It looks like Sony
Sony's PlayStation 3 won't hit the shelves in Europe until March, long after the holiday season is over. Here in the U.S., there won't be too many PlayStation 3 consoles to go around. Sony now expects to ship only 2 million consoles in time for the essential holiday season, half as many as previously expected.
This is just the latest snafu to hit Sony, with news that its lithium-ion batteries are being recalled in both Dell
Gamers are already upset that the PlayStation 3 consoles will cost a pretty penny, which may dampen their enthusiasm for the upgrade. Given its multiple launch delays, it's not impossible that even PlayStation loyalists might simply look elsewhere for their next console purchase. Sony's shortage could bode well for Microsoft
My Foolish colleague Nate Parmelee recently wrote a well-reasoned examination of Sony's current challenges, noting that Sony has struggled with quality issues for many of its recent electronics products. He noted that Sony "is experiencing growing pains as it changes its culture and structure from the inside out."
These are among the reasons why I think Sony's a good stock for investors to avoid. It's not just the quality of its products, but also its frequent public relations debacles, not to mention the growing sense that its left hand doesn't know what its right hand is doing. True, corporations are made up of people, and to err is human. But in Sony's case, the mistakes seem to be coming far too frequently. Before buying in, Foolish investors should wait for signs that the electronics congolmerate is righting its ship.
For more on Sony, see the following Foolish articles:
- Refresh your memory on Sony's battery recall.
- Nate Parmelee discusses Sony's growing pains.
- Sony hopes gamers will pay a pretty penny to play.
Alyce Lomax does not own shares of any of the companies mentioned.