The PS3 economy
The November issue of Fast Company explores the profound impact the PS3 might have on not only Sony, but its complicated network of partners and rivals in what they call the PS3 economy. Regardless of what Sony says, the company is hoping the PS3 can increase sales of digitally distributed content, HDTVs (which showcase the PS3's graphical chops), and Blu-ray discs to help reach mass adoption of the high-definition movie format spearheaded by Sony.The article breaks down the high-stakes economy by companies that either want the console to succeed, fail, or do both. Sony is obviously hoping for a hit which it desperately needs given its lack-luster status quo in the electronics industry. But others rooting for the system include Blu-ray supporters (sorta), Stanford University's grid computing project that uses PS3s, IBM, Cell processor technology, Ubisoft, Midway, and in-game advertising. Those heavily opposing the platform's success include the obvious Microsoft and Nintendo, for market share reasons, and HD-DVD supporters competing against Blu-ray.
Most interesting, however, is the inclusion of "sorta" supporters like Apple, Disney, Philips, Panasonic, and Samsung that share a vested interest in Blu-ray's success but directly compete with Sony in many other areas. Said companies could potentially gain more if the PS3 is a dud, says the business magazine.
Reader Comments (Page 1 of 2)
need mommy @ Oct 25th 2006 2:21PM
Ps3 is my babie's daddy!!
ViEt pRiDe @ Oct 25th 2006 2:23PM
Its true that the PS3 is going to be such a powerful force in the business world that it will drive a 'mini-economy' of its own, I wouldn't be surprised if some of the stock exchanges evetually create a 'High Definition' or 'Next Generation Gaming' or 'Supercomupting' index to track Sony and its satellite companies, the way they create 'green' or 'alternative energy' indexes to track progress in those sectors of the economy. But lets not forget that its Sony that is making the leap of fait and doing all the heavy lifting in terms of R&D and manufacturing, and the rewards and kudos should mainly go to Sony, much moreso than to the companies mentioned, which to be fair, jumped on the bandwagon and are along for the ride, much like those who only back a winning team, or only bet on a sure thing.
eric @ Oct 25th 2006 2:27PM
hidden agendas are commonplace amongst the console wars. sony will use it to usher in demand for blu-ray movies, and increased sales of 1080p capable hd-tv's. microsoft will attempt to sell you on their IP TV and don't think vista is gonna usher in a new world of charges for us 360 owners lookin to get the most outta our purty white boxes.
its refreshing for a company like nintendo to step up and say, we're in the business of selling good games, and a good experience.
Matt @ Oct 25th 2006 2:35PM
I think in 5 years global echange rates will be contrasted not with the US dollar, but the gem-encrusted gold-leaf PS3 Dolla.
superhookie @ Oct 25th 2006 2:37PM
Are you kidding Eric?
All three companies are in the business to make money. Plain and simple. That's why you're going to go buy a Gamecube with a different controller on Nov 19th for $300. Ah, that's refreshing.
shase @ Oct 25th 2006 2:41PM
Regardless of agendas the games has to be there. And thats what's making me and others to get a PS3.
crono141 @ Oct 25th 2006 2:44PM
"superhookie", blinded by fanboyism, totally misses the point.
Duh, everyone is out to make money, Erics point was that Nintendo is the only company in the coming console war that doesn't have a hidden agenda. They're there to make good games, not push a format, or an OS, or a content service.
Matt @ Oct 25th 2006 2:44PM
@ superhookie:
Aw look, you made Eric cry.
IslandLife @ Oct 25th 2006 2:51PM
I'm sorry Eric...
But don't you mean that, it's refreshing for a company like Nintendo to come along, charge more than the product is valued at, since it's nothing more than a slightly upgraded Gamecube with a remote, screw the previous console owners on an old game that should have been out already on said console *cough* Zelda, and then nickel and dime you for controllers and controller add-ons.
Wow, Eric I see what you mean. That is refreshing!!
They are ALL in it for the money buddy, so don't fool yourself.
crono141 @ Oct 25th 2006 2:56PM
Jeebus, it's amazing how stupid sony fanboys are. See my post #7 about why you all need reading comprehension classes.
Damn...
Toneman @ Oct 25th 2006 3:01PM
Of course they're all in it for the money. If they didn't make money they wouldn't exist anymore. They all nickel and dime you. Microsoft does it with stupid marketplace downloads, Nintendo and Sony do it with accesories.
