Sony Reports $1 Billion Loss

[tk1989]

i suggest no one buys sony products then, cuz it cant be to long before they go under surely

And if they r making a loss on every console why r they still selling them, it doesnt make sense to me

Because, in a time before the PS3 came out there was a thing called the PS2, and it seriously kicked ass. It did so well that the gaming division because the most profitable division in the whole company, in some years making around half the profits (i think, lol).

They are obviously hoping that the PS3 will recreate the same success. It blatantly wont, but they cant just pull it out now, it would have been like throwing money down the drain. They will see a profit on it... maybe.... in 10 years time... hopefully....

 

[Ben Legend]

as much as im an xbox fanatic... i want sony to be making a profit on the PS3's.

But, it is a shame really.

 

[ace_of_something]

Did anyone actually read this thing? They mad an INCREASE in the ps3. The big loss came from them not selling any nearly dead consoles (ps2). Obviously they should just stop making the ps2s and let it die with dignity people will only buy the system for so long.

i suggest no one buys sony products then, cuz it cant be to long before they go under surely

And if they r making a loss on every console why r they still selling them, it doesnt make sense to me

it's spelled are.

They make the profit on the controllers, cables, and the liscensing fees that companies have to pay to put games on the system and so on and so forth.

 

[super_smash_jesus]

Well, I am amazed there are still as many competing companies in the TV market, so it doesn't surprise me that if you are dealing in electronics, you might get out competed. That seems to be Sonys issue, especially since Blu Ray isn't converting people the same way that DVDs did when they were introduced. Good luck to you sony, I never play you, but it would be a shame to lose one of the 3 console makers.

 

[Sronpop]

Anyone else seeing sony going the route of Sega, games division wise I mean, I highly doubt we will be seeing a ps4. I reckon the ps3 will chug along for another few years, eventually make a profit, but the effort put in just doesn't seem like it was worth it. Face it, xbox is more profitable this round and the wii is shitting on everyone. I would much prefere to see 1 huge console supported in the next gen with support from song and microsoft behind it. The 2 behemoths just arent cutting it this round, and fan boys either side are butt hurt.

Thank odin this is the Excapist and not youtube or something were all the comments are, Ps3s a piece of shit and can't sell. The ps3 sold over 20 million if I am correct, bad business stragey on Sony hand this time though. The ps3 will never be another ps2, It just wont happen.

 

[Magugag]

I'm not a fanboy or anything, but Sony's been making some mistakes with their PS3 and it doesn't surprise me that they've sustained such a loss because of it. I don't know what happened to them. Last generation, the PS2 was my hands-down favorite system too. I doubt Sony will be crushed in this console war, but it sucks that they're not doing so well right now.

I'm preparing for Sony lovers to kick my ass for this, but I just hope that this means more PS3 exclusives come out for the 360. Come on Infamous...

hehehehe... NEVER. Note who produced this games... yesssss... you read right.... SOOOOOOOOOOOOOOOONYYYYYYYYYYYYYY (SuckerPunch made it, not produced it...)

Oh well, I still got Final Fantasy XIII. That's the only game that could get me to buy a PS3, and now I don't need to. Maybe if the PS3 sees a price drop, but the thing is that doesn't look very likely since Sony is getting their butts kicked financially, at the moment.

At least I still like my PSP pretty well.

 

[Pimppeter2]

Wait resesion = bad times

NO WAY!!!

 

[Pimppeter2]

Anyone else seeing sony going the route of Sega, games division wise I mean, I highly doubt we will be seeing a ps4. I reckon the ps3 will chug along for another few years, eventually make a profit, but the effort put in just doesn't seem like it was worth it. Face it, xbox is more profitable this round and the wii is shitting on everyone.

No it isn't. Microsofts incompetence is meaning they're actually losing more money than Sony.

How bout you both prove that with some facts.

Im not kidding, I want to know

 

[Pimppeter2]

Anyone else seeing sony going the route of Sega, games division wise I mean, I highly doubt we will be seeing a ps4. I reckon the ps3 will chug along for another few years, eventually make a profit, but the effort put in just doesn't seem like it was worth it. Face it, xbox is more profitable this round and the wii is shitting on everyone.

