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Pachter 'sorry' for PSPgo 'rip-off' quote photo

Earlier today we posted a story about industry analyst Michael Pachter, who criticized Sony's PSPgo and dubbed it a "rip-off." Now he has come out of the woodwork once again to apologize for this statement. It's ironic that one of the few things I agree with him about is something he's now sorry for.

"I sincerely regret the choice of words in my response to Geoff Keighley's question in last week's Bonus Round, where I said that Sony is 'ripping off' the consumer by pricing the PSPgo at $249.99," laments Pachter. "I made a poor choice of words, and I do NOT think that Sony is doing anything nefarious in choosing their pricing strategy. The company has the right to price its products at a point that they think is competitive, and has no obligation to sell products at lower than a competitive price.

"They have been subsidizing purchases of the PS3 since launch, to the tune of 22 million sold at a loss of $100 or more apiece (on average), so if they are able to make a profit on the PSPgo, more power to them. They are pricing at a point that positions the PSPgo competitively with the iPod Touch, and the PSPgo arguably has much more value than the Apple product. Notwithstanding my view that the price point is too high to generate more than a few million units sold, I really think my comment was unfair ..."

Wow. I wonder what kind of pressure the man was under to do that. Either way, Pachter has taken back what he said about Sony's handheld and hopefully Sony will accept the apology so they can all go and have hot make-up sex. Regardless, the PSPgo is still looking a bit too rich for my blood. What about you lot?








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46 comments | showing # 1 to 46
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Static Jak's Avatar - Comment posted on 06/11/2009 18:26
Static Jak
Well that's disappointing. He was right the first time round. Shouldn't have to apologise for saying what most of us are thinking.
darknil's Avatar - Comment posted on 06/11/2009 18:29
darknil
I think it's pricy, good thing is that is cheaper than the 16gb ipod touch.
Insanity Warden's Avatar - Comment posted on 06/11/2009 18:31
Insanity Warden
Will buy. As I've said before. Cheaper than an iPod touch, sexier, and has good games.
Phoenix Gamma's Avatar - Comment posted on 06/11/2009 18:33
Phoenix Gamma
I think it's not gonna do it's job of alleviating piracy; people with modded PSPs are gonna keep their old models, and that's most PSP owners at this point. So for them, yea, it's way too much.

For people without PSPs? Maybe it's a good price. I could see them pulling in new customers ("it's just like those Text Messaging phones you kids like so much!") but I still think $250 is gonna be a big hurdle for newcomers.
Vanilla Gorilla's Avatar - Comment posted on 06/11/2009 18:37
Vanilla Gorilla
I think what a lot of people might not realize is that the Go uses a solid state hard drive. I'm sure they could have used a cheaper standard hard disk for a cheaper price, but it is Sony's style to use newer, higher standards tech in their hardware. I imagine it's to make it future resistant and extend the platform lifetime.

Does everyone only form opinions off of sticker shock anymore?
L0cky's Avatar - Comment posted on 06/11/2009 18:39
L0cky
i still think its a rip off , dont need patcher for that to see the insane price tag for myself
octupusgarden's Avatar - Comment posted on 06/11/2009 18:43
octupusgarden
looks like he pressed the wrong button with sony. its definately a rip-off. $80 more for a system that has less capabilities than the previous iteration?
Guncannon's Avatar - Comment posted on 06/11/2009 18:54
Guncannon
Does everyone only form opinions off of sticker shock anymore?

The average consumer does. That includes the parents looking for a birthday/Christmas present. The PSPGo will be a tough sell against a DSi for them. Also, the fact that the games are download only might scare off many new buyers.