The Intangible Fact @ Oct 25th 2006 3:06PM
"Nintendo is the only company in the coming console war that doesn't have a hidden agenda. They're there to make good games, not push a format, or an OS, or a content service"
No I think your wrong! Nintendo has a hidden agenda like the rest. Their hidden agenda is to make money off last-gen hardware with a new controller scheme which had the R&D cost of about $2000. (Yes it is last gen compared to PC's, PS3 and 360 hardware and processors! Dont argue!)
Agent MOO @ Oct 25th 2006 3:11PM
Micropayments for digital media are here to stay, and are replacing album sales. Apple has a good model in place with iTunes, and Microsoft and Sony are looking to get a piece of that. MS is in a good position to do so through the windows brand, Zune, and XBL but Sony is betting it all on the PS3. Despite all the controversy and uproar with the enthusiast crowd, I think they will enjoy some degree of success once the shortage is overwith and the early adopter fear of Blu-Ray and HD-DVD dies down.
The Intangible Fact straight outta me ass @ Oct 25th 2006 3:12PM
and the R&D for the remote is?. Tool!
crono141 @ Oct 25th 2006 3:16PM
"No I think your wrong! Nintendo has a hidden agenda like the rest. Their hidden agenda is to make money off last-gen hardware with a new controller scheme which had the R&D cost of about $2000. (Yes it is last gen compared to PC's, PS3 and 360 hardware and processors! Dont argue!)"
See my previous post about how all Sony fanboys are friggin idiots.
Do you even know what "hidden agenda" means?
hidden agenda
n.
An undisclosed plan, especially one with an ulterior motive.
How is this undisclosed? And how is it ulterior? They've been telling us its gamecube architecture forever. We've known forever that its gonna be weaker than the other 2.
Its the ONLY next gen hardware, jackhole. I've played all those other games under a different name (sometimes the same name). Wii will give us games never seen on earth before.
You have no IDEA what kind of research is involved in refining and shrinking technology. The Wii is about half to a quarter the size of the gamecube, is twice as fast, and using 1/4 less power.
You know, I don't even know why I bother. You're just a fucking moron who feels threatened (rightfully so) by a technologically inferior console with mass market appeal.
Whats the matter, doesn't make you feel "leet" enough.
Now go back to your hole!
Agent MOO @ Oct 25th 2006 3:18PM
#12 It's not a hidden agenda at all, they are very up front about the system not being a huge hardware upgrade. The goal is to make a system that does not require a huge budget to produce a game. Huge budgets for (Movies, Games, Albums) generally stifle creativity and cause developers to release the same stuff over and over.
When I play an overly complicated graphics heavy fighter game like DOA4, all the money going into the graphics doesn't make it any more fun. This weekend I was playing SF2 on a SNES and it was infinitely more fun than DOA, even though it was running on hardware that you'd find in a wristwatch. That's the kind of system I want to buy as a second console, not another beefy next gen device.
elnico @ Oct 25th 2006 3:18PM
"Their hidden agenda is to make money off last-gen hardware with a new controller scheme which had the R&D cost of about $2000."
do you have access to an internal document from nintendo that details their financial expenditures over the last 3 years?
IslandLife @ Oct 25th 2006 3:20PM
@crono141
The last two things you should be calling anyone is "fanboy" and "stupid". Especially when you're probably the biggest fanboy on this site, yet you desperately try to conceal this fact. Do us all a favour and keep your constant fanboy drivel to yourself.
Extinction @ Oct 25th 2006 3:25PM
"You know, I don't even know why I bother. You're just a fucking moron who feels threatened (rightfully so) by a technologically inferior console with mass market appeal"
You're a fucking moron who doesn't realize if Wii succeeds, it'll cripple gaming for a generation, and possibly the next.
Brian @ Oct 25th 2006 3:31PM
@ Extinction
Care to elaborate? I don't see how a console with the only innovating controller could cripple this generation and "possibly" the next. Maybe it'll say to everyone they don't need HDTVs to expirience the latest in gaming? OH NOES! WII FTL
The Intangible Fact @ Oct 25th 2006 3:31PM
"Now go back to your hole!" Lol
How is making gestures with a motion sensing controller hooked up to a system that can produce graphics similar to the DS next gen?
Brian @ Oct 25th 2006 3:36PM
@ 21. Uh...it's been described as slightly better than the original Xbox. Besides, who cares about graphics? Would you rather play a photorealistic boring game or a 2D really fun game?
