Game Time: The PS3 Saw The Pricing Backlash Coming

It started last year, but was temporarily abated by a brilliant price cut move: the PS3's value is starting to earn its high price. Since its release, everyone with an axe to grind felt the need to belittle the PS3 as a machine bundled with useless features nobody asked for or would want. However, as this recession continues to peel away the layers of excess, we're starting to see why the Playstation brand has been so successful in previous years. It excels at providing value to its partners.

Who would've guessed after all of the trumpeting at the year end [concerning the record revenues and sales] that analysts would be forecasting a drop in price of video game software? SONY did! Most of us laughed when they packaged the huge HDDs as a standard feature, promoted AAA value software through digital distribution, and created Playstation HOME. Although their arrogance is a little off-putting, it looks like SONY may be the ones getting the last laugh. They expected this shift in the consumer demand and are prepared to not only weather it but to provide developers with more, cheaper ways to market and increase value in their products. It'll be interesting to see how Microsoft intends to increase their position in light of this news.