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Activision's Ceo Barry Kotick might know something that we don't. It seems that he has made some really bold statements in a recent interview with Rueters news concerning the future price points of all three current generation consoles. Here are a few quotes from the interview:

Prices on Sony Corp's PlayStation 3 and Microsoft Corp's Xbox 360 video game consoles must fall to $199 in the next two years to reach mass-market appeal.

In the next 24 months they (current gen consoles) all will need to be at that $199 price point, and you can imagine Nintendo will be down to the $129 price point over the next few years

He also disusses the Guitar Hero versus Rock Band fiasco and what the plans are for Guitar Hero down the road. When asked directly about the possibility of the Guitar Hero series adapting new instruments, he stays far into the safe zone and only mentions that they are "On the list of features that our audience is interested in." The best quote for me was the when he said that he "Hasn't seen the product yet" when he was asked about Rock band. Way to stay on top of the trends Mr. CEO of one of the biggest game companies in the world.

What do you think about the possibility of a $129 dollar Wii and the 360 or PS3 at $199 bucks?








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47 comments | showing # 1 to 47
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king3vbo's Avatar - Comment posted on 11/28/2007 22:20
king3vbo
yah good luck with that
Joe Burling's Avatar - Comment posted on 11/28/2007 22:20
Joe Burling
Even at $129, I don't think I'd want a Wii. I'm not hating on it, I just can't think of a single game that really interests me on it.
CaffeinePowered's Avatar - Comment posted on 11/28/2007 22:20
CaffeinePowered
I would say the man has it right on the money, the Wii is pretty close too, before this generation I don't think anything launched (that was successful) with a pricepoint above $250
Scape's Avatar - Comment posted on 11/28/2007 22:20
Scape
Just like all the systems of the last generation this will eventually happen. It kind of seems like Activision's CEO is just saying common sense things...

"When technology has been out for a while, the price should go down."

..
Cheeburga's Avatar - Comment posted on 11/28/2007 22:22
Cheeburga
That would be the tits.
A Humble Mr Perfect's Avatar - Comment posted on 11/28/2007 22:23
A Humble Mr Perfect
damn that felt good...

Video game companies don't tack arbitrary numbers on their console price tags. There is a science to pricing that calculates a lot of variables: manual labor, r&d, debug, not to mention actual parts.

While it is economically viable for systems to drop in the future, this is due to new piecey parts (like the shiny new 99 USD ps2).

Capitalism 101: supply and demand.

If people keep snatching up $250 wii's like children in a dark alley, what's nintendo's incentive to drop its price.

Balderdash.
Y0j1mb0's Avatar - Comment posted on 11/28/2007 22:23
Y0j1mb0
I think Ol' Kotick has been playing Heroin Hero. $199 for PS3? That's a dragon he's not going to catch.
JeRe38's Avatar - Comment posted on 11/28/2007 22:25
JeRe38
good luck with that, I'd like to see it happen, but I sincerely guarantee it won't.
Upgrayedd's Avatar - Comment posted on 11/28/2007 22:29
Upgrayedd
I wouldn't have a 360 if I wasn't able to get mine for $230.
MissHinasaki's Avatar - Comment posted on 11/28/2007 22:30
MissHinasaki
Sadly, I admit that pricing has a lot to do with my gaming habits. $199? That's just effin' ridiculous, but a beautiful thought to a person whose newest system is a PS2...and not one of the slim ones...

But if the PS3 dropped to about $300 I might forgive Sony for all the pain they caused me....

And I'll admit that as mush as I bash the Wii, I would sell out for a price drop to about $170.
MaxVest's Avatar - Comment posted on 11/28/2007 22:30
MaxVest
Consoles is cereal bidness; what right does the mass market have to harness the power of the might CELL processor for the same commoners who can't tell if their TV is widescreen or not?

Enough of this one laptop per child bleeding heart mumbo-jumbo. It's a vidja game, not a charity!!
AngelsDontBurn's Avatar - Comment posted on 11/28/2007 22:30
AngelsDontBurn
That would be awesome. But it would definitely not be something I would expect to happen.
Spykron's Avatar - Comment posted on 11/28/2007 22:31
Spykron
i liked that idea about having one console. monopolies suck, but its so much easier when all your friends have the same stuff as you
ScottyG's Avatar - Comment posted on 11/28/2007 22:32
ScottyG
Well, it was either say he hasn't seen Rock Band yet, or say "OMFGWTFBBQ THAT GAME IS AMAZING!!!".
Harkonnen's Avatar - Comment posted on 11/28/2007 22:33
Harkonnen
Granted, this guy does not sell consoles for a living.

