Sony is teh D00m3d!

[Coded-Dude]

Sony, the maker of the Playstation 3 game console, jumped 230 yen, or 3.8 percent, to 6,230, the highest close since July 9, 2002. Matsushita Electronic Industrial Co., which sells Panasonic-brand products, added 20 yen, or 0.9 percent, to 2,380. NEC Corp., the nation's largest personal-computer maker, climbed 20 yen, or 3.3 percent, to 627.

Koya Tabata, an analyst at Credit Suisse in Tokyo, raised his recommendation on the consumer electronics industry to ``overweight'' from ``market weight'' in a note to clients dated yesterday. Tabata named Sony as his top pick.

http://www.n4g.com/ClickOut.aspx?ObjID=25197

Must be all those unsold PS3's........:rolleyes:
(Actually I think their TV sells are really helping them out this year)

[darkwing]

http://www.n4g.com/ClickOut.aspx?ObjID=25197

Must be all those unsold PS3's........:rolleyes:
(Actually I think their TV sells are really helping them out this year)

Hey I work for Matsushita. I wish I had stock options. :P

[Coded-Dude]

I'm actually curious as to how many sites that love to report every bit of BAD Sony news(whether its fake or not), will report this GOOD news...:p

[Dagless]

Whoa. So with all them stocks jumping down and the whole plethora of bad news since 2004, something good has happened? Brilliant!

Christ. I was going to finish off a bottle of Dr. Pepper but I think I'll crack open the champagne.

[zero2dash]

Sony is teh D00m3d!

LOL :D
I love the out of place type people use like that sometimes, but the fact that you sprinkled "teh" instead of "the" on top made it even better. :)

In all seriousness...BluRay sales have picked up; I'm sure that's one of the major reasons (which ties into Ps3 sales obviously).

[Osarkon]

LOL :D
I love the out of place type people use like that sometimes, but the fact that you sprinkled "teh" instead of "the" on top made it even better. :)

.


You like the ridiculous type? To me it says a lot about the person who uses it. Whether it's used in jest or not, it gets on my nerves.

[zero2dash]

Sometimes it's funny...most of the times its obnoxious and annoying, but I guess in this context I didn't expect to see it here so...I got a chuckle out of it at least. /shrug

[Phobophobia]

There is no financial backing to the rise of Sony stock price, and there never will be. Have a nice day.

[Coded-Dude]

oh noez!.....the stock prices are too high and now nobody will buy it! :rolleyes:

[pseudobrit]

In all seriousness...BluRay sales have picked up; I'm sure that's one of the major reasons (which ties into Ps3 sales obviously).

PS3 sales alone equate to cash losses for Sony.

Blu-ray disc sales are up because PS3 is selling many consoles, but Sony doesn't gain anything from Blu-ray winning the format war.
Blu-ray doesn't belong to Sony any more than IEEE 1394 belongs to Apple. The BDA had nine founding members. Even Sony's home video department could always have switched to HD-DVD if Blu-ray had lost.

[Coded-Dude]

PS2 sales alone equate to cash profit for Sony

Sony doesn't gain anything from Blu-ray winning the format war.
I disagree
Blu-ray doesn't belong to Sony
True, but they are currently one of the largest/only BD disc printing presses around.
So they make money from producing BD movies for almost all other companies as well.
Also, as stated earlier, Bravia is one of the leading LCD tv's there is right now........

The announcement of outsourcing CELL to save money probably spurred some investments, and the fact that they have some HUGE blockbusters coming out this year doesn't hurt either.

Anyone that actually thinks Sony is in serious trouble is a pessimist or a hater. IMHO

[Dagless]

Anyone that actually thinks Sony is in serious trouble is a pessimist or a hater. IMHO

Correct me if I'm wrong, no really, I'm not trying to be an arse or anything (I already did that in my first post)... but haven't Sony not been making as much as they normally did for 2006? That their saving grace was their TV line?

Again, I didn't follow them closely so I don't know. I just heard there were many drops in stock, not making as much etc.

