Sony: Pay to Play

Sony (NYSE: SNE) may have put a big delay on its next-generation PlayStation console, but that doesn't mean it's embarrassed enough by its tardiness to cut loyal customers a price break. The company revealed that the next iteration of the popular game console will cost a pretty penny, and it's hard not to wonder whether gamers might start getting irked.

PlayStation 3 junkies will be able to get the 20 GB version for $499 and a 60 GB version for $599. Its major competitor for hardcore console gamers, Microsoft (Nasdaq: MSFT), offers its Xbox 360 for $299 with no hard drive or $399 for a 20 GB drive. And I shouldn't make too many cracks about the idea of Sony cutting loyal customers a break on price, since word on the Internet is that the components to make each PlayStation 3 unit actually set Sony back $800 a pop.

The price tag does reflect some major features. In addition to playing games, PlayStation 3 will let users play CDs, DVDs, and new high-definition Blu-Ray discs. It also will include Bluetooth, Wi-Fi, and Ethernet connectivity. Its new controller senses players' hand gestures and translates them to the characters on screen, not unlike the technology used in Nintendo's forthcoming Wii system.

PlayStation 3 is now scheduled to be available here in the States on Nov. 17, convenient to the all-important holiday season. Its Japanese launch is scheduled for Nov. 11.

It's obvious that consumers have major appetites for gadgets these days, especially for the "it" brands. Apple (Nasdaq: AAPL) proved that with the iPod, which many people thought was prohibitively priced at launch; we all know how that turned out. Along those lines, I have to admit, the lineup of abilities in the PlayStation 3 deserves a place in the tricked-out digital living room -- and theoretically makes it a big-ticket purchase that works for the entire family. And, of course, Sony's PlayStation is a great brand with gamers -- that's obvious in the fact that it's the leading console, with Microsoft coveting that throne.

On the other hand, there's been a bit of a logistical mess with PlayStation 3, and Microsoft has been trying to take advantage. You may recall that even though rumors were flying that PlayStation 3 wouldn't make its planned spring launch, Sony denied it till the last minute. Some think PlayStation loyalists won't mind, but I can't help wondering whether some might get fed up. There's always Xbox and Nintendo's Wii, and they're less expensive, too.

Will PlayStation fans just take what Sony dishes out, in terms of delays and now pricing? I know I can't underestimate the power of brand and product loyalty, but over the past couple of months, as I've watched the PlayStation 3's slow approach unfold, I have to wonder whether the PlayStation might start to lose its cool.

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Alyce Lomax does not own shares of any of the companies mentioned.