If you’re still deciding whether to get Apple‘s iPhone when it debuts on June 29, you should make that decision soon. It seems demand will be incredibly high for the gadget—but supply will be comparatively low. The iPhone will only be sold at approximately 2000 AT&T locations and almost all Apple stores in the U.S., as well as their respective websites (there will be no online pre-orders). Sales reps are speculating the stores will receive a small amount of iPhones, possibly as few as 40, prompting rumors that Apple is deliberately creating a shortage too keep demand high. Stores are expecting huge crowds on the 29th, and word has it people have already started camping out to be amongst the first on line. After
seeing the commercials for the iPhone, we’re frothing at the mouth for one, until we remember the
prices: $500 USD (4GB) and $600 USD (8GB).
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Think back to November, 2006. Remember when it was ALL about the Playstation 3, and all those news stories about people camping out for a week to snag one? Who knew that less than six months later it would be the Nintendo Wii that would completely dominate the video game console wars, and that the “Father of Playstation” would step down. Anyway, Nintendo has announced that, due to the shortage of Wii machines, they will increase production and deliveries of the coveted console by next month. Due to both the Wii and the DS console, Nintendo’s net profits were boosted a whopping 77 percent to $1.47 billion through March, while sales soared 90 percent with $8.13 billion, clobbering competitors XBox and Playstation 3 in the process.
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Dean Takahashi at Mercury News has put together a preview of the story to be published about what the PS3 delay and hardware shortage may mean for Sony and the rest of the industry. The most significant impact seen, of course, will be in the European territory. Missing the holiday launch there means that Microsoft and Nintendo will have a great opportunity to grow marketshare over the next six months. Takahashi was also able to talk with Sony’s new director of communications, David Karraker, particularly about why Sony sat so long on the news. Karraker laid the blame on Kutaragi’s management style, saying that Kutaragi, “pushes his internal teams to hit the numbers. When it became clear we couldn’t hit the numbers, Ken revised it.” Karraker also reiterated that the shortage is solely tied to blue-diode lasers and not any other component, and stated that production of the console will start at the end of September.
Overall, this holiday is not going to be a rosy one for Sony. While every single console manufactured will definitely be sold, they can expect a huge consumer backlash because of availability issues in all three territories. The US Playstation 2 launch suffered huge shortages, and back then, Sony launched with roughly 500,000 units. Now, Sony is releasing even fewer into the US market, and it is unclear whether the company will really be able to sustain production levels if they can’t resolve their diode issues.
The other immediate impact would seem to be next week’s Tokyo Game Show. While Sony has been boasting about the number of playable titles at the show, game selection largely becomes meaningless if nobody can get a console to play on. What could have been Sony’s final public demonstration of the potential of the Playstation 3 before launch will now be tainted with Sony’s inability to provide hardware to the gaming public.
Read More | Mercury News