I agree with Pachter. This is Sony's attempt to cut into the iPhone/iPod Touch market, given the latter "systems'" gaming success. They risk going too far in the middle between gaming console and multimedia device, trying to satisfy everyone but ultimately being a disappointment to everyone way.
puppy kisses's Avatar - Comment posted on 06/11/2009 18:58
puppy kisses
$250 IS too much. Pachter was right with his original statement. The PSP-3000 offers all the functunality of the PSPGo, with a larger screen and the ability to play UMDs and it's $170. I don't see why anyone would buy a PSPGo except to have the newest gadget on the block, and then they are part of the problem.
linuxguy's Avatar - Comment posted on 06/11/2009 19:00
linuxguy
looks like somebody got his knee caps busted
Black Nexus's Avatar - Comment posted on 06/11/2009 19:03
Black Nexus
Wow they kicked his ass fast.I'm still debating wether I should get the psp go in my head.
FunkzillaBOT's Avatar - Comment posted on 06/11/2009 19:04
FunkzillaBOT
Don't apologize! Sony is ripping you off, and they have been for years. But I tolerated because I like games. However, the PSP-Go just takes the cake, this is insulting by half, even for Sony. I'd be all over that thing, if it had a 2nd analog stick.... but it doesn't. Or if it was priced at $159.00.... but it isn't.
covah's Avatar - Comment posted on 06/11/2009 19:13
covah
I don't give a damn about that quote, I want him to apologize the whole trend of every journalist saying "THE WII HD IS COMING" Cus he started that entire rumor. All he did was kept saying it, and saying it, and saying it till the point where everyone heard it so much that they just assumed it must be true.
ikiryou's Avatar - Comment posted on 06/11/2009 19:16
ikiryou
$250 is too much for this arse-oogly thing. I'm already existing on ramen enough as it is...
hpv's Avatar - Comment posted on 06/11/2009 19:21
hpv
I'm in for a PSPgo if I can get a straight gangsta red one with Kratos's hot mug on the back to replace my GOW PSP-2000. They can keep it at the $250 price point as long as I can get at least a $100 trade-in credit for my current PSP. Oh, and custom firmware would be nice because all of my SNES controllers are broken at this point.
manasteel88's Avatar - Comment posted on 06/11/2009 19:35
manasteel88
He doesn't mean it. He was pretty adamant in the interview and for the most part he's right. I'm sure Sony called up Webbush or whatever his company is called and asked them why their analyst said such things. Thus we get this.
AlienLeaf's Avatar - Comment posted on 06/11/2009 19:36
AlienLeaf
Michael Pachter, you tower of jell-O you! Why should I be expected to pay an extra $100.00 because Sony has been subsidising purchases of the PS3 by overpricing their other products? I was under the impression all the console makers were expecting to lose $$$ on their systems and going to make up for it through mega game sales. Or have I missunderstood something?
The Pat Man's Avatar - Comment posted on 06/11/2009 19:43
The Pat Man
Personally, I kind of think everyone saying that the price is too high is only thinking about themselves instead of putting themselves in Sony's shoes. What Patcher said is what I said when I was playing Devil's advocate in the comments with his quotes earlier today. They've lost money due to PSP piracy as well as lowering the PS3 price. They're just keeping the price up to try to regain some profit. That's what companies try to do after all, try to make money instead of lose it. Perhaps the price wouldn't be so high if Sony didn't lose so much with PSP piracy going on. If you really want to bitch, I say bitch at the pirates. Ya, the price might suck and be a little high. But if you start supporting Sony, then maybe, JUST MAYBE, they might lower down the price.
CBunn's Avatar - Comment posted on 06/11/2009 19:53
CBunn
@ Vanilla Gorilla
a 16 GB memory stick pro is around 50 bucks on ebay. A 32 gb SSD with sata II connections, casing and all that stuff you don't need when you are inserting the memory chips directly on the main board of your hardware, is around 87. AND they don't need any part of the UMD reader. the only thing that could be a bit more expensive, is the screen, as it's smaller, still keeping the original resolution. There's no excuse for the price hike.
mOnion's Avatar - Comment posted on 06/11/2009 19:53
mOnion
@ the pat man

duh? humans are selfish creatures, we all think about how it benefits us, and it's what drives business. a business' main goal is to make money.

for them to make money, they have to make the consumers happy

anyway you could make the same argument in reverse, saying that people at sony who say the console is too cheap should put themselves in consumers shoes who are losing jobs due to the economic crisis
mrplow8's Avatar - Comment posted on 06/11/2009 20:15
mrplow8
The PSP Go is a rip-off. It's the same price as a Wii and more than a 360 Arcade. That's ridiculous. Pachter should grow some balls and stick to what he said.
DinnertimeNinja's Avatar - Comment posted on 06/11/2009 20:30
DinnertimeNinja
I'm hoping they'll drop the price super quick, Apple style and be at $200 only a couple of months after launch.

