The news is out: the PS3 game console will launch simultaneously around the world in November 2006. But despite the great global launch plan for the PS3 game console, there are doubts about its impact on the market. Additionally, game analysts doubt that this global release will help Sony regain market lost due to Microsoft’s previous Xbox 360 launch. There’s also a lot of speculation as to why the launch of the new PS3 continues to suffer from delays.
Although Sony claims that the delays were due to digital rights management or DRM issues, many analysts believe otherwise. Analysts raise more pressing issues as reasons for the delays in the launch of the PS3 game console. Eiichi Katayama, a financial and economic research analyst at Tokyo-based Nomura Securities, suggests the delays are likely due to slow progress in graphics chip development. Others offer reasons such as insufficient software titles. However, Sony is quick to dismiss these rumors and again reiterated the DRM issue for its Blu-ray optical drive.
Blu-ray chips provide the new console with removable PS3 storage capacity that is five times greater than the storage space provided by the previous console’s DVDs. Reports that the PS3’s Blu-ray and DRM features have all but disappeared make them unlikely to cause lag. According to Katayama, the ROM branding and BD + license have already started, which makes copy protection technology an implausible reason. Analysts believe that if DRM technology really caused the lag, the PS3 game console’s earnings wouldn’t suffer too much. However, if the reasons are what you think (graphics chip development), the impact on sales would probably be the worst in Sony’s history.
Sony contradicts analysts’ measure on the situation and denies that the delays have put the PS3 game console and the company at a disadvantage against Microsoft and Xbox 360. Xbox 360 hit stores last year and is still the best console . game according to market trends. Jennie Kong, director of public relations for Sony’s European subsidiary, defends the company’s strategy and argues that the company is not dictated by the movements of its competitors. However, history supports the opinions of analysts on the subject. It should be remembered that Microsoft and Sony once faced the same situation, only this time Sony has the advantage with the early launch of its PS2 over the first Xbox. Steve Kovsky of Current Analysis recalls that Microsoft suffered huge losses at the time; Clearly, Sony is expected to do the same with PS3.
The company declines to comment on the unlicensed allegations. They claim that all major announcements were made during the E3 show and that all other announcements would be made at the launch of the PS3 game console. This announcement, instead of ending the rumors, only stokes the fire. But as it stands, there is nothing gamers can do other than play their PS3 games and wait.