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Discussion in 'Games' started by MRU, Feb 1, 2007.
eek, thats a lot of moola.
But how much can Sony "afford" to lose on the PS3?
Sony needs to hit the reset button back to 2004 and start over...
So if sony loses the same amount of money in 6 months as M$ has in 12 months. Are they losing that much money on each unit sold If so... I can understand why they said they dont forsee a price cut for 2 years...
Any console needs a steady stream of AAA titles to succeed. PSP has only had a handful of great games, and PS3 only has R:FoM.
Get titles on the shelves, and all this bad crap melts away.
its not just the units they lose money on, advertising, production problems, air freight as opposed to sea freight for launch (air for 500k units = $$$$$$$$$$$) blah blah blah, all sorts of crap that nickel and dime ( ok maybe more than nickel and dime ) the company into loss
It didn't help that so many of there PS3 sales were from scalpers, and then those scalpers had problems selling the systems.
Add on to that a very VERY bad attach rate for the system. Companies sell these systems at a loss expecting to make up for it with software, etc... but if people aren't buying software (and instead installing Linux and playing PS2 games they already own)... well, that is bad for them.
I'm sure there will be investors willing to dump money into the brand for a long time though, so no worries yet.
Congrats, Sony. May you decline further!
Microsoft lost $4 billion with the Xbox 1. Sony lost $2 billion so far with the PS3.
"OMG nintendo are SEGA and will go away cuz yea"
Isn't the Playstation line [usually] Sony's biggest profit maker?
Maybe they can make it up in volume!
My son settled on a Wii and hasn't regretted the decision.
Indeed Haoshiro, Sony really need to get those titles pumping and do not sleep like they did the PSP...the PSP is just waking up and its been on the market for two years. Sony is really lackluster and from the looks of it...they don't like money as much as the other companies.
Oh wait. Another negative in the "HD camp". Not only are systems costing more, games taking longer and costing more to develop, but the development of the system costs more too I mean I bet the PS3 went through a lot of designing to get it running as cool as what people say.
A weaker CPU & GPU would have sorted that
I've been saying the push was too soon for a while now.
Poor Sony. They need to rekindle the magic the PS1 had
It would be so much better if they took out that stupid bluray drive. That'd bring it to 360 prices and then it would sell like crazy
Price cuts is been considered...ummmm
Yeah, the difference is that Sony and MS have other sources of revenue that are able to offset at least some of the losses (IE: Deeper pockets). As a direct result, however, MS and Sony can absorb a lot more of the costs while still remaining competitive. Sony just has a lot of ground to make up now, and it seems like they are constantly making wrong turns.
MS lost somewhere closer to 7 billion.
(and thats without R&D costs on a completely new CPU)
Sony knew they were gonna take a hit, and expect to be making profit next year........
Maybe Sony would get more sales if they tried to be a bit nicer to its users. I have always thought that Sony needs to be more user friendly. I mean the hardware they have is pretty great. Like the PSP can do so much and has so much potential (even if the stupid analog nub was in the wrong spot) but they have to do something stupid like close it off to home brew, imagine if they let you use home made apps and such, and constantly delay things like that GPS and the Camera.I can just see the PS3 being the same. Some of the features like the Remote Play could be so sweet if it was done right, but Sony never seems to finish what they start (granted they just launched PS3). Ah well, they already have my money so I just hope they can pick them (PSP/3) up...
They lost $4b on the original XBox, unless they're trying to hide $3b. Maybe they've lost $7b in total, but the original XBox was totalled up at $4b after the last one rolled off the production line
The difference is pretty vast when you consider the overall company profits.
From what I understand almost all of Microsoft is profitable (all divisions), and Nintendo even profits from their hardware.
Sony on the other hand, from what I gather, only has a single profitable division: SCE. Losses are more financially burdensome to a company with less overall profit.
Take Xbox for example, Microsoft had that cash to throw around, and went in intended and expecting to lose that money. Unlike Sony who seems to be losing more money then the planned on.
But like I said, the Sony brand is big, I'm sure they'll have plenty of investors to keep them afloat. Now if they start scaring them away, that's a different story. But that's a worse-case scenario I'd say.
Not to mention people buying them as a Blu-ray player...
It'd also suck when the third-year titles needed multiple DVDs worth of space to be worth a damn.
I even had a PS2 game that needed two DVDs last year.
Whats so stupid about it......?
I remember very clearly hearing that MS only sees profits from its OS.
*Googling... yup*: http://slashdot.org/articles/02/11/17/2037223.shtml
A 2002 article? heh
Haha. Bloody hell. It's bumping the cost up. It's like being forced into buying a 360 AND a HD-DVD drive when you only want to play games.