Toneman @ Oct 25th 2006 3:37PM
"...produce graphics similar to the DS..."
WTF?
Buzzkill @ Oct 25th 2006 3:39PM
"How is making gestures with a motion sensing controller hooked up to a system that can produce graphics similar to the DS next gen?"
Then don't buy it. You're scared, and that's cute. First clue is the comparison to the DS, when we all know the DS is equivilant to an N64, not a Gamecube. Nice try though... keep up the good worries!
IslandLife @ Oct 25th 2006 3:39PM
@Brian
Why does it have to be a photorealistic boring game? Couldn't it just be a photorealistic fun game? I don't understand your logic here.
superhookie @ Oct 25th 2006 3:46PM
Wow, crono141 is a little angry.
I'm sure he has enough experience using his wrist muscles to be really good at using the Wii-mote.
Mullinator @ Oct 25th 2006 3:51PM
Got to love how Sony fans no longer even really promote their own system anymore. Most of the time they just bash the other two and proclaim them and bad purchases. Come on, if you are going to be a fanboy at least be a positive one and promote what you love about a system instead of what you hate in others.
Toneman @ Oct 25th 2006 3:53PM
Not too piss anyone off or anything (though I'm sure it will) but I noticed that PS3 fans make fun of the Wiis motion controls, but then say that they prefer the PS3s motion controls over rumble. And Nintendo fans say that graphics don't matter, yet they are constantly talking about how Resident Evil 4 was the best looking game of last gen. Of course this doesn't apply to everyone, but it's a trend I've noticed.
The Intangible Fact @ Oct 25th 2006 3:54PM
I know the Wii controller is a great advancement for gaming but it is all going to waste. Lets be honest now, the only fun games that Nintendo releases anymore is Mario & Zelda titles. I've grown up a little since then. Now if the PS3 or 360 had a controller like the Wii that you could use to play FF, GOW, ect it would be great.
get over it @ Oct 25th 2006 3:59PM
it's all about the games!!!
or...
it's all about the graphics!!!
or...
it's all about the controller!!!
or...
it's all about the price!!!
how about the color, the texture, the new console smell? how about all the fanboys shut up and realize that what you're looking for in an entertainment experience may not be what someone else is looking for? how about we all just lay off on calling someone else an idiot, stupid or whatever other insult you enjoy throwing around because they won't conform to your ideas of what will be the "better" gaming hardware. how about instead of stirring up arguments between people who have different ideas of what they play their games on we actually have discussions on the things we have in common. i understand that gamers are competitive by nature, but who has the "better" console isn't a competition it's a personal opinion that no amount of argument will ever change.
unimental @ Oct 25th 2006 4:03PM
Yeah, seriously guys, let's hug this one out.
MetaHuman @ Oct 25th 2006 4:06PM
So is the idea that Sony wants to use the ever-growing videogame market to launch dozens of other NON-GAMING RELATED products still fanboy drivel? (Though believe me, they will find some vague way to 'connect' it to gaming to net their actual gamer audience)
Nintendo's 'secret agenda' to make money is no secret. Everytime they perform well they make a press release. Even those are clearer than the progress reports Sony might release [ex. Sales vs. Shipped].
Nintendo lives and dies by their games and game-playing hardware. Though it's likely they won't die. Is there anything that will dispute that?
@ 25
Because there are developers who really don't have time or resources for both. You've got the big names like Kojima or the people at Square known for their grand, cinematic games and the people at Factor 5 or Epic that are tech experts but besides that most companies just want to make excellent games regardless.
Miniboss @ Oct 25th 2006 4:06PM
@ 29.
"I know the Wii controller is a great advancement for gaming but it is all going to waste. Lets be honest now, the only fun games that Nintendo releases anymore is Mario & Zelda titles. I've grown up a little since then. Now if the PS3 or 360 had a controller like the Wii that you could use to play FF, GOW, ect it would be great."
That's all fine and well for you. Don't buy it. That'll leave more on the shelves for the people who want it.
However, your blanket statement that Nintendo's only fun games are Mario and Zelda is purely opinion, and certainly isn't fact.
And your supposition that if the PS3 and 360 had a controller like the Wii is moot because neither would have even thought of going that route if it weren't for Nintendo. It's not that Nintendo invented something new, but they did take a risk by basing their entire next generation plans based around the idea of creating new ways of input rather than new ways of making metal shinier.
