The power is on — Sony Computer Entertainment America introduces PlayStation, the next generation video game system; CD-based system defines state-of-the-art with true 3-D graphics and superb software selection

Business Wire, Sept 7, 1995

FOSTER CITY, Calif.--(BUSINESS WIRE)--Sept. 7, 1995--Months of anticipation will culminate this Saturday, Sept. 9, with the formal introduction and availability of the Sony PlayStation, the highly-anticipated video game system that is the $5.2 billion industry's most auspicious debut of the decade.

Thursday, Sony Computer Entertainment America (SCEA) is marking its formal entrance with announcements about the PlayStation and plans for the imminent introduction.

"It is really an extraordinary moment for us and the entire industry as we launch a system that will change the face of gaming forever," said Martin Homlish, acting president of SCEA. "The PlayStation brings to the gaming marketplace the type of games and graphics enthusiasts have been asking for. We're more than happy to be the system that can comply."

The PlayStation was previewed earlier this year at the Electronic Entertainment Expo (E3), a video game industry trade show held in mid-May, and has been consistently saluted by enthusiast magazines and industry insiders as the next generation video game system for the North American marketplace. The PlayStation will hit the market priced at $299, which is lower than competitive systems, and based on initial response from consumers and retailers, the system is already a hit.

"Today, we are thrilled to announce that more than 100,000 PlayStation units have been pre-sold," said Jim Whims, senior vice president at Sony Computer Entertainment America. "So on our first day, we will have sold more units through to consumers than Sega Saturn has sold since its retail introduction last May."

The pre-buy program was one of several marketing strategies initiated to ensure consumers had the opportunity to guarantee a game console at launch. Through the program, SCEA worked with local retailers to establish a voucher system that includes a promotional audio/game demo CD featuring Sony Music artists for use with traditional compact disc players, and game demos that can be enjoyed once gamers bring their systems home. This Saturday, voucher-holders will hold first priority, as they redeem their tickets for PlayStation game consoles.

New System a Power Trip

The PlayStation delivers more than 500 MIPS (millions of instructions per second) of power, before now only available on high end workstations -- resulting in games with three dimensional realism, CD quality sound and motion picture quality special effects that in some cases exceed the graphic quality of arcade versions.

"Sony has an unrivaled track record in developing and marketing breakthrough consumer electronics and entertainment technology," said Homlish. "Our current efforts, combined with our domestic infrastructure and the PlayStation's performance, have given us tremendous acceptance with game developers, retailers, analysts and other decision-makers in this business."

In an industry so competitive it could inspire its own video game, SCEA enters with advantages that make this company the contender to beat. With annual worldwide sales of over $40 billion, Sony is an international corporate, research and development heavyweight, with the marketing muscle and savvy that has allowed the company to enter and establish itself quickly in the field. And as part of the nation's largest total entertainment company, SCEA is able to count on the cooperation of its sister companies to impact the industry the very first day that the PlayStation becomes available.

For example, beginning day one, the PlayStation's CD-based games will be pressed by the same domestic state-of-the-art plants that churn out millions of audio CDs for Sony's music companies, Epic and Columbia.

As a co-developer of the compact disc technology, it is only natural for Sony to rely on proprietary CD-based architecture to give the PlayStation significant benefits over competing systems. This technology allows Sony to produce game titles in approximately one-tenth of the time it takes to produce masked-ROM game cartridges. The result: "just-in-time" managed inventories for retailers.

"The PlayStation represents the single largest launch for Sony as a corporation since the launch of the audio compact disc," said Olaf Olafsson, president of Sony Interactive Entertainment Inc., SCEA's parent company. "The dedication to developing a superior product, aligning with the best game developers and publishers, and our proven marketing abilities as a corporation are a positive sign of what can be expected."

Setting Up for a Sellout

The company's substantial marketing efforts in support of the PlayStation's introduction reflect a diversified approach targeting consumers, the youth market and the retail trade, including national broadcast and print advertising campaigns, promotions, public relations, and the use of emerging media such as the World Wide Web on the Internet.

Some of the high-profile elements include a major launch celebration on Sept. 6 at the Sony Plaza Public Arcade; a comprehensive ad buy and viewer promotion with MTV in conjunction with the Sept. 7 Video Music Awards (VMAs); PlayStation demonstrations at a post party to be held at Bryant Park on Sept. 7 following the MTV VMA ceremony; and 30-second spots currently shown twice hourly on Sony's Jumbotron in New York City's Time Square leading up to the PlayStation's launch day.