A recent price cut of $100 for SonyÃ¢â‚¬â„¢s PS3 has led to a significant increase in sales, perhaps more so that retailers are experiencing Nintendo Wii shortages. The PlayStation 3 more than doubled following a price reduction of $100 for the video game console.
Including the newly launched low-end model, Sony said it sold more than 100,000 consoles of all types in the week ending November 11. The company said it had been selling between 30,000 and 40,000 consoles per week before the October 18 price cut from $599 to $499 of the 80 GB model.
Sony applied a price reduction in hopes of luring gamers into acquiring a PS3. The strategy worked, as proven by the sales rise to 75,000 in the week of October 29. This was due partly to a more accessible high-end model and partly to the introduction of a 40-gigabyte model for $399 on November 2, the company said.
The Wii video game console is already out of stock at most retailers and Nintendo is having difficulties meeting the high demands. The company is unable to produce enough Wii consoles for the holidays.
Nintendo has managed to remain No. 1 for a lengthy period and total global shipments are expected to reach 22.3 million by the end of this fiscal year in March 2008. The PS3 was released in November 2006 and Sony had sold 5 million units worldwide by October of that year. Microsoft had sold 11.6 million Xbox 360 game consoles in two years.