This Week In The Business: '$299 Is The Magic Price Point For PS4'

What's happened in the business of video games this past week ...

QUOTE | "$US299 is the magic price point for PS4." — Analyst Billy Pidgeon talking about what sort of pricing Sony needs for the PS4 in order to maximise sales while avoiding huge losses.

QUOTE | "Whatever launches in 2013 or 2014 or 2015, will never beat a PC again." — Cevat Yerli, CEO of Crytek, talking about the reasons why a console will never be able to outperform a high-end PC.

QUOTE | "I would applaud the publishers if they tried to charge $US69.99." — Wedbush Securities' analyst Michael Pachter, talking with other analysts about the potential pricing for PS4 and other next-gen console software.

QUOTE | "It's not as scary as some people led you to believe." — Hermen Hulst, managing director at Guerilla Games, talking with other developers about PS4 development costs and what it's like developing games for PS4.

QUOTE | "The games on display were nothing that couldn't be done on other hardware." — Will Luton, gaming consultant, talking along with other developers about the PS4 reveal and what it might mean to gaming.

STAT | 20 billion — Number of games downloaded to smartphones and tablets in 2012, according to analytics firm App Annie; games accounted for 60 per cent of all spending on iOS and 80 per cent of all spending on Google Play.

QUOTE | "We believe that in four to five years digital should be around 50 per cent of our business." — Stephanie Perotti, Ubisoft's worldwide Uplay director, talking about the company's decision to start selling titles from other publishers online.

STAT | 209 per cent — Growth in the number of smart device users in China from February of 2012, according to analytics firm Flurry; China now has more than 246 million people using a smartphone or tablet

This Week in the Business courtesy of GamesIndustry International

Image from Shutterstock


Comments

    “Whatever launches in 2013 or 2014 or 2015, will never beat a PC again.” — Cevat Yerli, CEO of Crytek,
    If your talk'in FPS which is all his company does then maybe.
    But if you consider sports games,arcade racers,fighting games,JRPG's and many other genrea's then he is very much mistaken.

      No he's not. Everything originates on a PC. Your dev kits, they're PC based originally. The tech that comes out for consoles are subpar compared to PC's. Sorry to say but this man is highly correct. Compare the PS4 even, to what say, the new NVidia card and a high end PC could pump out? PS4 is beautiful, without a doubt, but no console, not even the new ones, can hope to match a high end rig. Genre doesn't matter, he's bang on the money.

      Last edited 24/02/13 5:42 pm

        PC will always be more powerful, the problem is that it only becomes affordable to have a rig with more power than a console near the end of the generation. Like now, today's mainstream parts that cost $120 like a 7750 gddr5 oc edition is finally at a price point where the ordinary gamer can buy one to get better performance than a console. Before that it was too expensive for the every day gamer.

          Absolutely and I fully agree. This is why I'll be buying the PS4 and the Xbox (only if its NOT online all the time etc). My gaming rig is slowly becoming obsolete. Its chugging along now acceptably but starting to show its age. The consoles will fit that nice game for around 4 years or so, then I'll get a new nice gaming pc when I finish Uni and the consoles again will have served their purpose very gracefully like the ps3 and 360 have. I completely agree with everything you said, my GTX 460 SE cost me 500 or so when I first got it, however now? It's around 100 bucks if that?

            PS4 has been confirmed to work offline. And said in an interview to play pre-owned games - that one might have been a shaky PR translation thing though.

              Yeah, thats whats one of the big sellers for me. If the new Xbox has the always online component, I'm out.

                If either need a paid subscription to play online, I'm out.

          Also, the problem that developers develop most PC games to also run on consoles, for maximum sales so we rarely see the most of what the PC has to offer.

            This is true, but as we've seen at the end of this console cycle, the devs have gotten irritated at consoles holding them back, they realised the problems inherent in doing this. Games have started again coming out that were designed for the PC and scaled back to console (Witcher 2 for instance) and not the other way around, as it should be. Unfortunately we suffered through the reverse for too long :(

        I think you missed the point of my comment, I'm talking about the end result the public can play not dev systems, name one good JRPG that's been released for the pc in the last five years.

      Crysis is not a game its a tech demo for crytek engine

      His comment was in reference to the hardware not the title
      Crytek CEO Cevat Yerli says the next-gen boxes won't be able to compete with existing PCs on horsepower.

    If PS4 was released at $299, I would own one. For sure.

      ROFL! EB already priced it at $900* and knowing them they'll keep it at that. They basically set retail pricing in Australia in regards to consoles. There's no way I could justify paying any more than $500 for a PS4 so looks like I've got a long wait ahead of me. As someone else said "Go home EB, you're drunk".

      *GST and Convict taxes are inclusive.

        $400 is my limit and somehow I don't see either of them getting under this number.

          Don't forget Straya tax ;)

        I think they will drop it once official pricing is released.
        They wanted to get in on the announcement hype so set it at their highest price and started taking pre-orders.
        What the final price will be I'm not sure (My guess is around $500) but I think it will drop from the $900

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