EA CEO John Riccitiello believes that the major platform holders were too slow in cutting prices of console hardware last year as the industry faced decline due to the worldwide recession.
Speaking to EA investors following yesterday’s financial release, Riccitiello said (via MCV), “In 2009 there was a lack of aggressive first party pricing – [they were] a little bit too late with their price cuts. The market was soft for the reason I just identified.”
360 and PS3 price cuts came into effect last August while Nintendo didn’t cut the price of Wii until September.
Riccitiello now believes that the publisher is well positioned for 2010. “Our packaged goods business is performing. We have gained market share this fiscal year as a result of great quality and improved marketing. In fiscal 2011, we believe titles like Medal of Honor, Crisis 2, Dead Space, The Sims 3 on console and others have breakout potential.”