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A lot of people were looking for some good pricing news to come out of this year's Electronic Entertainment Expo in Los Angeles.
Developers, publishers, analysts and consumers. Everyone was hoping to hear Sony announce the long awaited price cut for the PlayStation 3. And more than a few were hoping Nintendo might play a wildcard and drop the price of the Wii.
Neither happened — and because of that, we’re unlikely to see any improvement in industry sales figures or publisher earnings in the immediate future.
While a price cut by Sony [ SNE 29.06 
+0.14 (+0.48%) ] leading in to the holiday period is now a virtual certainty, the lack of an immediate price cut now takes the wind out of the industry’s sales, after gaming companies have spent the past week trying to revive enthusiasm.
“It’s our view that a price reduction is good for every one, because it gets more hardware into people’s hands and that sells more software,” says Strauss Zelnick, chairman of the board at Take Two Interactive Software [ TTWO 8.85 +0.29 (+3.39%) ]. “Look, this is a razor and razorblades business. You want the razor to be as inexpensive as possible.”
Graham Hopper, executive vice president and general manager of Disney Interactive Studios, agrees.
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