Sony
Computer Entertainment America Inc. Announces
Launch Schedule For Playstation(R)2 Computer
Entertainment System Company Prepares for the
Biggest Consumer Electronics Launch in History
As the company
prepares to release the highly-anticipated
PlayStation(R)2 computer entertainment system in
the North American market, Sony Computer
Entertainment America Inc. announced today the
schedule of launch activities to support the
biggest consumer electronics launch in history.
With an
unprecedented library of software and backed by
an extensive marketing campaign, the company is
aiming to ship three million units by the close
of fiscal year 2001, ending March 31, 2001. This
figure is part of the company's total 10
million-unit worldwide production estimate for
the product, within the same time period.
Presenting the
largest software library ever assembled for a
home entertainment product, coupled with the most
ambitious company-backed marketing initiative,
the PlayStation 2 launch will set new industry
standards as Sony Computer Entertainment
continues its role as the driving force behind
computer entertainment.
Twenty-six
software titles will be available at launch on
October 26, with more than 50 titles released in
time for the holidays. Additionally, 270 titles
are currently in development for PlayStation 2
and 301 content developers and publishers are
signed up to create titles for the system,
accounting for most of the software development
community. Combine the more than 800 PlayStation
titles currently available with the ability to
play this library on PlayStation 2, and the new
system boasts the broadest software catalog ever
created.
To support the
upcoming product introduction in North America,
Sony Computer Entertainment America will kick off
its marketing campaign in October. Wide-ranging
marketing support for the PlayStation 2 launch
and its software offerings will include extensive
advertising efforts (print, TV, cinema, outdoor,
viral, online), promotions, sponsorships, direct
and channel marketing.
Consumer exposure
to PlayStation 2 will target new and emerging
American popular culture, including television
advertising during "The Simpsons,"
hands-on trial at Super Bowl XXXV events,
"underground" sponsorships such as the
Raveworld tour, and an in-theater trailer
featuring the PlayStation 2 launch library,
projected to reach more than 48 million movie
goers.
In order to meet
the overwhelming demand for the PlayStation 2
computer entertainment system worldwide, Sony
Computer Entertainment Inc. is ramping up
production capacity from 400,000 units a month to
more than one million units a month in the fall,
with a further increase to 1.4 million units by
the end of 2000. Due to a components supply
shortage, the company is tracking approximately
one month behind in production. This is not
expected to impact the previously announced
worldwide fiscal year 2001 PlayStation 2 shipment
figures.
As a result, Sony
Computer Entertainment America announced that it
would modify the original launch plans so that
the market is supplied with a continuous flow of
product during the holiday selling season. For
its North American debut on October 26, 2000, the
company plans to ship 500,000 units of the
PlayStation 2 computer entertainment system,
followed by shipments of approximately 100,000
units per week through the holiday season.
Just two months
following its launch, the company estimates that
a total of 1.3 million units will be shipped into
the North American market, a historic milestone
for the industry. "As we prepare for the
release of the PlayStation 2 computer
entertainment system, we are continually
overwhelmed with the amount of support garnered
on behalf of the product from retailers,
consumers and the third party development
community," said Kaz Hirai, president and
chief operating officer, Sony Computer
Entertainment America Inc. "We are confident
that in light of the huge installed base of the
original PlayStation, now available in one out of
every three U.S. households, combined with the
ability to play the existing PlayStation software
catalog, the PlayStation 2 launch in North
American will prove to be an unrivaled success,
truly demonstrating the company's innovation and
leadership as the driving force behind computer
entertainment."
Sony Computer
Entertainment America Inc. continues to redefine
the entertainment lifestyle with its
PlayStation(R) game console and the upcoming
PlayStation(R)2 computer entertainment system. As
the best-selling home console of all time, a
PlayStation can be found in more than one out of
every four U.S. households. The PlayStation 2
computer entertainment system is set to
revolutionize the home entertainment market,
doubling as a videogame system and a DVD-Video
player, while incorporating the capability to be
used as a network terminal in the coming
broadband era.
Recognized as the
undisputed industry leader, Sony Computer
Entertainment America Inc. markets the
PlayStation game console and develops, publishes,
markets and distributes software for the
PlayStation game console and the upcoming
PlayStation 2 computer entertainment system for
the North American market. Based in Foster City,
Calif., Sony Computer Entertainment America Inc.
serves as headquarters for all North American
operations and is a wholly-owned subsidiary of
Sony Computer Entertainment Inc..
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In the
Conference call they expended on the press
release
The original
PlayStation was launch with 100 000 units now the
PlayStation 2 will launched with 500 000 units
instead of their original forecast at the E3
which was 1 million units.
Now the
production is about 400 000 units per months but
it is climbing to reach 1 million and then to 1.4
million as soon as they can. Presently they
shortage is 1 month behind demand.
They have called
the retailers and the third part developers to
advice them of this change this afternoon before
this conference call. The distribution channel
will be spread over 22 000 doors because of the
change they all will be reduce to half of it
approximately. The amount of distribution was not
disclosed but it is normal business practice not
to disclose the actual amount. Also the online
effort has not been determined yet. Sony also
said that they have been discouraging retailers
in taking pre-order because the set amount has
not been disclosed yet.
The break down
until Sony's end of their fiscal year - March
2001- is still the same 10 millions all together
meaning approximately 7 for the Japan market and
3 for the American and the European markets
together. So far over 3 millions units has been
sold for the Japanese market. The units that will
be offer at the European launch is still unknown
and will be announce in the coming weeks. Since
they are still on track with their fiscal end
year it should bring 1.5 Billion in revenues at
the year end.
They confirmed
that the component supply shortage was not from
the DVD part and that they will not disclose
which actual component supply is slowing down the
production but they said that the matter is being
solve.
Concerning the
softwares 15 was announce for the launch at E3
and now they confirmed 26 and up to 50 for
Christmas will be ready. Plus of course the 800
titles that are actually on the market since the
PlayStation 2 has the ability to play all the
previous PlayStation's software since it is
backward compatible.
The actual
line-up and titles will be release in the coming
weeks.
Concerning the PS
one the units sold should be 8 millions be the
end of their fiscal year.
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