A flurry of blog postings, fanboy ranting and rambling was came to a head over the last 48 hours after Activision CEO Bobby Kotick’s statement that Activision would cut bait on the PS3 if something did not change soon. EndSights gets straight to the point on this one:
“As you can see, the PlayStation 3 in 2008 did provide the least amount of revenue for the company in the console segment — but $241 million in revenue on a $1.294 billion in revenue still represents 18.6 percent of Activision’s console business. That might not seem extremely significant to everyone reading, but in the corporate and financial world, the PlayStation 3 inhabits a chunk of revenue and profit that provides growth potential to prospective investors. In short, dropping PlayStation 3 support would be akin to committing stock price suicide.”
In other words, the tempest in a teapot was for naught. Yes, the PS3 needs another price cut. A reduced price will help Sony, its third party publishers, and of course would help the PS3 from losing more traction to the 360. Activision is not moving away from the PS3 anytime soon.