Not that shinier metal is bad, mind you...
Retrojunkie @ Oct 25th 2006 4:13PM
Metahumen, and miniboss
THE SMARTEST posts so far in this whole time Article
And The comments i've seen so far from the sony fanbots
are hilarious, They'll do anything to defend their systems, Even point out the obvious and say "OMG ITS A SECRET PWAN LOLZ" Out of ALL OF THE FANBOYS ON ANY SITE, The sony was just HAVE to be the most Delusional crowd out of all of them...
besides n-gage fanboys..
don't get me started on the n-gage fanboys
daxiang12 @ Oct 25th 2006 4:17PM
#22, "Would you rather play a photorealistic boring game or a 2D really fun game?"
I think I would prefer a photorealistic FUN game than a 2D fun game. Please don't tell me there is none.
Retrojunkie @ Oct 25th 2006 4:25PM
#35
Heres the thing, Next Gen graphics, Are if ANYTHING, noticeable in a few areas, Lighting,Smoother textures, And maybe Better effects
Which is hilarious since Pc's have been doing "NEXT GEN GRAPHICS" for the past 2 years (maybe even 3-4 years if you count doom's High-res pack)
Wii Certainly doesn't offer what the 360 or the ps3 offers in the graphic department
but that doesn't mean they're "AWFUL GRAPHICS" or "LAST GEN", hell RE4 (excuse the cliche) Looks better then Most CURRENT gen games
and as far as im concerned, most Graphic engines of this gen, looks like the same Gritty Dark shit, or the "THE TEXTURE LOOKS WAAAAAY TO SMOOTH FOR ITS OWN GOOD"
People also have to take "STYLE" in mind
Whats the point of having next gen graphics, if most of the engines looks like Doom 3's, Or Fear's? (Or have the same feel)
Believe you me, Sometimes Graphics are nothing without original style
Give me Stars or Give me Death! @ Oct 25th 2006 4:28PM
I want everybody to take a time out and ask yourselves one simple question: Did we laugh enough at the guy who said that 'Nintendo's secret agenda is to make money'?
And superhookie is either a 13 year old girl or too immature to admit that we've ALL spent sufficient time masturbating in order to avoid fatigue caused by playing with our Wiis. Does anyone even want to try disputing this?
Zell @ Oct 25th 2006 4:30PM
I just can't over the fact the image looks like a casket.
crono141 @ Oct 25th 2006 4:40PM
"if Wii succeeds, it'll cripple gaming for a generation, and possibly the next"
Now thats possibly the dumbest thing I've ever heard... today.
PC, consoles, and electronics in general have outgrown the mass market. PS3 costs 600 dollars now and takes up as much space in the entertainment center as a large surround sound system because company's are convinced the only way to get ahead is to but out the biggest, fastest, hottest, most advanced piece of equipment ever.
This is litterally the FIRST generation where the consoles are the fastest and most powerful things on the market as far as consumer electronics goes (even PCs). NES was a slow computer for its time, but it did what it was supposed to do well. Same for SNES, Genesis, and Saturn. PCs (high end tech) have always been able to outperform consoles.
Now we've got consoles outperforming PC's (at least on paper). And guess what, they cost as much or more than a home PC does.
Nintendo is the only game company out there that realizes that games cost too much, game systems cost to much, and that being a gamer is a dedicated financial hobby, not something anybody could pick up and do like back in the 80s.
360 and PS3 are too much too soon. And because of that we have outrageous unreasonable pricing (for both hardware and software). Meanwhile, the underdog Nintendo has seen this trend and realizes its BAD news for the industry. After all, who will play when game consoles start to cost 1000 dollars next generation for 100 core processors that can give us Advent Children graphics (or better) in real time? Only the rich, only the hardcore.
If Wii succeeds, it will be the second time Nintendo has saved the gaming industry from itself. And at the same time opening up a whole new era of gaming possibilities.
Give me Stars or Give me Death! @ Oct 25th 2006 4:51PM
Check it out! I just found this transcript that I made up of the minutes from the meeting where Nintendo officially decided to go with the Wii-mote.
Iwata: ...so in conclusion this revolutionary way of playing video games will lead Nintendo into the future.
Woman Board Member: But aren't we missing something? Couldn't playing consistently strain someone's wrist?
