Sony Officially Pulls plug on 20GB version of the PS3

[Jon Liu]

The least expensive way to currently buy into the Blu-ray format is soon to say Sayonara, with Sony announcing plans to discontinue production of the 20GB PlayStation 3 to focus on selling its higher-capacity 60GB cousin.
Though the 20GB model retails for $499 -- approximately $100 less than the 60GB PS3 -- Sony says early adopters have favored the pricier version by a ratio of nearly 9 to 1.
"Initial retail demand in North America was upwards of 90% in favor of the 60GB SKU, so we manufactured and shipped-in accordingly," Sony spokesman Dave Karraker told Video Business. "Based on retailer and customer feedback, we have decided to focus our current efforts on the more popular 60GB model."
In addition to its larger internal hard drive, the 60GB PS3 boasts extra storage media slots, as well as a built-in wi-fi port not found in the 20GB console. While retailers will be allowed to sell-through any remaining stock of the 20GB model, the company said no new orders will be fulfilled.
On the surface, Sony's move may seem a bit surprising, at least in light of continued criticism that Blu-ray hardware prices are too high for the average consumer. When the PS3 launched in late November, the $499 unit became the cheapest way for buyers to experience the Blu-ray format -- with this move, that entry point is now $100 higher.
What, if any, long-term affect Sony's decision to discontinue the 20GB PlayStation 3 may have on the next-gen format war remains to be seen. But for now, retailers don't seem terribly worried.
"In consumers' minds, there is no real gap between the $499 and the $599," said Jayme Kruse-Cordie, Hastings director of video and interactive gaming. "After $499, the price sensitivity is gone."

Interesting, to say the least.

Linkage

[GoatMother]

Big thumbs down Sony

Not very smart from a marketing perspective IMO, now their price differential is that much bigger! Maybe they don't lose as much on the 60GB, that is the only reason I can think as to why. Lame for people who wanted the 20GB as well. Not everybody wants or needs wireless.

[CamDawg]

Sony says early adopters have favored the pricier version by a ratio of nearly 9 to 1.
"Initial retail demand in North America was upwards of 90% in favor of the 60GB SKU, so we manufactured and shipped-in accordingly," Sony spokesman Dave Karraker told Video Business. "Based on retailer and customer feedback, we have decided to focus our current efforts on the more popular 60GB model."

Just when I started liking Sony some, they have to go and pull out the lies/mistruths. I have seen quoted in various places that the shipments by Sony of the 20GB SKU was 15-20 times less than the 60GB one. I have neevr seen a 20GB one in stock anywhere. When I was still looking for a PS3, I was frequently told by stores that they just don't get the 20GB ones in stock. The whole thing makes me think that the only reason Sony released a 20GB SKU originally was so they could say that they were more competitive with MS on pricing.

[Jon Liu]

And now, they're not competitive anymore.

It's definitely an odd move, for sure, but it's just not what I would expect nor what I would probably have done. Why stop making them? Give people the option, but just make the option less, if people still favor the 60GB version...

I know plenty of people who favor the Premium 360 over the Core, but that didn't stop Microsoft from keeping it.

In my opinion:

Score one for Microsoft.

[GoatMother]

I must say when I was looking I could only find a 20GB and that is what I have. I did want the 60GB. Most stores told me 60GB's were what people wanted. Still though I know many that want 20GB's and will be pissed, also those that want a PS3 just for a blu-ray player will be pissed as well.