Sony overextending itself?
With the company's name in the news almost constantly for the last few months, you'd think things are going well, but some of the news I've been reading is giving me a bad feeling.
The lion's share
Probably the biggest news in the last couple of weeks has been Sony's acquisition of MGM to the amount of $3 billion. Sound like a good deal right? But Sony already has it's own production studios, including Columbia Pictures, Tri-Star Pictures, Sony Pictures Classics and Screen Gems. While MGM hasn't exactly been on fire in quite a while now, they've got an enormous catalog of classic films. This is what Sony is expecting to take to the bank as it releases these thousands of titles on home video.Of course, what good is an all-out war unless you fight it on multiple fronts against multiple enemies?
The blu way
And speaking of home video, Sony's also got big plans for that as well. Not only will it cash in on DVD sales, but Sony is investing in the next-generation Blu-ray disc format. Now that the specs have been approved and manufacturers are beginning to build BD-ROM players, you'll see a whole new wave of DVD (or BD) sales, including higher-quality movies and albums, whole seasons of TV shows, and of course, video games. Sony has already announced that BD-ROM will be the delivery format for all PlayStation 3 games, and assuming that the PS3 will be a hit, Sony is setting up a sure thing with Blu-ray. But if the PS3 doesn't perform as well as expected, or worse, if Blu-ray is beaten out by rival format HD-DVD, then it could turn into a backpedalling nightmare.MP3? Not so bad
In fact, Sony's already committed a serious error in judgment by refusing to support MP3 playback on all of its digital audio players. With customers being locked into Sony's proprietary ATRAC format, there's little choice as to where they can get there music--namely, Sony's CONNECT online music service. Of course, due to public outcry, the company has now decided to reverse its decision and support MP3. While that certainly doesn't save face for this decidely Japanese company, neither can the reported refusal to create a partnership with Apple and iTunes. Sony has decided to go at it alone, but can they also succeed where few have been able to?In your hands
Of course, what good is an all-out war unless you fight it on multiple fronts against multiple enemies? That's just what Sony's about to get into when it launches the PSP handheld gaming system against Nintendo's new DS. Nintendo is the hands-down leader in the market, but Sony is set on grabbing a share of it using exclusive titles and it's ties to music and movie licenses as the winning ticket. But Sony also has its work cut out for it. The PSP is somewhat larger than the DS--not something to aspire to in a handheld device, the PSP doesn't offer the level of innovation (see the DS's dual screens and PictoChat), the PSP is not backwards compatible because...well, I think you know. Clearly, anyone who owns a handheld game system owns a GameBoy, and is likely to buy another Nintendo product, don't you think?Bad vibes
Also on the gaming front, Sony got busted down by a federal court in a suit involving Immersion Corp., which owns the patents on the technology behind "haptic feedback", also known as force feedback used in the PS2's Dual Shock controller. Immersion Corp. also sued Microsoft with the same claims back in 2002, but Microsoft took a different approach, opting to settle out of court and claim a stake in Immersion Corp.. So now Sony is facing a judgement of $82 million in damages, a possible injunction which would halt all sale and manufacturing of Dual Shock controllers, or simply owning up and licensing the technology from Immersion.Two or two?
With the PS2 now three years old, and the PS3 just about a year away, Sony has reworked the best-selling console into the PStwo. Measuring at nearly 70% of the size of the PS2, the new console now includes a built-in network adapter, but leaves no room (or option) for the HDD. Apparently, that will only be available to PS2 owners who still wish to purchase it--not that there are many games that make use of it. (Sony's PSX does have a built-in HDD, but will no longer be released in the US due to poor sales in Japan.) Sounds to me like Sony has pretty much given up on its second-generation consoles and is well underway ramping up PS3 development. I see a rough year ahead.Got game
Not only will Sony's dwindling involvement with the PS2/PStwo platform cause some unrest, but the game developers may also take some of the hits as well. The sequel to one of the PS2's biggest titles, Gran Turismo 4, has now been set close (maybe too close) to Christmas this year, December 14th. Also comes the news that the much-anticipated online element of the game will not be included, which just goes to show that even with two years of online capability, Sony still hasn't been able to get a solid, cohesive strategy in place. Instead, the launch title for the PStwo is none other than Grand Theft Auto: San Andreas. If there was ever a beacon for parents and activists, this title would be it. That and Bungie/Microsoft releasing Halo 2 the following week? Sony couldn't have picked a worse time to rebrand its already aging console.Put it this way, I've been a Sony customer for years, but recently I've been losing my confidence. Not only for the business practices and decisions I mentioned above, but for the little things too. I think their product design and usability has become bland and uninspiring. Just look at a Sony remote control and you'll see what I mean. It reeks of mass-production, with little or no thought given to how one must interact with it. Unfortunately, I'm starting to see that in everything Sony does and while I think they can do better, things may be too far gone before anything can be done about it.
Related links
Sony to buy MGM after rival foldsSony's PS3 to use Blu-ray Disc
Jobs offered to let Sony into iTunes, report says
Sony shifts to add MP3 support
Court rules against Sony in Immersion patent case
