

And $170 certainly is an indication right there of how high can you take the pricing? For us, I think the $99, given what we're doing with next-gen software and wireless hardware, seems to be fine. I'm not saying people won't pay $200, but it's like the whole pyramid where as the price goes higher, you lose a lot of people. I think you're beginning to see the limits of what a consumer will pay or won't, and you really have to deliver.

But as you get higher, to what extent will consumers still pay? If you look at this week's Rock Band announcement, they went out with $170. So we feel like we're delivering a certain amount of value for a good price in that, and we hope that that message resonates with consumers. If you look at wireless controllers, the 360 wireless versus the wired controller, the gap is actually bigger than $10, but the difference in ours is $10. The hardware is where we have to really convince consumers that they're getting a lot of value for their money. On 3, next-gen's software price is ten dollars higher, so the software part is very easy for people to understand. Guitar Hero II it went up a little higher. Because when we first went out there on PS2 with Guitar Hero 1, which was priced at $70, most retailers thought it wouldn't work because it was roughly double what PlayStation 2 games were selling for. That was our strategy from the beginning. We're trying to get more mass-market, more global. It'll be on every version if you buy it in North America you'll get those as well.

We have German songs, we have Italian songs, we have French songs. And you have to do things like - if you look at the Guitar Hero III soundtrack, for the first time, we have non-English songs. To do that we had to be of course on Wii, which is the one of the great mass-market platforms. We wanted to make Guitar Hero more mass market. Consequently, if you look at where Rock Band ended up and where we ended up with Guitar Hero… Rock Band ended up, because of the type of game they wanted, PS3 and Xbox 360 only, in one territory, North America. Our vision had always been to take Guitar Hero more and more mass-market, so more and more people can experience it. Rock Band has moved to more of a collaborative game. They know us very well, we know them very well. We've worked with Harmonix for two years. Charles Huang: We think Guitar Hero III is the best game, gameplay, the best hardware we've ever done.
