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To: Don Green who wrote (37782)3/3/2000 11:30:00 PM
From: Mihaela  Read Replies (1) | Respond to of 93625
 
Friday March 3 8:20 PM ET

Joy in Japan As Playstation2 Sales Begin

By Stuart Grudgings

TOKYO (Reuters) - PlayStation2 fever swept Japan on Saturday as thousands of excited game fans who had braved the cold and queued through the night rushed to get their hands on Sony's (6758.T) new dream machine as stores opened.

At 7 a.m., video game shops in Tokyo pulled up their shutters to reveal stacks of gleaming blue PlayStation2 boxes and let the eager but orderly crowds in to claim their consoles, one of the most hotly hyped electronic gadgets in history.

``Cold, tired, excited,' said U.S. air force enlisted man Dan Champion, describing his emotions as he emerged from one store clutching a box.

Many game fanatics, including some who traveled thousands of miles from Europe and North America, had camped out for two nights in Tokyo's Akihabara electronics district to make sure they would be one of the first lucky owners.

The object of their desire, priced at around $360, is a console that many analysts say takes home entertainment to a new dimension with life-like animation and the capacity to play DVDs and surf the net.

Its ``emotion engine' processor has been billed as creating film-like quality, enabling it to depict the most subtle images and movements from hair blowing in the wind to sparks flying from the undercarriage of speeding race cars.

``The turnout is definitely above expectations. We've worked all night to ensure a smooth launch, but compared to Windows 95, when we had 500 to 600 customers lining up, this time seems to be four times as many,' said Matsuda Nobiyuki, a spokesman for Sofmap, a big electronics shop in Akihabara.

To ensure no one would be disappointed, customers were limited to one console each.

Second Coming

The launch of the PlayStation2 has been treated on a par with the Second Coming in game-mad Japan and television crews were on hand to give live coverage of the event.

``I am the first Frenchman to buy a PlayStation (2)!' boasted Tom, who traveled from Paris to buy the console, as he displayed his prize.

``Why would I come all the way here today? I just couldn't miss it... But frankly I am exhausted, dead. Fifteen hours with no sleep, the cups of coffee...the jetlag.'

Sony aims to sell a million PlayStation2s in the first two days and is betting heavily on the success of the new machine.

The original PlayStation, and the games that go with it are a high-profit haven for Japan's leading high-tech firm, which already holds a dominant 70 percent share of the world game console market.

If the initial reaction of fans is any guide, it has little to worry about.

``In gaming terms, this is up there with the invention of the steam engine,' said Steven Kent, a video-game writer from Seattle who had queued through the night to be sure of buying the console.

Kent, currently writing a book on the history of gaming, said the U.S. launch would be even more spectacular as by that time there would be more games on the market.

``The potential is unbelievable, there's just so much you can do with this system...the U.S. launch will be unbelievable,' he told Reuters.

PlayStation2 is due to be launched in the United States and Europe late this year.

dailynews.yahoo.com



To: Don Green who wrote (37782)3/3/2000 11:31:00 PM
From: Don Green  Respond to of 93625
 
Playstation 2 to hit Japanese stores on March 4
The long-awaited Playstation 2 by Sony will hit Japanese stores on March 4.
The new game console is already such a blockbuster, judging by the flood of advance orders, that it is expected to single-handedly help stimulate Japanese industry.

But analysts see some dangers lurking ahead for the runaway success.

At 128 bit, Playstation 2 is the fastest machine of its kind. And it comes with both an audio CD and a DVD player.

Its 300 megahertz CPU was developed by Sony Computer Entertainment, together with Toshiba.

Kenichi Fukunaga, Director, Corporate Communication, Sony Computer Entertainment, said: "Compared to the first Playstation, its graphic speed differs by 2 digits, which means it's 100 times faster.

"Look at the glare. The graphics are realistic. No wonder analysts praise Playstation 2."

Mr Fukunaga boasts that the graphics, developed by Sony Computer Entertainment, were "suave", unlike conventional computer games.

But analysts noted some problems ahead.

Masahiro Ono, senior analyst, Warburg Dillon Read, said: "First of all, price strategy, because compared to any other game machine, Sony's production cost is most expensive, due to higher production cost of semiconductors.

"Second thing is, strategy of software development, including relationship of third parties. In order to make money, Sony has to release lots of software titles for Playstation 2."

Over 200 software firms in Japan and abroad have been licensed to develop softwares for the new machine, but Warburg's Mr Ono claims the games are no different from earlier ones.

However, the market has shrugged off these concerns, so much so that on February 18th when Sony started taking advance orders for the new game consol, Sony's share price surged 10% and is holding up above the 30,000 yen level.

That, analysts say, is much higher than its fair value of 20,000 yen.

But Sony is betting on the internet to drive sales further.

Mr Fukunaga said: "In the US, e-commerce is already a huge market. It'll catch on soon in Japan. But before that, we decided to experiment with Playstation 2."

Through Playstation.com, the game console can be purchased together with its software.

For the moment, it will be delivered to the customer's doorstep, but within a couple of months, it can be picked up at anytime at Seven Eleven stores throughout Japan.

Sony projects that 1.7 million units of Playstation2 will be sold within this month.

And, it is expected to exceed eventually the worldwide sale of 7 million units of its predecessor.