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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?


To: MileHigh who wrote (16971)3/3/1999 11:39:00 AM
From: MulhollandDrive  Read Replies (1) | Respond to of 93625
 
Not worried about this? Well they should be. I mean TV games aren't exactly a necessary item (at least not for most of us<g>) so if the manufacturer (Sony) comes out with a press release that the next Playstation will play rings around the old model, and is backwards compatible with the old games to boot, why in the world would anyone pay $100 for the current model? Maybe they are just banking on the fact that most purchasers of Playstations are completely out of the loop when it comes to tech news? I don't know, it just seems like they have set themselves up for a very long dry spell on sales of Playstation until the RMBS model is available.

The only other reasoning that I can think of is that Nintendo is eating their lunch and they wanted to put it out there that they would have a product coming that would rival or beat Nintendo's graphics. I think they probably make most of their profits on the software, not the Playstation itself so they may be concerned about any potential or continuing sales erosion. (I'm strictly speculating here, I have no firsthand knowledge that is indeed the case).

The other thought is that the new Playstation will be so much more desirable than the old one (especially with it's backwards compatibility with the old software) that they are confident that sales of the RMBS Playstation will more than make up for any shortfall of sales during the interim.

Who knows?
bp