No it isn't. Microsofts incompetence is meaning they're actually losing more money than Sony.

How bout you both prove that with some facts.

Im not kidding, I want to know

You think this is cheap?

Im pretty sure they made those for like 17 yen each, and sold them at $400, with a hell of alot of buyer, and the lawsuits probably haent even cost them that much of how much they made off them (sorry for bad grammar, im in a hurry)

 

[quack35]

Ouch.

 

[deathstrikesquirrel]

Come on Infamous for the 360, come on!

Sorry, I'm getting greedy... I swore I'd be happy with just FFXIII, but damn that game got good reviews and looks like a blast.

Patience young one, and before long infamous will be on 360

 

[Bulletinmybrain]

How is it a shock?

$1 Billion is a lot of money! And considering all the lay offs they have had, the closed departments, the price cutting, and the fact that their predicted net loss is going to increase.... Sony must've been a really really uneconomical company

Well, the PS3 is a loss on every console sold (as is the XBox but Microsoft do seem to be turning it around now). I doubt Sony will shut down the PS3 division unless profits drop more.

Xbox's alone are lose-lose situation for microsoft.

Those things you have to buy to even make it competent though make microsoft money. 60USD for a 20 FUCKING GIG HDD?Are consumers off their rockers?

Atleast sony have some respect to people at large with their console, they atleast made it functional towards the customer with things such as being able to distribute mods on games such as unreal tournament 3, being able to use any headset, practically any normal HDD will work.. (Meaning the money you would pay for a 20gig xbox HDD.. You could have 250gigs of space for your ps3.) Automatically comes wireless...

EDIT: Microsoft lost over a BILLION USD for the cock-ups that the console had at launch.

 

[McClaud]

The major losses were in TV's and home theatre equipment.

The parts he quoted and I quoted are from the PlayStation games division report. It has nothing to do with the Sony Electronics section of the company. I'm kinda sad that this is happening to Sony, since they have a great machine on their hands.

And I can prove with facts that Sony games division has lost way more money than Microsoft did in the last four months. Microsoft reported a $258m dollar loss on the XBox, and that includes the money for this year's warranty coverage. And then Microsoft bought two gaming divisions since the losses weren't so great. Sony's reported a $650m loss in the GAMING DIVISION of Sony. Mostly because their model for the PSN isn't gaining any money, but losing money hand over fist.

RRoD aside, that is taken directly out of the Microsoft budget for the next year to cover the loss of warranties. That's actually STABILIZED, and Microsoft has used the same monetary figure over the last year. So the RRoD isn't cheap, but it isn't KILLING Microsoft either. Sales are still pretty even. Nintendo should be worried - their machine doesn't suffer the faults of the other console machines and it's sales dropped more than 30% since the beginning of the year.

What's even funnier is that there was a call from investors to oust Kaz Hirai from the top position last week. I think sometime in the next month or so, we'll see the results of that.

 

[tk1989]

How is it a shock?

$1 Billion is a lot of money! And considering all the lay offs they have had, the closed departments, the price cutting, and the fact that their predicted net loss is going to increase.... Sony must've been a really really uneconomical company

Well, the PS3 is a loss on every console sold (as is the XBox but Microsoft do seem to be turning it around now). I doubt Sony will shut down the PS3 division unless profits drop more.

Xbox's alone are lose-lose situation for microsoft.

Gaming isn't a lose lose situation for Microsoft. Just because they're not making a profit does not mean that they're not achieving their aims. This isn't all just about gaming consoles for both sony and microsoft, this is about taking control of the living room. The living room is a massive market, with every family buying new HD tvs and new media systems; the idea behind both the playstation 3 and the Xbox 360 is that they effectively are all in one solutions for a home system. Sure, the PS3 has blu-ray so it could be effectively considered the "better" media centre of the two, but they are both relatively the same; both play music; on both you can download movies; you can play upscaled DVDs; both are reasonably attractive. They effectively both do whatever you will ever need to do on your tv. The reason why Microsoft is willing to lose money on the xbox is because it wants to take control of this market, and it is effectively kicking Sony out because its hideously undercutting the price of the PS3; you can buy two 360s and a game for the price of a PS3, is blu-ray really worth that?