PlayStation 3 Delayed

| Total Words: 348

Sonys original plan was to unveil its new PlayStation 3 in Japan this spring, but due to difficulties concerning its production plans, it seems that Japan will not see the new PS3 until August. One of the main production difficulties is related to the Blu-ray Disc drive in each console.

According to a Sony spokesperson, the company is waiting for the final specifications on some of the technology that is being used in the PS3, which includes the Blu-ray drive as well as input and output video and sound.

Sonys stock took a hit on Monday after Merrill Lynch released a research note last week which indicated that the PS3s launch may be postponed by six to 12 months, and that the cost of materials used in the consoles production could be around $900 per unit at the outset.

Yuta Sakurai, a senior analyst at Nomura Securities, estimates the price of the unit to be around 50,000 yen, which is about $420. I dont think it matters when Sony launches in the U.S. as long as its in time for Christmas, he added.

Sakurai expects Sony to aim for an early summer launch, which would be in time for the big selling season around July, which is when schools are on...

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