Despite a disappointing year for the PlayStation 3 in 2007, its sales managed to keep climbing to the point where it is finally catching up with the Xbox 360. According to Bloomberg, it has outsold the Xbox 360 between January and May this year, with the PS3 and Xbox 360 selling 1.2 million and 1.12 million units respectively over the 5 months. According to the NPD Group, Sony's best month was May, where it sold 208,700 PS3's compared to 186,600 Xbox 360s. With new games and features exclusive to the PS3, including "Metal Gear Sold 4" and Blu-ray movie disc playback, this may be enough to keep the PS3 sales ahead of the Xbox 360 for another while.
Microsoft has recently reacted by tripling the hard disk capacity of its console to 60GB from early August in the US and Canada without a price change. To help clear out stocks of the current 20GB model, it has dropped this 20GB model to just $299 until its stock runs out. Sony has so far decided to keep its $399.99 price tag unchanged. According to the Signal Hill analyst Greenwald, Microsoft may also unveil a new game controller to allow more interactive game play to try taking on a similar move to Nintendo’s balance board.
As we mentioned before, Sony actually makes a loss for each PS3 console sold, but it makes many times that loss back in the revenue it generates from games, online purchases and the royalties it collects from 3rd party game developers. So the more consoles it sells the more people who will buy games to play on it. Even if a customer decides to only buy the PS3 as a budget Blu-ray disc player to strictly play movies on, for Sony who backs the Blu-ray format, it means one more person who has made the shift from DVD to Blu-ray.
A few likely reasons for PS3's sluggish start include its high initial price of $599, the quality of the games available at the time and severe shortages of the console during the 2006 holiday season. Without the price drop to $399 in November, chances are that it would not have done so well this year.
"Even if a customer decides to only buy the PS3 as a budget Blu-ray disc player to strictly play movies on"
LOL....a 'budget' BluRay player is my NMT. Play HD-DVD's aswell with full HD audio support via (L)PCM, the same way the PS3 does it, and with proper DTS pass through support that the PS3 lacks. All for just $179 
They're always posting these numbers on here.. but form what I remember the ps3 only pulled ahead the last few months.. so the only reason the ps3 is ahead is because they average the months? If they're had been an article in april it'd of said the 360 was still winning lol.
Not that I think it matters.. competition is good.
"As we mentioned before, Sony actually makes a loss for PS3 sold, but it makes many times that loss back in the revenue it generates from games, online purchases and the royalties it collects from 3rd party game developers. "
Maybe you should read that article some more. It says, " Despite the wide range of PS3 software and 28.3% sales increase in its 2008 financial year, Sony reported a $1.2 billion operating loss". If it wasn't for Sony subsidizing the PS3, HD DVD might of been the winner in the high def disc war. They "bought" their way into the market and payed dearly for it. I hope they like where it has gotten them.
How much of a loss is each XBox sold at? It can't really be that cheap a machine, or it would be powered by hamsters. For comparison's sake we should know.
I'd expect the PS3 sales to take more jumps in sales with the heavyweight titles it has coming out in the next 12 or so months. Final Fantasy XIII is going to cause massive sales, GT5, Killzone 3, God of War 3, Resident Evil 5, Resistance 2 and more.
The last I remember back in 2005 it was Microsoft losing about $125 per XBox 360. If that's still true, (which it may not be) then Microsoft lost a little over $125 million between Jan. and May.
When a major console title is released as big as 'Splinter Cell', it is no wonder the PS3 out sold every one else in that month. Grand Turismo mini 'teaser' release also helped the PS3. I predict if Sony can not get big titles out faster than what they have been releasing them, they could have a rough five + more years until their next major console release.
@ BluBalls
"LOL....a 'budget' BluRay player is my NMT. Play HD-DVD's aswell with full HD audio support via (L)PCM, the same way the PS3 does it, and with proper DTS pass through support that the PS3 lacks. All for just $179"
This doesn't make sense. I googled it and found manufacturer's website. Price is $240. Does it include a HD-DVD or Blu-Ray ROM? I wasn't able to see it in any of pics or specs. Are we comparing apples to oranges? Let's assume it has a great codecs and has HDMI version 1.3 (which I doubt), add the HD disc reader to the cost and you might as well buy a PS3. The "DTS pass through support" just got added on the latest PS3 update. Maybe I don't get it, please explain.
There are still more game titles on the Xbox 360 than the PS3. As for the Blu-ray drive, how many users know or care that Blu-ray movies can be played on their consoles ? Not many I would think.
Who cares ? Most serious 'gamers' are going to buy every console they can manage to get their hands on. A lot of people have already got the 360, so it's only natural that they would also buy a PS3 (when the decent games start to appear for it). It's the games sales that make the money, and the PS3 is in NO danger of catching up on that front.
Personally, I'm looking into the long term of this current generation of systems. Currently I own a PS2 and a Wii (Wii = Zzzzz) and I'm making a serious effort in researching the futures of both the Xbox 360 and the PS3, as I am only buying ONE of the two systems. In my opinion, Xbox 360 is #1 in the US for the "hardcore" gamer. However, given the track records of both Microsoft and Sony, the Blu-Ray, the "pc warehouse" construction of the Xbox 360, the fact that most all Xbox games can be bought for the PC, and that the potential of the PS3 has yet to be tapped. I'm very confident that the PS3 will come out on top in the long run. As far as prices, yeah...on the surface the Xbox 360 is less expensive, but take this into consideration. #1 Want Wi-Fi? I personally do. If you get a 360 Elite, take 450.00 + 100.00 for the Wi-Fi Adaptor. Then take the montly fee's Microsoft is charging for their online support and if you want a massive HD expect an 75% mark up on what it should cost...Hmmm, doesn't look like the Xbox 360 is less expensive after all. What it really comes down to is games, and what kind you like..If you love FPS and other "western" type games. The Xbox 360 is for you. If you love Japanese games and are willing to wait for the PS3 to reach it's true potential, get a PS3.
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