Originally Posted by cdub998
I am very interested to see how this plays out. I was suprised to see the cost of the HD-DVD players. here is what I am pondering now. Sony has now seen the cost of the HD-DVD players and the PS3 has not been priced yet. Is it their strategy to then price the PS3 comparibly to the HD-DVD players so they can say "well you are getting a gaming system as well as a blue ray player for the same price as their HD-DVD player"? I have a suspision this may be the case. I mean the ps2 was used by a lot of people in japan for a low cost (at the time) dvd player.
I believe that is EXACTLY the strategy. I read a few articles about that, I'll have to see if I can dig them up.
Sony lost the last media format war (Betamax vs. VHS), maybe they learned something.
Edit// So, while at lunch I was crusing around and checking out articles. Alot state that as a specific strategy.. but they are really dated ('05), so I didn't want to post them. Anyways, it should be no suprise that Sony wants a person to buy a PS3 that is equipped with a Blu-Ray player for a price that competes with a stand alone HD-DVD player. The value of the PS3 (being able to game!) plus Blu-Ray compatibility for the future DVDs should entice people to buy. Also, Sony has priced the PS3 (in relation to cost~low profit margin) low, they want to hook people on buying high priced games it's like printers the money is made from the ink.
For anyone not familiar with the format war, here's an old article (9/05) that explains it well...