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Peter Suciu for redOrbit.com – Your Universe Online
Sony Computer Entertainment is on track to have a very good holiday season. The company’s PlayStation 4 next generation video game console sold more than a million units in the United States in its first 24 hours, and less than three weeks since its debut the system has topped 2.1 million units worldwide.
The PS4 was launched last Friday in Europe, Australia and other countries, following its North American launch on November 15. Sony is also quick to point out that the 2.1 million figure is actual units sold and not merely units shipped into the retail channel.
“Demand remains incredibly strong and continues to overwhelm the supply worldwide, but we are diligently working to meet those growing demands and to deliver additional PS4 units to our retail partners throughout the holiday season,” said Andrew House, president and group CEO of Sony Computer Entertainment, according to USA Today.
The strong sales have also come despite strong competition, as rival Microsoft released its Xbox One video game console just a week after the launch of the PS4. Microsoft also announced that its gaming console reached one million units sold in just 24 hours. The Microsoft system launched in 13 markets on November 22, while the November 15 launch of the PS4 occurred in just two – with Europe following only last Friday.
Sony’s PlayStation 4 is now available in 32 countries worldwide. However, it could get an even bigger boost early next year when it is released in Japan.
“It is difficult to say since it has been a long time since Sony has released a system in Japan,” said independent video game analyst Billy Pidgeon. “Japan has been very different than other regions. Things have slowed there in recent years, and hardware sales have been driven very much by games.”
With that in mind Sony has been pushing out more units in key markets in Europe, the United States, Canada and even Australia.
“Where they really want to make traction is in Europe and North America,” Pidgeon told redOrbit.
The PS4 has been called a significant upgrade from the PlayStation 3, and it features a revamped controller, streamlined menus and Share options that allow players to broadcast games and share videos and photos with their friends. Despite these advancements the next generation PS4 was released at retail for $399, far lower than the nearly $600 price point of the PS3.
In addition, Sony’s new PS4 is also $100 less than Microsoft’s Xbox One, which retails for $499.
According to research firm IHS iSuppli, Sony is near a break-even point on PS4 hardware. This could allow the system to reach profitability much faster than it was able to reach with the PS3.
“This time, Sony is on a greatly shortened path to the hardware break-even point, or even profitability, with its cost-conscious PlayStation 4 design,” said Andrew Rassweiler, senior director, cost benchmarking services for IHS. “The company is pulling off this feat, despite offering a brand-new design that once again includes avant-garde components that yield superfast performance. The PlayStation 4 keeps a lid on costs by focusing all the additional expense on the processor and memory—and reducing outlays for the optical drive, the hard disk drive (HDD) and other subsystems.”