Sony takes huge PS3 Lost

criverajr
criverajr Posts: 1,675
edited June 2008 in The Clubhouse
http://videogames.yahoo.com/feature/sony-has-lost-over-3-billion-on-the-ps3/1223467

Wow:eek:
Post edited by criverajr on
· Share on FacebookShare on Twitter

Comments

  • ND13
    ND13 Posts: 7,601
    edited June 2008
    BooHoo!!!
    "SOME PEOPLE CALL ME MAURICE,
    CAUSE I SPEAK OF THE POMPITIOUS OF LOVE"
    · Share on FacebookShare on Twitter
  • amulford
    amulford Posts: 5,020
    edited June 2008
    Damn. But that's only one product, and I'm sure there is some kind of accounting wizadry in the mix...
    · Share on FacebookShare on Twitter
  • Jstas
    Jstas Posts: 14,842
    edited June 2008
    Yeah, sure, wait until GT5 hits the shelves in all it's glory. Sony will turn around over night.
    Expert Moron Extraordinaire

    You're just jealous 'cause the voices don't talk to you!
    · Share on FacebookShare on Twitter
  • bobman1235
    bobman1235 Posts: 10,822
    edited June 2008
    So, I was curious about this, so I looked up their financials.

    Total Cash - 14.03 billion.
    Debt - 10 billion.
    Revenue - 82.19 billion.
    Gross Profit - 15.86 billion

    I think they'll survive a little loss (which will eventually turn into a gain I'm sure).

    3 Billion is a lot of money but relative to their earnings (and potential) it's not a huge deal.
    If you will it, dude, it is no dream.
    · Share on FacebookShare on Twitter
  • Sami
    Sami Posts: 4,634
    edited June 2008
    Correct me if I'm wrong but isn't Sony counting on game royalties to offset the losses on the hardware?
    · Share on FacebookShare on Twitter
  • phuz
    phuz Posts: 2,372
    edited June 2008
    Sami wrote: »
    Correct me if I'm wrong but isn't Sony counting on game royalties to offset the losses on the hardware?

    Yes. On paper the console hardware loses money.

    When you account for licensing, software and accessory sales, they're doing juuuuuust fine.

    This is the same for all late model game consoles.
    · Share on FacebookShare on Twitter
  • bobman1235
    bobman1235 Posts: 10,822
    edited June 2008
    ALL consoles count on game licensing and royalties to offset the cost of hardware (and, probably more importantly, R&D). I don't think a console has been introduced yet that hasn't lost money. While the scale on this one is much larger than usual (I'm guessing), Sony also made a huge technological leap, with the cell processor and everything, that they will be able to leverage for YEARS to eventually turn a profit.
    If you will it, dude, it is no dream.
    · Share on FacebookShare on Twitter
  • ND13
    ND13 Posts: 7,601
    edited June 2008
    I wouldn't be worrying about Sony....not one iota.
    "SOME PEOPLE CALL ME MAURICE,
    CAUSE I SPEAK OF THE POMPITIOUS OF LOVE"
    · Share on FacebookShare on Twitter
  • jakelm
    jakelm Posts: 4,081
    edited June 2008
    I wish Microsoft and Sony would merge... PSXBox:p
    Monitor 7b's front
    Monitor 4's surround
    Frankinpolk Center (2 mw6503's with peerless tweeter)
    M10's back surround
    Hafler-200 driving patio Daytons
    Tempest-X 15" DIY sub w/ Rythmik 350A plate amp
    Dayton 12" DVC w/ Rythmik 350a plate amp
    Harman/Kardon AVR-635
    Oppo 981hd
    Denon upconvert DVD player
    Jennings Research (vintage and rare)
    Mit RPTV WS-55513
    Tosh HD-XA1
    B&K AV5000


    Dont BAN me Bro!!!!:eek:
    · Share on FacebookShare on Twitter
  • Lowell_M
    Lowell_M Posts: 1,660
    edited June 2008
    Jstas wrote: »
    Yeah, sure, wait until GT5 hits the shelves in all it's glory. Sony will turn around over night.

    Thread Hijack!!

    Prologue Rocks!

    I'm not much of a gamer, but got the PS3 as a BluRay player. Well.. Since I'm a budding club racer, I had to get GT5 Prologue. Even without the visceral feedback you get when actually in the car, the accuracy of the games driving characteristics of my car (2007 Infiniti G35 Sedan Sport a.k.a. 2007 Nissan Skyline 350GT) on the track are astounding. They need to add more tracks! (Nurburgring, Road America etc.)

    ... Then there is the GT-R. Holy crap!
    HT
    RTi70 mains
    CSi30 center
    RTi28 Rears
    Velodyne CHT-12
    H/K AVR-247
    ADCOM GFA-7000
    Samsung PN58B860
    Playstation 3
    2-Channel
    Polk Audio LSi15's
    Rotel RCD-1072
    Nakamichi CA-5 Pre
    ADCOM GFA-555
    Signal Cable Analog II IC's
    Signal Ultra Bi-Wire Speaker Cables
    · Share on FacebookShare on Twitter
  • cheddar
    cheddar Posts: 2,390
    edited June 2008
    Sami wrote: »
    Correct me if I'm wrong but isn't Sony counting on game royalties to offset the losses on the hardware?