But neither do I, so bring it!
Twiggy's Avatar - Comment posted on 11/28/2007 22:35
Twiggy
@CaffeinePowered: I'm sorry, I don't like to nitpick normally but you said 'nothing that was successful' ever launched above $250? How about... Playstation. Playstation 2. Xbox. All of these launched at $300. The Intellivision and Atari 5200 launched at $300, too, and both were pretty popular for their day. In fact, judging by today's dollars, every major console *ever* with the exeptions of the GameCube and Dreamcast clock in at over $250. I'd say 250 is the absolute minimum for a console launch at this point, and probably the minimum for either of the higher-end systems to be within 3 years of launch. Anything below $200 for a PS3 strikes me as a bail-out price, similar to the $50 Dreamcasts of 2001-2002. A way to clear out inventory when a new system is coming out and you're not even making a new version - which since Sony is making a third type of PS2 seems unlikely, unless the PS3 completely fails to reach the heights promised.
Trowble's Avatar - Comment posted on 11/28/2007 22:37
Trowble
Not Utopia, but it's close. Also all games need to be $30 or less too.
Philonious's Avatar - Comment posted on 11/28/2007 22:55
Philonious
Activision would probably sell more games if they charged $20 a copy. Just saying.
Trevor McGee's Avatar - Comment posted on 11/28/2007 23:10
Trevor McGee
Haha, yeah, good luck with that fantasy world you live in there Barry.

By the way, Philonious had a good idea too. Why not sell all of your games a $20, you'd be more "main stream" then! lol
vexed alex's Avatar - Comment posted on 11/28/2007 23:47
vexed alex
"So that's something different than what we've created."

That's cute. They think they created Guitar Hero. No, what they've created is another Tony Hawk-esque franchise that comes out every year with a new peripheral and over priced exploitative downloadable content.

Personally for me (a Guitar Hero III owner), Rock Band seems like a much more long term investment. That is to say, as long as Harmonix and MTV don't screw us over with Rock Band 2. It'll be fine if the music is transferable to the new game. If it's another GH money making BS scheme, then no.

And that's cute about the console price drop, too. Maybe you should sell your $60 games for less so that I don't skip over them for better games. Tony Hawk is a nay, Activision. Skate is a better game.
akaryan18's Avatar - Comment posted on 11/28/2007 23:52
akaryan18
That would be the only way I'd be dumb enough to waste money on a ps3.

Better idea then dropping system prices is dropping game prices, think if halo3 came out to be 29.99? It'd make it seem like it wasn't halo 1.3 and that I didnt waste a tank of gas on a piece of shit
vexed alex's Avatar - Comment posted on 11/28/2007 23:53
vexed alex
@ Spykron

"i liked that idea about having one console. monopolies suck, but its so much easier when all your friends have the same stuff as you"

Why don't all of you just buy the same shit, then?

And a one console market would be horrible. It's one of the most retarded ideas since the travel tooth brush. Why do you think the XBOX 360, Wii, and PS3 continue to get updates? Competition, my friend. Competition works out for us consumers in the long run. It pushes the industry forward much more faster.
Joe Burling's Avatar - Comment posted on 11/28/2007 23:54
Joe Burling
I don't know why everyone thinks this is a fantasy. I think it's more of a reality than you think. The customary price point for a gaming console is $200. That's the magic number and that's simply a fact. 80% of all PS2's sold were <= $200. There are reasons why it seems so far off this generation, though...

1) The Wii can't even stay on shelves at $250. Dropping to $200 would make absolutely no sense for Nintendo. We won't see a price drop on the Wii until it stops selling out.

2) The PS3 launched at $500/$600, so it has a much longer road to travel before hitting $200. Sony is trying, though. In its first year they "dropped the price" $100 to $400/$500 respectively. If they continue to drop the price $100 per year, it could reach $200 by 2009.

