Sony executives lately have been quite outspoken about the competition, but rarely does the company comment on potential consumers. Ray Maguire, Sony's UK managing director, is likely a hero to a select group of gamers in London for announcing the incredible giveaway of 46-inch Bravia HDTVs at launch, but American gamers may now have a bone to pick with the Brit.
In an interview with GamesIndustry.biz, when asked why PlayStation 3 more expensive in the UK than it is in the rest of Europe, Maguire replied: “If you take what's considered to be the most expensive and the least expensive – consider the US with its massive land and cheap people. Then you look at the UK – a little island where rent and rates are at an absolute premium, and the cost of people is a lot more. The cost of retail is vastly more in the UK than it is in the US and that's before you even stop to consider the US doesn't have VAT at RRP, they put a small amount on afterwards. Whereas, we get stung by 17.5 per cent. And pity the poor Irish and places like Sweden.”
There appears to be some further explanation needed on the context of Maguire’s comments, which were made in the context of the relatively high price of the PlayStation 3 in Europe, especially compared to the less tax-heavy Americas. He was clearly talking about the differentials in pricing for the PS3 in various territories.
While some people are interpreting his “cheap people” comments as referring to the U.S.’s cheaper labor force and lower cost of living, nearly all PlayStation 3 consoles are made in China, with a very small percentage made in Japan. Furthermore, the European PS3 also features simplified hardware in comparison to its Japan and North American counterparts, representing a reduction in hardware costs. The main inflator of the PS3’s price in the UK and other parts of Europe are the high taxes, which affect all consumer goods.
Even with the extended wait and the higher price, PlayStation 3 has become UK’s fastest selling home console, according to estimates. 165,000 PlayStation 3 units were sold in the two days following the console's launch, giving it easily the strongest launch of the new consoles.
In comparison, Nintendo’s Wii sold 105,000 units on launch weekend, and Microsoft’s Xbox 360 rang in the slowest launch with 70,000 units sold.
Sony appears to have a particularly strong following in the UK. While its new home console holds the new record in its own domain, the PSP holds the overall title of fastest-selling system and handheld with 185,000 units sold launch weekend.
With a successful UK launch underway, Maguire was happy to announce the start of what he believes is a more “real” next-generation. “Many people are saying we're now joining the next-generation console era, but I believe we've stepped over the current next-gen to create the real next-generation,” he said.
