How much would you be willing to shell out for the PlayStation 3, with its eye-popping graphics, superior sound quality, and other home-entertainment features? The price tag for Sony's next-generation gaming console could be pretty steep when it is released, according to recent revelations by the company, although there is some confusion over just what the company said.
An executive with Sony Computer Entertainment Europe this week reportedly told a French radio station that the PS3 would list at 499 to 599 euros, which translates to some $600 to $750. That's considerably more than Microsoft  's Xbox 360 console, which sells in the $300 to $400 range.
In the wake of this news, Sony clarified that estimate, saying the figures given were for a Blu-Ray high-definition video player, and were in U.S. dollars, not euros. Those numbers might make more sense, given that Blu-Ray players are expected to sell in the $500 to $1,500 range.
Lost in Translation
"It looks as though there was a mistranslation, and that the prices listed were for a Blu-Ray player, which means that we still don't know what the PS3 will cost," said gaming expert Paul Jackson, an analyst at Forrester Research.
He suggested that Sony will sell the PS3 for no more than $500 in an effort to remain competitive with the Xbox 360 and Nintendo's forthcoming Revolution gaming console, although the price could be as high as $800 at launch and drop thereafter.
While that's a lot of money, Sony contends that its latest console will do a lot more than play games. The device is being touted as an all-in-one home-entertainment hub that is powered by the supercomputer-grade Cell processor and the next-generation Blu-Ray disc technology. Moreover, Sony plans to introduce a MySpace-like online-gaming service when the console goes on sale in November.
Cool New Games Are Key
"Sony says the PS3 is much more powerful than the PS2, and that it will introduce some attractive, high-definition game titles, but it probably won't be that much more compelling than the fully loaded Xbox 360," said Jackson.
One issue Sony has to deal with is that it can take a year or more after launch before the games that can truly take advantage of the console's capabilities are introduced. "And at this point, Microsoft has a head start and can start delivering better games by the time PS3 is launched," the analyst said.
The latest pricing confusion adds to Sony's perceived troubles regarding the PlayStation 3, which was to be introduced this spring but instead will debut seven months from now.
"They have had some problems getting innovative technology to work together, and getting the Blu-Ray specifications approved, but they can't price the PS3 $200 more than the Xbox 360 if they want to attract buyers," Jackson said.
Still, he noted that, in the long run, the networking capabilities, high-definition video, and processing power of the PS3 could make a difference among gaming fans.
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