3) The 360 is comparable to the PS3 and they are already at a lower price point than the PS3. Also, they are selling better than the PS3. The PS3 being so expensive bought time for MS to sit on their launch price longer than a console normally would. As the PS3 drops in price and/or starts taking more sales away from the 360, MS will drop their price to counter. Their lowest priced 360 is already at $270. They will probably have a $200 console in 2008.
A Humble Mr Perfect's Avatar - Comment posted on 11/29/2007 00:20
A Humble Mr Perfect
Dammit, I made the best microsoft paint picture ever, and I can't upload it. grar.

It was about Barry Kotick's long-lost twin, Janosz Poha.



not as funny, but hey, whatever.
charliesuh's Avatar - Comment posted on 11/29/2007 00:53
charliesuh
Her voice is sexy.
fromagex's Avatar - Comment posted on 11/29/2007 00:55
fromagex
i, for one, would much rather play a piano hero than guitar hero. they could make an actual keyboard that would allow me to learn real songs. as opposed to goof balls who stand in best buy and get so into to pressing colored buttons on a plastic guitar thinking that they look awesome.
SourGr8pes's Avatar - Comment posted on 11/29/2007 01:59
SourGr8pes
$199? Wouldn't MS and Sony bleed out their asses if they sold them for this low? And the Wii prints money; they could raise the price and it still wouldn't stay on the shelves.
Not a fan of the Wii, but for $129, you're damn right I'm gonna bite that opportunity!
Sharpless's Avatar - Comment posted on 11/29/2007 02:44
Sharpless
It's certainly possible, but it's a hell of a long way off. Sony won't be there for at least five years. Microsoft won't be there for at least 3-5 years. (And the Core/Arcade SKU can go to hell; I don't count it.) The Wii will probably hit $200 in two years.

And, uh, yeah, she did have a nice voice.
DrXym's Avatar - Comment posted on 11/29/2007 05:05
DrXym
Sony will have a PS3 lite next year. There is no doubt about that. I do not expect it will be less than $300 though.
atheistium's Avatar - Comment posted on 11/29/2007 06:13
atheistium
@A Humble Mr Perfect
you've made my day!!
loki d20's Avatar - Comment posted on 11/29/2007 07:26
loki d20
I'd rather see game prices lowered to the PS2 level rather than consoles lowered to $199. Consoles are a one-time purchase, and with both the 360 and PS3 you're getting more than 'just a console.' But, the big money sink is in the games, which are ridiculously priced at the moment if you ask me, especially XBox 360, which has very little in the way of code change and format change to make it earn the $20 higher price tag than PS2 games.
Holyetheline's Avatar - Comment posted on 11/29/2007 09:12
Holyetheline
That's probably not going to happen any time soon.
TheStripe's Avatar - Comment posted on 11/29/2007 10:03
TheStripe
The console price drops aren't a fantasy, they're an inevitability. Regardless, this guy is just old money in an industry he's only pretending to understand. "I haven't seen the product yet." That right there lays it all out. How you can just buy up the biggest rhythm game property in the history of gaming, and then not know anything about it's only competitor which is kind of poised to eat post-Harmonix Guitar Hero alive.

His ignorance is also telling in that he suggests the Wii needs to be $129 to be successful. What a dope. It's like he has no idea that Wii consoles are STILL difficult to get at $250 and bringing higher than MSRP premiums on eBay.

He should also stop taking credit for guitar hero and call of duty 4. Publishers are more often than not restrictors rather than enablers when it comes to producing games. They're the ones that want difficulty turned down for "casual" appeal or controversial elements removed. All the blather about the reception for CoD4 and not one mention of Insanity Ward.

Epic Fail.
nademagnet's Avatar - Comment posted on 11/29/2007 10:23
nademagnet
If the 360 and PS3 dropped to that price point I would buy a PS3 and second 360 for the living room. I would still keep my Premium in the bedroom.
Jim's Avatar - Comment posted on 11/29/2007 10:50
Jim
299 is fine. 199 is finer.
Namelessted's Avatar - Comment posted on 11/29/2007 11:49
Namelessted
Yeah, i think his talk about Rock Band and Guitar Hero is bullshit. Part of it is the fault of the interviewer as well. He states how GH is a franchise that can't be approached and that it is a different product from RB. They completely fail to mention that Activision only has GH because they bought Red Octane and the rights to make the game while Harmonix, the dev studio that created GH, is the studio that is making RB.

