According to a BusinessWeek Online report, some developers are actually steering resources away from the PS3 in favor of the more affordable Wii from Nintendo and even the Xbox 360. Hirokazu Hamamura, president of publisher and game industry researcher Enterbrain, believes that Sony's next-gen console might not be a smash hit the way previous PlayStation systems have been. "Many developers think the console's initial high price will lead to slow sales and are holding off on creating games for Sony," Hamamura explained.

"At its autumn games preview on July 13, for instance, traditional Sony ally Electronic Arts spent far more time showing off innovative Nintendo games than it did titles for the PS3," emphasized BusinessWeek. "EA announced six Nintendo Wii launch titles and showed long working demos for two of those. But it offered only a short clip of a car-racing game for PS3. EA says it's still testing the potential of the PS3."

Ultimately, developers and analysts agree that in order for the PS3 to be a success in the long run, Sony will have no choice but to bring the cost of the system down as fast as possible. "It's likely Sony will have to discount more...and faster" than planned, commented JP Morgan analyst Hiroshi Takada.