Analyst: PS2 Price Drop Will Help PS3

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The PlayStation 2's recent price drop to $99.99 isn't a particularly exciting announcement for hardcore gamers. But if an analyst from DFC Intelligence is right, the cheap new PS2 may pave the way for the PS3 to take over later.

An excerpt from the full feature is below:

While dropping the price of the PS2 might not have been in the best interest of gamers hoping for a PS3, it was the right move for Sony's bleeding balance sheet, says market researcher David Cole of DFC Intelligence.

"Obviously everyone wants a PS3 price drop, but profitability is essential for Sony to continue funding the business," Cole says. "The longer they can keep PS2 alive, the longer they have for the PS3."

"Keeping consumers playing the PS2 can stop them for migrating to a competing system," Cole says.

This story, "Analyst: PS2 Price Drop Will Help PS3" was originally published by GamePro.

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