Nintendo passes Sony in market value!

sherwood3570 · 06-27-2007, 03:10 AM

I think I read somewhere that the PS3 is going to have a price drop after Xmas. I read that on here actually. Ciper, are you sure that those prices aren't just for the video game corps. from Sony? Sony has a lot of different companies that they're milking.

paintba||er · 06-27-2007, 03:17 AM

Quote:

Originally Posted by sherwood3570

I think I read somewhere that the PS3 is going to have a price drop after Xmas. I read that on here actually. Ciper, are you sure that those prices aren't just for the video game corps. from Sony? Sony has a lot of different companies that they're milking.

If they are smart they would do it just before Xmas not after.

CyanRussel · 06-27-2007, 03:27 AM

That would be smartest thing! Cause thats when people have money, and are looking on what to spend it on..................... if it costs to much they arnt buying it unless they think its not costly! But anyways that is the best thing to do!
(People would rather have it before than after)

CantGetAWii · 06-27-2007, 05:21 AM

Well the newest article posted on here, looks good for the Wii.
More third-party support.
But it is indeed to soon to tell.

cannon · 06-27-2007, 05:24 AM

I posted this yesterday, But still good news none the less

Jenslin · 06-27-2007, 05:28 AM

Quote:

Originally Posted by Sovieto

of course i do, their good games are yet to come.

It is excepted that Wiis good games are also yet to come.

Thegamerfan · 06-27-2007, 05:43 AM

all i can say is...ps3 is biggest peace of garbage then....then..the virtual boy!
i see a repeat of dreamcast coming....but sony still got tv's and such.

paintba||er · 06-27-2007, 05:47 AM

Quote:

Originally Posted by Thegamerfan

all i can say is...ps3 is biggest peace of garbage then....then..the virtual boy!
i see a repeat of dreamcast coming....but sony still got tv's and such.

I've never seen peaceful garbage...

ciper · 06-27-2007, 06:54 AM

Quote:

Originally Posted by sherwood3570

I think I read somewhere that the PS3 is going to have a price drop after Xmas. I read that on here actually. Ciper, are you sure that those prices aren't just for the video game corps. from Sony? Sony has a lot of different companies that they're milking.

Im sure. Its for all of sony including TV/camera/computer etc.

Quote:

Originally Posted by paintba||er

they would still make more money in the end, because they would sale more games and other stuff that they make a profit on.

That is exactly why the company is doing so bad. They lose money on each system and people aren't buying enough games to make up the difference.

paintba||er · 06-27-2007, 07:01 AM

Quote:

Originally Posted by ciper

That is exactly why the company is doing so bad. They lose money on each system and people aren't buying enough games to make up the difference.

But that will probably change pretty soon when some more good games come out.

ericlewis91 · 06-27-2007, 04:52 PM

i think the ps3 will go down $50 at first

and the wii down like to $179.99

CyanRussel · 06-27-2007, 04:57 PM

I believe the PS3 will go down a little bit more..........the wii on the other hand will not go down yet, as good as its selling its keeping that price point for some time!

Shiftfallout · 06-27-2007, 05:26 PM

Lets just make it clear that is not the value of the companies as a whole. Market Shares are the percentage of the total sales of a given type of product or service that are attributable to a given company.

Meaning, it has to do with sales, not company worth. Big difference. Nintendo's sales to profit ratio is HIGH because they make a profit off of everything they sell. This is not a good or bad thing. Its a double edged sword. Meaning, Nintendo opted to make profit over say, giving you better hardware or a dvd playback feature or better graphics..ect

When you invest in something, you take a loss untill that investment reaps the rewards over time. For example, you could invest/ aka take a loss of/ 2 million dollars on buying out some apartments. You then rent those apartments and over the course of say 5 years, your investment/loss of 2 million is doubled to a total of 4million, meaning you just earned an additional 2 million dollars.

So, Sony is putting the best this generation has to offer in technology and services like free online play, they are taking the loss of developing a new and better cpu, of putting blue ray on the market...ect they take huge loss. But thats not stupid, its intentional, in order to have that big gain later. So with Home they will reap money from merketing campaigns from companies like Nike, or Fender or whatever, in addition to profit off of game and movie sales, in addition to licensing out technology. Namco is going to use the PS3 Cell processor in their new arcade machines for example. This means they invested in a lot of money and the seeds are planted, They will get their investment back, and more.

So when a big company invests in something big, taking the losses to make it available to the consumer, you have to expect a drop in their share while also expecting a spike in it later. Thats why you cant really take those numbers seriously.

Nintendo's market share is high because they, unlike other gaming consoles, put cheaper old school technology in the wii and charge more so that no matter what they wont lose money. The problem with this is, they have no obligation to provide you with good games because no matter what they will never take that initital loss. If you take an initial loss, you have more reason to provide better services and games because you want to get that money back and then some. Its the difference between buying a guitar that was made in china in a factory, with cheap wood, or say in the US with say maple wood and not in a factory but by a professional. By going the cheaper rout you get worse product quality. Chinese Fender Squire electric guitars will out sell an American Fender anyday, but the quality and craftmanship is completely different. You get what you pay for.

read this:

Quote:

Sony suffered steep losses as it ramped up PS3 production, spending millions to develop high-end capabilities and a processor that is fast and powerful enough to be found in some super-computing settings. In the year ending in March, Sony said it lost some $2 billion in the gaming business.

Those losses were compounded in 2006 by the tens of millions it spent sending out replacement laptop batteries to millions worldwide who had bought computers from Apple (Nasdaq: AAPL) Latest News about Apple, Dell (Nasdaq: DELL) Latest News about Dell and other major PC makers.

More recently, Sony has said it has gotten the red ink in the gaming unit under control and it may have other strong marketplace winds at its back as well. Its digital TVs are expected to sell well this year and its Blu-ray platform for high-definition DVDs is winning widespread support from Hollywood studios and, more recently, Blockbuster, which will make Blu-ray disks more widely available than the rival HD-DVD format.

All that may enable Sony to cut the prices of PS3 this year. Such a move and the availability of more gaming titles for the platform, could help push the device ahead of its rivals this year.

"Having more game titles is a major plus -- particularly if one or more of them is a big hit," Yankee Group analyst Michael Goodman told the E-Commerce Times. "But price still seems to be the issue. Not many people have been willing to plunk down $600 just yet. If that price comes down a bit, that could make a big difference."