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Retailer GameStop will be unable to fulfill pre-orders

With all the rabid anticipation surrounding the PlayStation 3, it may sadden many of you to hear that Japan will not be the only territory that will face a cut in its launch numbers.

According to a GameSpot report, North American retailer GameStop (who also runs EB Games) has received a launch allocation that is less than its number of pre-orders.

On October 10, GameStop took PlayStation 3 pre-orders, which sold out nationwide within minutes. Most stores limited pre-orders to eight units, which was based on original Sony estimates on availability.

Now, it appears that many GameStop stores will be unable to honor its "launch day" pre-orders. A GameStop representative confirmed this news, but had no idea as to the extent of the supply shortfall.

"We are beginning to notify our customers that our initial shipment of PS3 systems will not be what we expected," the representative said. "As this is not an ideal situation, we are asking employees to wait to purchase systems until the second shipment. We are anticipating having systems to cover reservations before Christmas."

Customers with PS3 pre-orders from GameStop can expect to be contacted by phone shortly to confirm the status of their reservation. Those who will be left out of the initial round on launch day will be given a consolation item of a free used game or DVD of choice valued at $19.99 or less.

This development will have a ripple effect on those who have sold their pre-orders on eBay with the condition that the item will ship on launch day. Many eBay bidders will be very unhappy to learn that the thousands of dollars they spent on a launch-day PS3 will be facing delays.

Update: Analyst Colin Sebastian expects less PS3's on launch day than originally announced by Sony. He says:

"We expect Sony to deliver 150-200k units to stores in the United States for the launch; consumers without pre-orders may find it difficult to locate an available system. We estimate sales of approximately 750k PS3s domestically by year-end. We expect a more robust launch from Nintendo, with at least 1.2 million units sold in the U.S. and up to four million units shipped worldwide by year-end."

Read more in this Gamasutra story.

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I Feel Bad for Gamestop
By UserDoesNotExist on 11/14/2006 9:11:24 AM , Rating: 2
When I was looking to reserve my Wii at Gamestop, the manager and I got into a talk, and he told me that the reason that corporate was taking so long to take reservations was that they were scared stupid of a repeat of the 360 debacle, and so they wanted to wait until Nintendo would tell them exactly how many units each store in the U.S. was getting.

Never thought I'd say this, but I actually feel bad for Gamestop. What Sony is doing here is incredibly unwise. Gamestop corporate is probably pulling out their hair right now. The 360 fiasco was a terrible PR blunder, and Gamestop was trying desperately not to repeat it. Making your retailers angry is not a smart move, especially retailers that have very limited shelf space and a large share of your target consumer. Something tells me that there's going to be more Wii and 360 banners put up in Gamestops across the nation.

This doesn't affect me any though. Sony apparently thinks that Fargo, North Dakota is somewhere in Europe, so they're delaying PS3 shipments here to any retail store until March 2007.

RE: I Feel Bad for Gamestop
By xsilver on 11/14/2006 9:33:48 AM , Rating: 1
I think the real people you should be feeling sorry for are the rich/desperate sobs that live in europe/australasia that wont be able to get the system either till march 07.
they will be forced to buy the system on ebay for $$$
either that or they had their own personal hobo waiting in line in japan at launch :P

poor rich people -- poor poor rich people ;)

RE: I Feel Bad for Gamestop
By threepac3 on 11/14/2006 9:37:27 AM , Rating: 3
Well there are a couple of things that can be said... Sony allocated about 400k consoles for US/Canada launch. We also know that Gamestop/EB cannot meet its Pre-order goals. They based there pre-order allocation of that 400k goal.

The thing is here that with the information provided to the public it cannot be said that this the fault of Sony. Its most likely Gamestops fault for predicting they could meet that goal--what ever it maybe.

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