Why do I get the feeling that Sony executives are worried that the PS3 won't be enough to polish the company's halo and are already looking for excuses?
Based on comments made by Sony's CEO Sir Howard Stringer, it seems that the company is already worried that price might put customers off:
"Wii is a wonderful device, but has a different target audience. If we fail, it is because we positioned PS3 as the Mercedes of the video game field. PS3 is after a different audience and it can be whatever it wants — a home server, game device, even a computer."
2006 saw Sony go from one fiasco to another but the company manages to reassure investors that all would be fine once the PS3 was out. Price was always going to be a tender spot when it came to the PS3, and Microsoft and Nintendo could, between them, put a serious squeeze on the company.
Sony needs to cut the PS3's production costs and pass these savings on to the customer.