Price Wars!

May 20, 2002

Today, Nintendo dropped the price of the Gamecube to $150. Also, Microsoft announced details concerning their new online game network dubbed Xbox Live. The system will cost upwards of $1 billion. Yowsa.

This battle is starting to get ferocious. Sony is putting the pressure on Microsoft because they know they can afford to. Microsoft is thinking, "What the hell are these guys doing? We're freakin' Microsoft! Let's show them who's boss." And they tried to, with the new online gaming system. Nintendo, on the other hand, is just staying competitive and showing that they know who their audience is and aren't worried, but don't want to get left behind either.

The whole thing is just shaking itself out now and this is all going to be pretty interesting. I still think that Microsoft is in for a rude awakening. It's become clearer that a three horse race is a lot tougher than previously thought. Especially, when there is more than just a console war at stake. Sony and Microsoft are trying to position themselves to be the company for the 21st century and getting into our livingrooms with a console, media center, or whatever, is a big part of their plan. Oooh, this is all so exciting it gives me goosebumps.

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