Business - Written by Denis Hancock on Sunday, December 2, 2007 23:51 - 4 Comments

Denis Hancock
PS III vs Wii in Japan

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I’m mainly posting this because I lost an office bet and have to come clean about it.

Many months ago, we were sitting around arguing about how successful the Wii would be (we called doing this “work”). Brendan was rather optimistic about the whole enterprise, pointing out (among other things) that the innovative new controller was pretty remarkable, that it would be attractive to a much broader audience than other consoles, the games were fun, and that basically it would probably beat the tar out of the PS III for quite awhile.

I, on the other hand, thought he was nuts. In fact, I recall thinking that the PS III would quickly crush the Wii after the initial infatuation period wore off, pointing out that (among other things) that the Wii graphics were truly awful when you got right down to it, the games seemed limited, and the “innovative controller” had a lot of limitations built into it as well.

For example, think about all the neat things you can get sports teams, armies, and other “regulars” in popular games to do with a combination of buttons that you can’t make happen by waving your hand around like a fool. Besides, non-gamers didn’t run out and by the Nintendo because of the Duck Hunt gun… would they really run out and by this Wii thing because you could wave around a wand? Of course not! That would be ridiculous!

Oops. It appears that I, um, was a wee (pardon the pun) bit off - the Wii has been a runaway hit, Nintendo’s making money hand over fist, and the wii has shown few signs of going away anytime soon. Sure, I didn’t count on the PS III coming out of the gate at $6 trillion per console and having so many supply chain issues, but it’s become really hard to argue that the Wii is still purely in infatuation mode. It’s been a fairly long time now, I still like playing that pesky Wii for goodness sake, so basically I’m totally out of ammunition for my short-fad argument.

So I have to declare that I’ve lost. Well played Brendan – and since I’m such a good sport, I won’t even mention the excuse that I hadn’t tried the wii yet when we made the bet. Too many times. But I will keep monitoring this situation because I find the competitive battle fascinating. As I posted awhile back, Japan seems to be a pretty good predictor of the technological future, and last month – for the first time – the PS III outsold the Wii., and not by an insignificant amount. Interesting.

So the battle looks like it’s still just getting warmed up, as Sony’s more traditional gaming-focused strategy collides with a company rolling out a balance board to play Wii yoga and virtual skiing. While the latter may seem kind of silly, and it tempts me to go double or nothing… I recall pretend bowling seemed rather silly once as well, so I will refrain. For now.



4 Comments

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Vincent Clement
Dec 3, 2007 9:29

Pretend bowling still seems silly.

The PS3 (have not seen it called the ‘PS III’) is selling because Sony finally dropped the price and because the marketing campaign is finally showing people what the console is capable of (and it didn’t hurt that Ratchet and Clank was released for the PS3).

Brendan Peat
Dec 3, 2007 18:58

Sony really dropped the ball on the PS3, and the success of the Wii seems to have been the nail in the coffin. What has really killed the PS3 is the 360. People knock Microsoft for not being innovative, but you can’t knock how fast they learn and how well they adapt to the marketplace. This time around they were first to market, had lower game development costs, lots of exclusive titles and a lower price point.

Sony’s past dominance may have made them a little over confident, I mean this time are making all the mistakes MS made with the Xbox, and to make matters worse they have tied the system to Blue-ray.

Doesn’t anyone at Sony remember BETAMAX!

Martin Cleaver
Apr 14, 2008 4:44

Blu-ray was no mistake… it won early this year over HD-DVD to become the new Hi-res DVD standard.

The PS3 is targeting different users to the Wii – the PS3 presently targets gamers who wants the immersive video experience, the Wii is for family members who want a physical experience.

These targetings may change. At some point Sony will surely come out with a Wiimote equivalent. At some point after game developers will surely come out with family friendly physical games.

No-one knows how the market will react. Maybe by the time Sony have got their fingers of the twiddly controls Nintendo will have built a Wii console that is less wee in its capabilities. I wonder what they’d call it? The Wii-II? Wiiiii? Wiv? :)

Martin Cleaver.

Wikinomics » Blog Archive » Business Model 1.0 Meets Gaming 2.0
Apr 21, 2008 22:51

[...] Wii, Nintendo Corporation (still) enjoys the position of top dog in the video game console market (sorry, Denis). With more console units sold (and climbing) than its flashier counterparts, Microsoft’s XBOX [...]

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