[FleurDuMal]

I honestly don't care about Sony's finances. Just put out some good games, please!

[Coded-Dude]

Sony Corp. came out on top of the LCD (liquid crystal display) TV market in 2006 for the first time, according to figures published by DisplaySearch on Tuesday.

The company managed a 16 percent share of the market in revenue terms in 2006, giving it a percentage point lead over Samsung Electronics Co. Ltd. Japan's Sharp Corp., which has led the market until last year. In 2006, Sharp fell to third place with an 11.5 percent share by revenue, said DisplaySearch.

Total shipments in the year amounted to 46.4 million units, a rise of 119 percent on 2005, the company said.

On a unit basis Samsung Electronics came out first with a 13.4 percent share followed by Koninklijke Philips Electronics NV at 13 percent, Sony at 11.6 percent, Sharp at 11.3 percent and LG Electronics Inc. at 7 percent, the market research company said.

Sony's rise to the top in unit shipments comes a little over two years after Sony began aggressively attacking the LCD TV market under the "Bravia" brand name. Prior to late 2005, when the Bravia brand first appeared, the company had been selling flat-panel TVs alongside CRT (cathode ray tube) models, but was quickly losing market share and money by not fully embracing flat screens.

The company took losses in its LCD TV business for about two years while it established the Bravia brand. It is now on track to meet its goal of returning to profitability in the second half of its current financial year, which is the period from October to March 2007.

Sony shipped 430,000 LCD TVs in fiscal year 2003, the first year it launched such sets, and has seen shipments rise ever since. In 2004 they hit the 1 million mark then climbed to 2.8 million in 2005. Sony expects shipments to hit 6 million units in the current year.source (http://http://www.pcworld.com/article/id,129024-c,lcd/article.html)

and I can't be for certain, but I believe Sony Ericsson cell phones saw an increase of about 75% in shipments this year as well - they are also moving up through the ranks. Basically, PS3 costs are the main driving factor in profit losses, but much of it was expected. Granted, not ALL of it was, but a good deal of it most certainly was. PS2 is another saving grace, so while PS3 is slow to start, many are confident it will begin to take off(As PS2 support slowly dies).

Sony Pictures started the year out with the hit movie "Stomp the Yard" which is expected to be followed by a long list of other films with potential to be No. 1.
(Spiderman 3)

[mkubal]

I wouldn't suggest judging a company's health based solely on stock prices and analyst opinions. Enron managed a consistent rise in stock value with a vaporware business, which was held in high regard by (complicit) analysts.

I'm not equating Sony to Enron. And I'm certainly not claiming that Sony is going under. I'm just making a point about stock values.

[Coded-Dude]

Yes but Sony is a WORLDWIDE LEADER, in electronics(among other thingsl)
So for anyone to accuse them of being doomed, or in serious trouble....is either being naive or ignorant.

Like I have posted before, they have one of the highest rated brand name recognitions amongst your "average joe ignorant consumer," than ANY other company in the world.

Not that such a thing is alway good, but they definitaly have "staying" power when they can sell a product based, not on its merit, but on brand name alone.

[mkubal]

Yes but Sony is a WORLDWIDE LEADER, in electronics(among other thingsl)
So for anyone to accuse them of being doomed, or in serious trouble....is either being naive or ignorant.

Like I have posted before, they have one of the highest rated brand name recognitions amongst your "average joe ignorant consumer," than ANY other company in the world.

Not that such a thing is alway good, but they definitaly have "staying" power when they can sell a product based, not on its merit, but on brand name alone.

I agree. I don't see Sony disappearing in the foreseeable future. They generally make good products (I'm looking at getting a Sony receiver soon). I don't think anyone is accusing them of being doomed except for fanboys.

My take is that, while their position with the PS3 doesn't look great right now, things could certainly change. In addition, the PS3 is one of many products they make.

It's interesting to see how people despise corporations until talking about the financial success of their favorite company as it relates to video games and their favorite console. I'm not accusing you of this, Coded-Dude, it's just a thought.

