Train wreck said:
MoHasanie said:
Wow, that's great! Why do articles keep mentioning the PS4's release as something good for Sony? It will just bring down the gaming divisions already small profits.
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Because how much a company makes it not the end all be all, sales are just important. Look at apple, they are earning record profits but their stock is down 40% because of slowing sales and margins. Sony is projecting an increase of some 7 billion dollars in sales for next year on the back of the PS4 and cell phones.
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But investors at Apple are worried that with increasing competition, Apple's sales will decrease and profits will fall. Also, Apple's shareholders think that other than the Ipad and Iphone, Apple doesn't have any other big products and if the sales of those products fall substantially then Apple will suffer a lot.
Also to shareholders, profits are their main concern. And, the gaming division is not even a significant contributor to Sony's profits so I still don't get why it is important enough to mention the PS4 in nearly every article.