@CaffeinePowered, you are wrong. Both the PS1 and PS2 launched at a $299 price point and those systems have been the most successful consoles to date.

as for price drops, they will happen. It is going to be quite a while for the PS3 but I think Microsoft could have their Arcade SKU down to $200 by August, if not earlier. Microsoft knows that they lose money on hardware, but that is ok. They can take a loss and make up for it in LIVE subscriptions and Halo3 and 4 sales. Seriously though, even if the Arcade SKU drops to $200 and the Premium hits around $260ish, that will put a lot of pressure on Nintendo.
DaTgUy's Avatar - Comment posted on 11/29/2007 15:04
DaTgUy
might actually make the PS3 worth the purchase
ran24's Avatar - Comment posted on 11/29/2007 15:08
ran24
$349 for the good PS3 would be reasonable. $200 is stupid.
TheStripe's Avatar - Comment posted on 11/29/2007 16:32
TheStripe
@ Ted: There's no putting pressure on nintendo. The Wii isn't going to slow down until the market is saturated, regardless of price point. Nintendo may drop prices if they deem it necessary in response to a $200 Xbox 360, but M$ would undoubtedly still be losing money on that box, as well. The fact remains that nintendo is selling out its supply as fast as they can make it AND making money on every console out the door. A little pressure from a company that's already taking huge hits on hardware to stay ahead of the PS3 is ignorable at worst given that Nintendo already has a money press. If Wii's start gathering dust on store shelves, then the price will come down, regardless of the price points of the other consoles. If they're still selling like hotcakes at $250 when the prices for the 360 and the PS3 begin to fall drastically, Nintendo will most likely behave the way they have since the Wii launch; they're operating in a vaccum. It doesn't really matter what the rest of the industry is doing, because Nintendo is competing on an entirely different playing field.

The fact of the matter is that gamers in each generation have largely ignored prices since the early nineties, and even then the only thing detrimental to a console's success has been a price point over $600 (NeoGeo, 3DO) or a hamstrung library (turbographix 16). Gamers will buy new consoles. Price is now more important that everyone is joining the party, but the industry has succeeded for decades with only the support of the now-labeled-hardcore crowd. Success within this market has traditionally been enough success for these companies to continue making lucrative profits. To assert that this market (which still spends more than twice the amount of money that the "casual" market does on gaming) no longer matters by insisting on lower price points, this guy only comes off as more and more out of touch. This makes me feel bad for guitar hero IV. The insane difficulty will be gone, and the tracklist will be tiny, because they're going to have to cut game prices if consoles have to be <$200.

This guy is a loon. I almost feel bad patronizing him with this and the above commentary.

Almost.
carrierj1's Avatar - Comment posted on 11/29/2007 17:21
carrierj1
I'll buy a PS3 only when it reaches the $200 point. I think $300 is the sweet point for new consoles. MS and Sony dropped the gun by charging $400 plus.
carrierj1's Avatar - Comment posted on 11/29/2007 17:21
carrierj1
I'll buy a PS3 only when it reaches the $200 point. I think $300 is the sweet point for new consoles. MS and Sony dropped the gun by charging $400 plus.
nexium's Avatar - Comment posted on 11/29/2007 20:36
nexium
A $199 price point is seems pretty ridiculous for a company who's number one game right now costs half of that.
Aaron Mxy Yost's Avatar - Comment posted on 11/30/2007 00:18
Aaron Mxy Yost
The day PS3 and 360 reach $199 will be the day I own both of them. $250 is my limit on consoles, and even that's too much for me.
Burnt Meatloaf's Avatar - Comment posted on 11/30/2007 05:47
Burnt Meatloaf
I remember when thousands of Nintendo fans swore Revolution would retail for $170, yet when $250 was announced, they were still ecstatically happy.

$200, my butt.
PetiePal's Avatar - Comment posted on 12/01/2007 17:39
PetiePal
About time. Consoles shouldn't cost over 400 ever in my opinion. We're seeing a big shift of the consumers no longer driving technological progress and the companies having to do so. Basic economy says prices should drop in this kind of situation.

I was happy paying 399 for my 360, but I still haven't purchased a PS3 (which is now cheaper but totally gimped)
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