According to Lazard Capital Markets analyst Colin Sebastian
, the PS3 is due for a price cut sometime between E3
and the end of the summer. More specifically, Sebastian expects a cut of $100 from the console's current $399 price tag, putting it at a much more consumer-friendly $299. Anything less than $100, Sebastian told Gamasutra
, "would likely be perceived negatively by the market."
Given that both the Wii and Xbox 360 are priced at or below the $299 mark (with the exception of the Xbox 360 Elite), we'd say Sebastian is right to claim that any cut less than $100 would be unacceptable. Taking the current economic conditions
into consideration, it's likely difficult for most people to justify the $399 price tag when there are comparable consoles to be had for less.
Sebastian joins a cavalcade of companies and analysts making similar predictions
lately, noting that it would be a win for everybody. Sony could push its upcoming first-party lineup into more gamers' hands, publishers would gain a larger audience and retailers would enjoy better margins. Sebastian says that "the next 12 months are critical to regain market share" for the Playstation, especially with demand for the Wii finally slowing down
and Microsoft reportedly prepping
its own motion control interface. And, of course, with Sony aiming to increase PS3 sales by 30 percent
this year, a price cut certainly wouldn't hurt.