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Pachter: "PSP Won't Catch Up To DS, But It Doesn't Need To" |
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Written by Ben Hartland
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Thursday, 12 April 2007 |
Industry analyst Michael Pachter discussed with Game|Life about the PSP and Sony's new focus on younger consumers.
"PSP is getting outsold by Nintendo DS about two-to-one worldwide. Can Sony close this gap, or is it too late?"
"I don't think Sony will close the gap, and don't think it is important that they do so. Nintendo has over 20 million loyal GBA owners, and we should expect them to dominate the category that they invented. Sony is late to the handheld game, has tried to approach the market from an older demographic, and is just now trying to beef up more kid-friendly content to appeal to 13-17 year olds. I don't think that the gap matters at all, so long as Sony makes money. I also believe that price elasticity of demand dictates that the lower priced product will sell more units. That's why there are more Fords than Maseratis."
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