PS 3 set for Xbox-shaped Xmas beating?

Posted by Al Warmington on Thu 18 Dec 2008

The war's not over, but times are tough for Sony

There’s still a week to go before we tuck into our turkeys and brussel sprouts, but speculation about the outcome of this year’s Christmas Console battle is running rife. Although it’s going to be a while before we see official figures for the complete festive period, there’s a common consensus emerging: the PS3 is being handed is shiny black bottom.

Console wars: The epic battle in pictures

According to GfK Chart-Track data, via Eurogamer, the PS3 is still being beaten by Xbox 360 in Europe, to the tune of 1m units. That’s not necessarily a big deal; Sony’s console was late to the next-gen scene, giving Microsoft a full 15 months to capitalise on its first mover advantage. If anything, it should be further ahead.

However, Sony did claim earlier in the year that it had overtaken Microsoft’s install base. Eyebrows were raised at the time, but the figures didn’t seem too hard to believe, given Europe’s historic preference of Sony over Microsoft, especially in the UK. Now it appears there’s been something of a turn around.

Alas, there’s more. In the US, results from November’s NPD Group sales data revealed that PS3 unit sales were down compared to the same results from last year. In an industry which is still enjoying significant growth, that’s a profoundly bad sign and one that prompted Silicon Alley Insider to declare the PS3 a “sinking ship”. At the same time, Microsoft has been proudly proclaiming its monstrous pre-Xmas successes across the globe.

The reason for Sony’s downturn? You probably already know. Analysts have been saying it since the PS3 first arrived. It’s immediately apparent whenever you look at each console in a shop. PS3 is just too darn expensive.

Now, we’re well aware of the many benefits you get for splurging those extra couple of hundred quids. Integrated WiFi, a Blu-ray player, superb media playing capabilities, free online play, the chance to replace hard discs at a reasonable cost, reliable hardware, etc. But at the end of the day, ordinary customers don’t do the long and complicated maths, they look at the starting price tag and make a decision, and that’s where Microsoft has Sony well and truly beat. Clearly, ongoing economic hardships haven’t helped either.

Furthermore, Microsoft was able to slash its prices yet further ahead of the Xmas rush. For whatever reason, Sony refused to follow suit and that meant disappointed wouldbe-PS3 owners, who were probably justified in expecting a little extra incentive ahead of the festive season, and Microsoft claims its move has helped it outsell PS3 every single week since.

However, the war is far from over. A bad Christmas does not mean the console war is lost, and Sony is still selling a decidedly tasty bit of kit, with a very promising games line-up for next year. If Killzone 2 lives up to expectations and Sony can use its launch to get PS3 momentum going again, 2009 could be the year of the PS3. And the Wii, of course. But we’re just going to ignore that.

Link: Sony PS3 and Microsoft Xbox 360

The best and worst of Xmas