Big dogs: Sony boss reacts to Activision threat
by Stevie Smith - Jul 9 2009, 15:45
Bobby Kotick and Sir Howard Stringer battle over the PlayStation 3 bone. Image: Emery_Way/Flickr.
Much like the cutesy daisy petal game of ‘she loves me, she loves me not,’ Sony has once again forcibly adopted the ‘loves me not’ standpoint regarding perpetual industry and analyst rumours that point to an imminent PlayStation 3 price cut.
Sony’s latest reiteration regarding the price point of its powerhouse home console comes after Bobby Kotick, boss of third-party publishing giant Activision Blizzard, suggested his company would withdraw software support for current PlayStation hardware if Sony did not bring the console more in line with its market rivals.
“[Sony] have to cut the price because, if they don’t, the attach rates are likely to slow,” said Kotick. “If we are being realistic, we might have to stop supporting Sony… When we look at 2010 and 2011, we might want to consider if we support the console – and the PSP.”
Reacting directly to Kotick’s corporate posturing, Sony Corp. CEO Sir Howard Stringer has moved to show that big dogs barking is commonplace in the business world – and he’s not averse to barring his own teeth if necessary.
“He likes to make a lot of noise,” commented Sir Stringer during a technology conference in Sun Valley, Idaho. “He’s putting pressure on me, and I’m putting pressure on him. That’s the nature of business.”
The Sony boss was also keen to point out that Sony Computer Entertainment continues to make a loss on every PlayStation 3 that rolls off the production line, which would certainly suggest a retail price cut is not presently on Sony’s agenda.
Bolstering that position, Sony Computer Entertainment America bigwig Jack Tretton added that the PlayStation 3, which costs $399 USD and $499 USD, is still performing well in the marketplace after a strong 2008.
According to Tretton, the PlayStation 3 enjoyed a 38 percent increase in sales in 2008, surpassing the company’s projected goal of 10 million worldwide unit sales and helping the PlayStation brand rake in $6.4 billion USD in the United States alone.
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