[darkwing]

I'm real big on stocks, but I don't follow the Japanese market. I think that Sony is a good company but has had problems lately. My guess is that their stock was seen as a buy opportunity after it was hit with the battery recalls and PS3 woes.

It could also just be up on hype and tank any day now, too. Who knows.

Look at the last couple weeks of history on ISRG and BCON. Luckily I'm only out 8% on BCON, and made 70% on those ISRG calls. :cool:

[zero2dash]

PS3 sales alone equate to cash losses for Sony.

Most console sales equate to losses; the money is in the software. Everyone knows that.

Blu-ray disc sales are up because PS3 is selling many consoles, but Sony doesn't gain anything from Blu-ray winning the format war.

Incorrect; they gain plenty of money from all the Sony Pictures movies sold on BluRay so the money stays in-house (so to speak). And as Coded-Dude said, since Sony is one of BluRay's largest backers, I'm sure there's money made in there for them in other regards as well. I don't think it's as cut-and-dry as "make money or don't", I'm sure their hands are in the cookie jar pretty nicely as it pertains to BluRay money.

Sony's brand recognition and name does carry a lot of history, sure. IMO the sparkle was lost on the name "Sony" a long time ago when other companies started offering high quality products at lower prices (Samsung comes to mind especially). But nevertheless...just like Microsoft makes all their money on operating systems and PC software, Sony will make all their money on consumer electronics. If you think about it, Sony manufactures almost every consumer electronic out there in one fashion or another, so...I agree with the statement that Sony ain't going away anytime soon; probably never. Just because Microsoft or Sony loses money on video game consoles doesn't mean they're not raking in the dough in their other divisions. :)

[pionata]

Its quite funny watching all those kids on internet having absolutly no knowledge in the way world markets works but bashing the ps3 on every occasions... You think sony doesnt know what they are doing? lol

The shares are low -> they will sell more then -> huge profits ahead when the shares raise back up again.

There is a "dude" called Socrates that said something like: “The only true knowledge is knowing that we do not know”...

[pseudobrit]

Most console sales equate to losses; the money is in the software. Everyone knows that.

Right, but Blu-ray video disc sales don't do anything for PS3 games licensing. If too many people buy the PS3 for BD Sony will take a bath.

Incorrect; they gain plenty of money from all the Sony Pictures movies sold on BluRay so the money stays in-house (so to speak).

But that's Sony's film division making the money. They could have made the same money with HD-DVD if Blu-ray had never materialised. My point is that people are buying the content when they buy a video disc, not the format, and they're certainly not thinking about buying a Sony product.

And as Coded-Dude said, since Sony is one of BluRay's largest backers, I'm sure there's money made in there for them in other regards as well. I don't think it's as cut-and-dry as "make money or don't", I'm sure their hands are in the cookie jar pretty nicely as it pertains to BluRay money.

I'm sure they see rewards for sticking their necks out WRT pressing discs (I wasn't aware they had such a dominant role in the niche), but those benefits will diminish quickly in the near future. What will be left is a trickle of cash split up from patent royalties like Apple sees from IEEE 1394 ports.

For the record, I've owned a PS3 for about two months now and knew I was going to buy when they were announced because I believed so much in Blu-ray.

[Josh396]

Incorrect; they gain plenty of money from all the Sony Pictures movies sold on BluRay so the money stays in-house (so to speak).
I'm going to guess by Sony he meant just the PS3, but again, I'm just guessing. If he did actually mean it that way (which is the way I interpreted it) I'm still kind of torn between his argument. As far as gaming is cocerned, I don't think the format makes any differences for the immediate future (or even maybe for this gen) but if BluRay did when the format war I'm sure it would greatly increase the PS3 sales, which in turn would increases the games sold which then increases their money. So does losing the format war mean total death for the PS3 as far as gaming? I don't think so, but it could force Sony to lose even more money on the PS3 with the possibility of increased prices in BluRay drives.