Fils-Aime: (Sticks out his right hand and makes the "jerking-off" motion)
All: (Laugh knowingly)
Miyamoto: So are we agreed?
crono141 @ Oct 25th 2006 4:57PM
LOL @#40 Stars!
Gonzo @ Oct 25th 2006 5:26PM
IBM made the processor?
There's another reason NOT to buy this thing.
Here's the best reason:
http://www.PetitionOnline.com/liksang8/petition.html
crono141 @ Oct 25th 2006 5:31PM
IBM made everybody's processor.
Smooth...
Evan @ Oct 25th 2006 6:01PM
How about that article, eh? (The comments here are the usual fanboy arguments, and not related to the article.)
"Most interesting, however, is the inclusion of "sorta" supporters like Apple, Disney, Philips, Panasonic, and Samsung". Apple has a lot to gain by a PS3 failure!
The PS3 could become a living-room media-hub (Sony certainly tried to turn the PS2 into a media-hub with the failed Japan-only PSX DVD-recorder). Apple also wants to provide that living-room media hub (look at the "iTV" they demonstrated last month). A failed PS3 would mean one less competitor to Apple's "iTV".
:p @ Oct 25th 2006 6:13PM
wow lol @ Gonzo
@ pride (#2)
"Its true that the PS3 is going to be such a powerful force in the business world that it will drive a 'mini-economy' of its own, I wouldn't be surprised if some of the stock exchanges evetually create a 'High Definition' or 'Next Generation Gaming' or 'Supercomupting' index to track Sony and its satellite companies"
While I do agree that this gen we could see enough growth to merit this type of reaction. I don't think that Sony will be the driving force behind this. The Stock Market runs on making money and at the moment it looks like Nintendo is the only one that will be pulling a profit. In a few years if/when Sony and MS pull out of the 'red' and start making some 'green' then we could see a reaction from people wanting to invest in the Gaming market and that would really be a 'rebirth' in gaming.
nea @ Oct 25th 2006 6:43PM
"360 and PS3 are too much too soon."
here in the uk, a core 360 costs £189.99. the wii is £179.99 (we'll see how much the core costs at christmas)
if u have no interest in xbox live the core is great. why is the wii only £10 cheaper when its a shrunk down xbox with crazy controls? if anything, the wii is too much too soon. it should be no more than £150. dont get me started on that blu-ray player
http://www.play.com/Games/Xbox360/4-/719721/Xbox_360_Core_Console/Product.html
http://www.play.com/Games/Wii/RNR/3-/1032617/Nintendo_Wii_Console_+_Wii_Sports/Product.html
Rob @ Oct 25th 2006 7:11PM
Better graphics are NOT the future of gaming.
I REPEAT: Better graphics are NOT the future of gaming.
crono141 @ Oct 25th 2006 7:13PM
But the core is garbage. No built in storage (Wii has 512 mb for saves and downloads) so you have to buy a memory card, which is an extra 30 to 50 bucks depending on where you shop. Also you need a game (Wii has one included, at least in the states) and thats 60 dollars. So we're already at the 360 20 gig version price.
"Too much too soon" referred to the level of tech vs its affordability timeframe. 250 is the MOST a game console should ever cost at launch. PS2 already broke this, but it was brief. Now we have 400, 500, and 600 dollar consoles.
The price of software is also skyrocketing due to the amount of tech they are forced to take advantage of (360 games must run in 720p, but have live functionality, etc). So we've got 60 dollar games standard. I personally believe games should never cost more than 50, and 40 should be the comfy limit.
Too much too soon. Gaming has become too expensive for the average man.
Zachary Hinchliffe @ Oct 25th 2006 7:25PM
crono141 makes me embarassed to be a nintendo fan
nea @ Oct 25th 2006 7:32PM
yeah u have to buy a memory card, but almost every console u had to. and wii sports: we'll see how long the enjoyment lasts in that. it'll be fun for the first few days. its either to expensive or the core is too cheap.
games have been £39.99 here since i can remmeber, and back in the day snes and mega drive games sometimes went for like 59.99 upwards. go to www.xe.net and enter these and the previous numbers. you think ubisoft and such will charge 39.99 for splinter cells on the ps3 and 360, but only charge 29.99 for splinter on the wii?
i want a wii, but i think its over priced, especially compared to the power house of the core. £150.00 is probaly more than you will have to pay at launch (i dont know what it costs in dollars