Report warns PS3 stocks may indicate softening demand

A report shown on Tuesday showed that more than half a group of surveyed stores in the United States had Sony's PlayStation 3 (PS3) console in stock. "Our channel checks yesterday of 52 retail stores, from boutiques to big-box retailers, showed that 28 of the 52 stores had PS3 consoles in stock, while none had Wii consoles in stock," American Technology Research analyst Paul-Jon McNealy said in the research note.

He noted that most of the stores had just 1 digit figures of stocks while only one had more than 60 units on offer. With supply shortages of the console lasting since its mid-November launch, many have interpreted the available stocks as being a sign of slowing demand for the console.

However, Sony spokesman Dave Karraker dismissed this belief by claiming that the company is airlifting more than 100,000 units to North America weekly. "It isn't because demand has weakened, it is because we have kept the supply pipeline moving," he said.

Source:
Reuters

Written by: James Delahunty @ 16 Jan 2007 18:22

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20 comments

geeoh

What were you Sony fanboys saying about the Wii again?
Maybe Sony should skip the retail stores and just sell the PS3 on Ebay. Even if they sold them for $10,000 each, I'm sure some chump would buy one!

16.1.2007 19:35 #1

hughjars

2 million shipped and 1 million units unsold.

17.1.2007 02:34 #2

solarf

Sony seems to be in trouble here...

17.1.2007 07:51 #3

Pop_Smith

The PS3 sold and continues to sell well but, just like everything else, demand will slowly (or quickly depending on the product, current situations etc.) decrease.

The PS3 is a good system, I have played one in a well ventilated box, which only came about after complaining when it froze on me a few weeks before, at a GameStop close to me and its fun but I am not into the Sony controller and the PlayStation series in general.
Quote:However, Sony spokesman Dave Karraker dismissed this belief by claiming that the company is airlifting more than 100,000 units to North America weekly. "It isn't because demand has weakened, it is because we have kept the supply pipeline moving," he said.I would like to counter this with help of nexgenwars.com:

As of 11:30 Mountain standard time here are the standings:

XBox 360: 10,107,709
PS3: 1,120,614
Wii: 3,912,339

I think the figures speak for themselves.

Peace

17.1.2007 08:32 #4

bobiroc

Quote:However, Sony spokesman Dave Karraker dismissed this belief by claiming that the company is airlifting more than 100,000 units to North America weekly. "It isn't because demand has weakened, it is because we have kept the supply pipeline moving," he said.Yeah Right! Kept the supply pipeline moving. Keep telling yourselves that. Like Pop_Smith says the numbers speak for themselves. If Sony has shipped 2 millon consoles then why aren't there 2 million sold. Nintendo has sold every console it has shipped around the world and as soon as the come in they fly off the shelves.

17.1.2007 13:46 #5

geeoh

Wow, PS3 fans! Even when they are losing they're winning! Sounds like a certain political party of the left persuasion. If there ever was news about the Wii like there has been about the PS3, you anti-Nintendo people would be frothing at your mouths and speculating that Nintendo was going out of business.

I am not a Nintendo Fan-boy, but I used to be one before the N64. However, I did buy the Wii, and after playing it, I was glad about my purchase. I felt that I got allot of bang for my $249. Besides, I couldn't fathom the idea of paying over $600. for a toy! I'm not saying that the PS3 is a bad system, but the price is a laughable joke, and one of many examples of Sony's arrogance! Well as they say, "a fool and is money is soon parted." Ha! That should be Sony�s corporate motto!

17.1.2007 16:12 #6

ZippyDSM

PS3 is starting to stock up so this leads me to think Sony will cut the PS3 price to move units and keep the price as high as they can for as long as they can,maximizing the the price game as it were the only question is when will come below 400?

17.1.2007 17:34 #7

Pop_Smith

Originally posted by ZIppyDSM: PS3 is starting to stock up so this leads me to think Sony will cut the PS3 price to move units and keep the price as high as they can for as long as they can,maximizing the the price game as it were the only question is when will come below 400?I am not an expert but, I don't think the PS3 will fall below $400 unless its towards the end of its life cycle.
Sony sells the Blu-ray player for $1000, not sure why, but they are selling it at that price and I assume they are making a slight profit (probably not a very big one) does it mean that they are already loosing money on each PS3 sold due to its low-for-Blu-ray-but-high-for-a-console price? Again, I am not an expert so I am not sure.

Peace

17.1.2007 18:25 #8

bobiroc

The price dropping will depend on a few factors. The age of the system, when the technology to make Blu-ray comes down, and supply and demand.