That way, the techno-lusters can get the system early on, sony can make some bucks, and the more thrifty consumers can feel good about paying $200 (which should still be significant profit for Sony) since they saved $50 by waiting.

DO IT, SONY! I won't pay $250 but I want this enough that $200 sounds somewhat reasonable.
Brian Szabelski's Avatar - Comment posted on 06/11/2009 20:52
Brian Szabelski
Man's aloud to have an opinion. Something tells me his bosses had a lot to do with this.
Darren Nakamura's Avatar - Comment posted on 06/11/2009 20:53
Darren Nakamura
Hot make up sex that you will graphically write about in the forums? Yes please.
BluDesign's Avatar - Comment posted on 06/11/2009 20:58
BluDesign
Yeah, until this breaks $150 I ain't touching it. I know the original isn't even there yet, but seriously, I can get an iPod touch and get far more use out of it with more than just games to make the price easier to swallow. In any case, it's just not my scene to pay the exact same amount for a 4 year old console that I paid 4 years ago.

Call me crazy...
Sukes's Avatar - Comment posted on 06/11/2009 21:09
Sukes
Kinda hard to take something back when it makes sense...I bet Sony offered him one of the free demo ones they are using now. Heck, Sony could tell me to Chicken Dance on World Wide TV and I would for an early release of the PSP GO...I can't wait till PSPGo is just as customizable as the current PSP. For all legal purposes intended of course.
Danl Haas's Avatar - Comment posted on 06/11/2009 21:17
Danl Haas
Yeah, his words may have been a bit strong before. He's still right, though. I, for one, actually really like Pachter, despite all the hate he seems to get from gamers.
AgentMOO's Avatar - Comment posted on 06/11/2009 22:44
AgentMOO
lol, honesty is the best policy except in business or politics. Too bad Pachter got the short end for telling it how it is.
themizarkshow's Avatar - Comment posted on 06/11/2009 22:46
themizarkshow
Honestly, he was right both times... weird, but true. They're ripping us off, but it's also fairly competitively priced considering the ipod touch with 16gb runs almost $300. With all the changes they're making to the PSN for the Go's download only service, I think the price will end up being worth it.
Mabans's Avatar - Comment posted on 06/11/2009 22:48
Mabans
So much for journalistic integrity..
AgentMOO's Avatar - Comment posted on 06/11/2009 22:50
AgentMOO
In all honesty though, he should know better than to use phrases like "rip off" in his role as an analyst. It's one thing for an internet commenter, but he has an influential role and is considered an industry barometer.
Infinitys End's Avatar - Comment posted on 06/11/2009 23:35
Infinitys End
OH MY GOD... Pachter must've gotten threatened by someone at Sony. They got DEEP pockets... Pachter doesn't.
ajaxender's Avatar - Comment posted on 06/12/2009 00:04
ajaxender
Wow, someone got a gun put to their head.

And why the hell is he (or anyone) comparing a PSP with an iPod Touch? I've had a PSP since they were released; used it for music as much as games. So recently I bought a Touch. But why? Why would I do that? According to Pachter (now), a PSP has more value!

NO. A PSP is for GAMES. An iPod is for MUSIC. PSPs are fine for music if you have, say, 100 songs or less. I prefer around 2000. Meanwhile, the iPhone/Touch Appstore is getting a lot of love lately. You know what kinds of games dont work on a touch screen? A LOT OF THEM. People are doing a great job with making games that are fun to play on iPhones and Touches, and thats fine by me. I'm still gonna boot up my PSP if I want to play Monster Hunter, God of War, a racing game (the ipod ones might be good, the psp ones will always be better), platfomers, etc etc.

People who want a music player (or a phone maybe), will buy an iPod. People who want a gaming device, will buy a PSP. Just because both are capable of playing games (a generality), music (ignore how much worse one of them is at it *cough*PSP*cough), and have similar other functions, doesnt mean they're in direct competition.
Genebeef's Avatar - Comment posted on 06/12/2009 00:15
Genebeef
please pull off a Gerstmann and do the right thing: speak your mind. Sony IS ripping off the consumer and they do it quite often too many a time getting a free pass because of the fanboys touting "value".

although Gerstmann didn't have a wife and kids to support....
Matt Madeiro's Avatar - Comment posted on 06/12/2009 00:44
Matt Madeiro
That's...really disappointing. I'd be curious to see what kind of pressure was put on him just to force that public reversal of opinion.

