Playstation 3 and the Product Life Cycle

Watch the BBC article and video link with the head of Sony’s console division.

He says that the machine will overhaul rivals Nintendo and Microsoft within its 10-year lifecycle and that PlayStation 3 sales have already outstripped those of Microsoft Xbox 360 in Europe, though it lags behind in North America. Nintendo’s Wii console is the number one machine globally. Nintendo had shipped more than 25 million Wiis worldwide by April this year, while Microsoft reported 19 million 360s shipped by the same period. Mr Hirai added Sony was engaged in a “marathon” race with Nintendo and Microsoft. They have sold 10.5m Playstation 3s.

Both Sony and Nintendo had problems supplying their latest products when they were launched. But Sony estimate consoles have a ten year lifespan, so it’s early days in determining a ‘winner’ amongst the various formats. At some point in the near future, the logic of the product lifecycle suggests that Sony will need to be planning the launch of the Playstation 4……