Seems the demand has already begun to die down a bit and I think it will drop even more because of the Blu-Ray/HD-DVD players right around the corner. Many consumers will be upset that you can only play Blu-ray in the PS3 and HD-DVD in the XBOX 360. If you got both I guess you are set, but I think many consumers will opt to get an all in one player and not use their consoles for movies just like the DVD movie capabilities are wasted in Many PS2s and XBOX's

17.1.2007 18:34 #9

ZippyDSM

Pop_Smith
I mostly agree,Sony tend to stick to their price even with BR players in acouple years being under 200, the PS3 will still be 400+ if they make a new revision making the loss on each new system less or null.

its going to be a ride theres no telling what sony will do if push comes to shove.

17.1.2007 18:44 #10

Andrew691

Now that the initial fanboy sales are largely over, consumers will be waiting for either a price drop or something to justify spending $600 on a console, like a must have game or something. Sony will be able to drop the price by around $100 (whether or not they do though...) when PS2 games are software emulated rather than hardware. With the Europe release, again once the initial fanboy/hardcore gamers rush is over and selves start to fill, then a price drop will happen.

17.1.2007 20:00 #11

hughjars

The Euro, Uk and Irish pricess have been announced.

I expect another very short 'fanboy' rush.

Demand is softening to the point of being gaseous!

18.1.2007 07:26 #12

borhan9

LOL!!! kept the pipeline going :P what a cope out. Nintendo is killing the PS3 and thats what they come up with.

Maybe if Sony can bring their price down maybe sales will increase. :P

19.1.2007 19:47 #13

ZippyDSM

Frankly I dont think gamers will shell out 600$ for a new system with a shallow new big brand game on it...I just don't see it,you'll have 2nd sting fanboys who are waiting on the flag ship games to come out who will then buy a system for that game and not touch the sysem much after that...but...I just don't see the PS3 pushing a ton of sale at that price. even 100 less is not going to do it......

I dont get the whole droolings over Zelda its a Game cube game that had a special ed made for the WII....thats only helping it a bit whats enabling the WII to sell is the control scheme and the price.

19.1.2007 23:11 #14

Pop_Smith

Quote:I dont get the whole droolings over Zelda its a Game cube game that had a special ed made for the WII....thats only helping it a bit whats enabling the WII to sell is the control scheme and the price.I dunno why either, its flipped from the GameCube version (Link is left-handed, but, he is right-handed in the Wii version.) which maybe part of it. Your right, the new controller scheme and price of the console is a big part of it. I am glad to see something creative and new be so successful though and it shows that pretty graphics are not all that matters. :p

Peace

20.1.2007 13:47 #15

ZippyDSM

Pop_Smith
have you seen any true interest in game play/control evolution?
I have not and worry..Nintendo is just as shallow as the rest....

20.1.2007 13:55 #16

oofRome

Sorry for butting in as this question isn't directed towards me, but here goes:

Originally posted by ZIppyDSM:Pop_Smith
have you seen any true interest in game play/control evolution?
Yes. I'll give you a list of the most popular ones:
Nintendo DS
Nintendo Wii
Sony's Sixaxis controller
Sony/Logitech/Nam Tai's Eyetoy
Guitar Hero
Guitar Hero 2
DDR

The popularity in those are proof alone that play/control evolution can't be underestimated. (yet)

20.1.2007 14:52 #17

ZippyDSM

oofRome
thats not what I meant...I am talking about WII games, if nintendo dosent do something about the shallow gaming they will become one of the many and fail.

FIGHT THE M.A.F.I.A.A.
Sony has declared war on importers the consumer will be next with CD's,Videos/Games not far behind that....boycott SONY!
http://www.afterdawn.com/news/archive/8062.cfm

20.1.2007 15:04 #18

oofRome

Originally posted by ZIppyDSM:oofRome
I am talking about WII games, if nintendo dosent do something about the shallow gaming they will become one of the many and fail.Oh. Well then you're right, but the same goes for any developer...

20.1.2007 15:42 #19

ZippyDSM

oofRome
not currently,MS and sony are built off fluff to distract from gaming plus gamedom is becoming the new hollywood with shallowness as the new direction for things to come.....they target teens and sheeple to sale day old BS to so they can make new stuff and sale it to everyone at a premium..and no I have not had my nap today ><
*wonders off to bed being pissy at the world*
*L*

I think the WII should be able to survive on shallow gaming since they have the new control scheme...but...I want game control/play to make a come back,its getting to the point where games of 10 years ago are better than these new shallow play them selfs things devs try and push on us...to stay is to bitch to go is to bitch...damn I am bitchy ><

FIGHT THE M.A.F.I.A.A.
Sony has declared war on importers the consumer will be next with CD's,Videos/Games not far behind that....boycott SONY!
http://www.afterdawn.com/news/archive/8062.cfm

20.1.2007 15:53 #20

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