?

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