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thx1139 said:
Solid_Snake4RD said:
thx1139 said:
Solid_Snake4RD said:
thx1139 said:
slowmo said:

Why did this discussion turn into a debate over profits?  The thread is about whether the PS3 will overtake the 360 so I don't see the relevance of which company makes more money personally unless you're discussing current financials which could effect future pricing.

Profit has to come into the discussion.

It is simple really will Sony be willing to sell the PS3 at a loss the remainder of this generation to catch the 360?  I for one believe Sony is now at a place where profit is more important than making thier fans happy by trying to beat the 360.

Think of it this way. If come this fall Sony sees that they will sell 13 million this fiscal year will they cut price $50 so they can reach the 15 million goal and lose like $50 per console on about 7 million consoles.

" lose like $50 per console on about 7 million consoles."

how will they lose $50 on million??????

Dont know what you are asking.  They are basically breaking even on the PS3 right now. So a $50 price cut to boost sales from 13 to 15 million causes additional losses for the sake of 2 million extra console sales.  The reason I say 7 million is because to sell the additional 2 million consoles they will need to make the price change before the holiday sales period. I guestimated that from that time (say Nov 1) through March 31 2011 they would sell 7 million consoles at $250 rather than 5 million at $300.

we don't know if they are breaking even.

stop bullshting trying to make people believe that PS3 just doesn't make profit

SONY CFO at FY09-10 FINANCIAL REPORT MEETING said PS3 started making profit in USA under$10 in  JAN-MAR period

in may they induced  the RSX 40nm which will make more profit.

don't forget that in JAPAN they were already making profit as they sell for $340 there.

even in Europe they were selling at a higher cost.

 

even after this if you think they are just breaking even,then you have gone bonkers.

 

and for your info if they do a $50 PRICE-CUT it will do alot more than just 2m PS3's

now if they are already getting 15m projected PS3 sales without a price cut then they will not make it but if the impact of 360 doesn't allow it then they will.

i think by the above mentioned cost cuts and profits SONY is making,if they cut the price by $50 they will be  losing a minor amoutn and not full $50 as you say.

now that minor loss can be made by Software sales like it was done when PS3 SLIM was released and Software sales were making the minor loss on PS3 SLIM's

and don't forget the profits they would make on bundles,250gb ones which alot of people will buy once that gets down to $299 and accesaries.

 

once more thing,32nm  is incoming by the end of this year and other hardware costs keep decreasing as time goes.

 

 

NOW EVEN after all this you think that PS3 will just continue to lose then what can i say.I can't treat a patient like you

Doesnt jive with what Sony said last month

"This year is the first time that we are able to cover the cost of the PlayStation 3," Shuhei Yoshida, president of Sony's Worldwide Studios, told IGN. "We aren't making huge money from hardware, but we aren't bleeding like we used to."

http://gameinformer.com/b/news/archive/2010/06/29/ps3-making-money-no-price-cuts.aspx

how does that jive with anything.

it depends on their expectations what huge money is for them