Well, at least we all know his original -- and honest -- opinion about the Go. I still agree with that one.
Tubatic's Avatar - Comment posted on 06/12/2009 00:55
Tubatic
Lets not forget that this guys isn't a journalist: he's an analyst and speculator. I think his word carries a lot of weight and, likely, he has some ethical obligation (personal or otherwise) to keep his commentary factual and non judgemental. Or if not that, market focused rather than consumer focused.

I honestly don't understand how he gets this job and what is by-the-book obligations are. But, I can respect that he'd want to recant his statement of product worth and install a message more suited to the suits.

He's right though.
atastysammich's Avatar - Comment posted on 06/12/2009 02:35
atastysammich
Sounds suspiciously like he'd been strong-armed into it.
JustLikeBuck's Avatar - Comment posted on 06/12/2009 03:25
JustLikeBuck
Sure is a lack of balls in the game (s)industry.
ration's Avatar - Comment posted on 06/12/2009 04:17
ration
"They have been subsidizing purchases of the PS3 since launch, to the tune of 22 million sold at a loss of $100 or more apiece (on average), so if they are able to make a profit on the PSPgo, more power to them."

I don't give a shit that they're loosing money on the ps3

I want a Psp Go at a reasonable price

Granted, Apple Is blatantly ripping people off for no good reason for a

16gb ipod touch. But if Sony really wants to compete, they need to get less

profit per unit sold
stomm's Avatar - Comment posted on 06/12/2009 06:24
stomm
So if someone could clear this up for me - the new PSPgo has a solid state drive. But nothing really new other than that for nearly double the price?

I sold my psp slim a few months ago because there were no good games out for it, it literally gathered dust and in the end I got rid. There's only so many times you can play GoW or GTA and not get bored.

Can anyone tell me why there's been such a change in opinion about the PSPgo, to me it feels like the same thing just re-hashed.

For me they fixed the control problems when they went from the phat to the slim. What has this got that's really worth the cash?

I just get the feeling that people are being suckered in, like putting a new bodyshell on an old car and fitting leather seats, but it still only gets 1 mile per gallon on fuel.
tei's Avatar - Comment posted on 06/12/2009 06:30
tei
I buy every new model of PSP and DS, and $250 is okay for me. The only thing I don't like about Go is that it comes in Japan a month after US and Europe.
Rational Animal's Avatar - Comment posted on 06/12/2009 08:44
Rational Animal
He's a FINRA-licensed analyst and his comments could easily be interpreted as inflammatory. He could have been potentially censured or even stripped of his licenses if Sony pushed hard enough, as least I imagine.
Fantus's Avatar - Comment posted on 06/12/2009 09:10
Fantus
I think the Go will be a good value, even if it's more than we think we should be spending. As long as they get the VAST majority of UMD titles converted to downloadable titles, i'll be happy. And i'll be REALLY happy if they let me convert my own UMD titles to digital titles.

And if not? I'll hack the bejezzus out of that lil fucker and download EVERY title. That'll show'm.
BattyAdroit's Avatar - Comment posted on 06/12/2009 09:25
BattyAdroit
Maybe he was under pressure to not be a douche by his own conscious. Just because you can say something, doesn't make it fair or correct.
Malovane's Avatar - Comment posted on 06/12/2009 13:33
Malovane
This is silly. There's no reason to apologize for calling it like it is. The PsPGo is extremely overpriced. Sony certainly knows that their ripping off their consumer. I can understand wanting to make a profit, but the margin by which they're attempting to profit is really extreme in this case. Maybe if they had actually made a profitable console they wouldn't have to try to rip people off with their portables.
Steel Brotha's Avatar - Comment posted on 06/30/2009 09:20
Steel Brotha
to all people saying the PSPgo is a ripoff. Seriously it's cheaper than an iPhone without contract and has the same capabilities. Games: PSpGo>iPhone. Music can be held on both, same with video, you can upgrade the memory of the PSPGo, you can use Skype at a cheaper rate then the iPhone on a PSPGo,the PSPGo will support 3rd Party apps unlike the iPhone. the only thing that the iPhone has is touchscreen and a camera. The iPhone came out at $400-$500 so don't be calling the PSPGo at $249 a ripoff people.
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