Tiny PlayStation plays hard to get

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Tiny PlayStation plays hard to get

• By Adam Graham / The Detroit News

http//www.detnews.com/2005/technology/0503/23/A01
-126132.htm
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New Item

• It doesn't take ESP to figure out the PSP is
  going to be B-I-G.
• Sony's new PlayStation Portable -- the cool kids
  call it PSP -- goes on sale tonight at midnight
  at many Metro Detroit video game retailers.
• But don't just show up hoping to snag one. Most
  of Sony's first run of 1 million units is already
  accounted for through pre-orders, and the
  machines are expected to be in scarce supply for
  a number of weeks.
• Sniff around and you may find one, but here's a
  gauge as to how hot they are Some retailers are
  already taking pre-orders on the second shipment
  of PSPs, for which Sony hasn't promised a release
  date.
• The shiny, sleek handheld device plays video
  games, MP3s and movies -- initial units come
  packaged with a copy of "Spider-Man 2" -- and
  experts say it will not only end Nintendo's
  dominance of the handheld market, but also
  revolutionize the industry.

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Redefine Gaming?

• "The PSP totally redefines gaming, period," says
  Paul Koulogeorge, vice president of marketing for
  video game retailer EB Games, noting its superior
  graphics quality, buzzworthy add-on features and
  sexy design. "It's a milestone in the industry.
  It takes video games to a whole new level."
• Everything about the PSP tells Michael Ames, 16,
  of Royal Oak he needs to have one. Everything,
  that is, except for the price.
• At 250, "it's a little expensive," he says.

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The Economics A Monopoly?
Price
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• Market for PSPs.
• It would seem that theres a big profit.
• 250 seems like a lot of money.

250
Profit
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1,000,000
Quantity
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or a Competitor?
Price
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• Market for OTHER games.

Dnew

• Is the new PSP a substitute for other games?
• Are they a substitute for the new PSP?

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P1
Quantity
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