Microsoft (MSFT) And Sony (SNE) To Drop Game Prices

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By Douglas A. McIntyre Updated Published
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nintendo-wiiSony (SNE) is getting ready drop the price on its PS3 and Microsoft (MSFT) is set to do the same with the Xbox 360. At least that is how “inside baseball” tech site Ars Technica tells it.

The probability that price cuts are coming makes sense. The recession has decimated video game console sales and Microsoft and Sony still lag behind Nintendo.

The Wii still outsells Xbox 360 and PS3 most months and in most countries. The price of the Wii is well under its two rivals, and it is easier to use. according to most video game players.

Ars Technica makes the point that the systems are becoming less and less expensive to build which means that the two large companies may be able to protect their margins even if they have to offer discounts.

Nintendo may be getting new competition based on price just as its Wii starts to age which may rearrange the pecking order in the industry.

Douglas A. McIntyre

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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