    I think Sony was thinking a little bigger picture than game royalties with the ps3. For their games division, this will be a big shell game with game/accessories vs. playstation unit losses. But sony also owns a movie studio, produces hdtvs, and blu-ray players. Seems like the ps3 took one for the team...
    · Share on FacebookShare on Twitter
  • Sami
    Sami Posts: 4,634
    edited June 2008
    a_mattison wrote: »
    They need to add more tracks! (Nurburgring, Road America etc.)
    I don't think you'll get more track with the Prologue, they are counting on you to buy GT5 once it's out.

    cheddar, of course you are correct, but the point was that PS3 might not be such a money pit for Sony as mere numbers tell. It would be like taking a company's support team and tell them to take a hike because they are costing the company lots of money without turning in a profit. Grocery stores selling milk/beer/whatever at "loss" to make profit on the "accessories", it's old tactics.
    · Share on FacebookShare on Twitter
  • Lowell_M
    Lowell_M Posts: 1,660
    edited June 2008
    Sami wrote: »
    I don't think you'll get more track with the Prologue, they are counting on you to buy GT5 once it's out.

    I can't wait.... I'm all over the full version...
    HT
    RTi70 mains
    CSi30 center
    RTi28 Rears
    Velodyne CHT-12
    H/K AVR-247
    ADCOM GFA-7000
    Samsung PN58B860
    Playstation 3
    2-Channel
    Polk Audio LSi15's
    Rotel RCD-1072
    Nakamichi CA-5 Pre
    ADCOM GFA-555
    Signal Cable Analog II IC's
    Signal Ultra Bi-Wire Speaker Cables
    · Share on FacebookShare on Twitter
  • cheddar
    cheddar Posts: 2,390
    edited June 2008
    Sami wrote: »
    cheddar, of course you are correct, but the point was that PS3 might not be such a money pit for Sony as mere numbers tell. It would be like taking a company's support team and tell them to take a hike because they are costing the company lots of money without turning in a profit. Grocery stores selling milk/beer/whatever at "loss" to make profit on the "accessories", it's old tactics.

    Yes, totally agree that it's an old business model in consoles to trade profits on hardware for those on software. Just saying that Sony has been building up to this point for some time since their betamax days. They're positioned to profit all the way from movie/game production to software distribution to consumer hardware in a lot of product categories. And that's a scale unique to game console producers.
    · Share on FacebookShare on Twitter
  • ND13
    ND13 Posts: 7,601
    edited June 2008
    Look at the Wii. They kill ya with all the peripherals, but the console is cheap. Just found out exactly how much, last night, when I finally found one of the $249 consoles. Had to go ahead and pick up an extra controller, numchuk and gun. I still need to get two more controllers, numchuks and another gun. That doesn't even get into the steering wheels, tennnis raquets and a Wii fit.:rolleyes:
    "SOME PEOPLE CALL ME MAURICE,
    CAUSE I SPEAK OF THE POMPITIOUS OF LOVE"
    · Share on FacebookShare on Twitter
  • disneyjoe7
    disneyjoe7 Posts: 11,435
    edited June 2008
    Sami wrote: »
    Correct me if I'm wrong but isn't Sony counting on game royalties to offset the losses on the hardware?



    Bingo we have a winner.


    Thanks for seeing the bigger picture.

    Speakers
    Carver Amazing Fronts
    CS400i Center
    RT800i's Rears
    Sub Paradigm Servo 15

    Electronics
    Conrad Johnson PV-5 pre-amp
    Parasound Halo A23
    Pioneer 84TXSi AVR
    Pioneer 79Avi DVD
    Sony CX400 CD changer
    Panasonic 42-PX60U Plasma
    WMC Win7 32bit HD DVR


    · Share on FacebookShare on Twitter
  • cmy330go
    cmy330go Posts: 2,341
    edited June 2008
    Jstas wrote: »
    Yeah, sure, wait until GT5 hits the shelves in all it's glory. Sony will turn around over night.

    That may be true, but IMHO GT can't hold a candle to Forza. GT my have arguably better graphics and artwork, but for driving feel nothing beats Forza in the console world.

    Now PC is another story.
    HT
    Mits WD-65737, DirecTV, Oppo DV-970HD, XBOX ONE, Yamaha RX-A1030, Parasound Halo A23, Rotel RB-985, Music Hall MMF-7, Parasound PPH-100, LSi-15, LSi-C, LSi-FX, LSi-7, PSW-1000, Monster HTS2600

    2 CH
    Parasound Halo P3, Parasound Halo A21, Sutherland Ph.D, VPI Classic 3 w/ 3D arm & Soundsmith Aida Cartridge, Arcam CD72T, B&W 802 S3, Monster HTS2500,
    · Share on FacebookShare on Twitter
  • obieone
    obieone Posts: 5,077
    edited June 2008
    Good! That's what they get for introducing SACD, then NOT supporting it! F*(kers!
    I refuse to argue with idiots, because people can't tell the DIFFERENCE!
    · Share on FacebookShare on Twitter
  • mrbigbluelight
    mrbigbluelight Posts: 9,846
    edited June 2008
    "Sony has lost over $3 billion on the PS3"



    Dam, that's like $138 Canadian !
    Sal Palooza
    · Share on FacebookShare on Twitter
  • lomic
    lomic Posts: 407
    edited June 2008
    I'm wondering if Sony and Microsoft might take out some of their "value add" features which can make their systems an attractive platform for non-gamers.

    For example, both devices, especially Xbox, have digital media receiver capabilities. If someone buys an Xbox or PS3 just to stream media to their TV and not play games, these companies are losing money with no hope of future compensation through software sales.

    Sometimes I wonder if this is why Xbox is so insanely loud in terms of fan and DVD tray noise - to discourage use for purely home theater applications. PS3 is better, but still loud enough that I'm sure some HT purists wouldn't consider using it as a Blu-Ray player due to its increased noise level over a dedicated player.
    Dodd Audio ELP [ Tubes ] // Harman Kardon AVR330 // Parasound HCA-1203A // Denon DVD-2900
    Polk Audio LSi9, LSiC, LSi 7 // HSU STF-2 // Signal Cable Interconnects (SG BW/A2/MP)
    · Share on FacebookShare on Twitter