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Forums - Sony Discussion - Sony PS division has lost $4.7 Billion since launching PS3

Grimes on 30 October 2009

Anyone know what the total losses are for the xbox and xbox 360 generations? Combined I think the losses were around $7 billion if I recall. However for a single generation, I think Sony may be the leader now, or maybe caboose would be a better term.



Anyone can guess. It takes no effort to throw out lots of predictions and have some of them be correct. You are not and wiser or better for having your guesses be right. Even a blind man can hit the bullseye.

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Grimes on 30 October 2009
alanshearer said:
puffy said:
Sony as a company have problems and this is simply down to sub par management.


I have to laugh at stuff like this. You havent a clue AT ALL. The year before the financial/currency meltdowns Sony posted record profits. The Yen surging put most major Japanese companies in trouble. It's not rocket science kid.

 

Then you would likewise have to make the same excuse for MS a few years ago when the US dollar was at an all time high.



Anyone can guess. It takes no effort to throw out lots of predictions and have some of them be correct. You are not and wiser or better for having your guesses be right. Even a blind man can hit the bullseye.

scruffybunny on 30 October 2009

Blu-ray won the HD media format war, so Sony will be reaping the rewards aplenty, PS3 did play a role in this, its also part of the reason why they lost so much coin on it.

 

Grimes said:
Anyone know what the total losses are for the xbox and xbox 360 generations? Combined I think the losses were around $7 billion if I recall. However for a single generation, I think Sony may be the leader now, or maybe caboose would be a better term.

I think the peak was 9-10 Bil total.




TRios_Zen on 30 October 2009
scruffybunny said:

Blu-ray won the HD media format war, so Sony will be reaping the rewards aplenty, PS3 did play a role in this, its also part of the reason why they lost so much coin on it.

 

Grimes said:
Anyone know what the total losses are for the xbox and xbox 360 generations? Combined I think the losses were around $7 billion if I recall. However for a single generation, I think Sony may be the leader now, or maybe caboose would be a better term.

I think the peak was 9-10 Bil total.

According to the link in the OP, the total is right around 6 billion total (at peak).  I can't speak to the veracity of that data, but that is what they have listed.

I agree that PS3 played a huge part in the HD Format war; I just wonder about the soundness of the strategy of ransoming so much market share in a business you dominated, to win said format war.



jankazimierz on 30 October 2009

Why is there a thread for this? Its in the news section, this is just redundant. Lock it up!



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thx1139 on 30 October 2009
scruffybunny said:

Blu-ray won the HD media format war, so Sony will be reaping the rewards aplenty, PS3 did play a role in this, its also part of the reason why they lost so much coin on it.

 

Grimes said:
Anyone know what the total losses are for the xbox and xbox 360 generations? Combined I think the losses were around $7 billion if I recall. However for a single generation, I think Sony may be the leader now, or maybe caboose would be a better term.

I think the peak was 9-10 Bil total.


According to the NeoGaf post the initial post referred to MS divisions that house the Xbox and the 360 have lost -$6,532,000,000.  Last 2 years have been profitable and this year MS 1st qtr started off with a $300M profit.  360 division has 3 more quarters to go including the most profitable quarter of the year.  360 division should easily make $1B this fiscal year.



Its libraries that sell systems not a single game.

darthdevidem01 on 30 October 2009
jankazimierz said:
Why is there a thread for this? Its in the news section, this is just redundant. Lock it up!

so that gullible people like you post in this thread saying its redundant & i get more VG$!



All hail the KING, Andrespetmonkey

welshbloke on 30 October 2009

I was suprised when Sony played the New model and price cut both cost money. I see this as a big gamble that only a big increase in software sales can bail them out. Then it could be said that it was a case of "all in".

The jury is out whether the software sales will fill this large cash void it is also questionable how good a business decision it has been to provide a free robust network such as PSN. They have to be kicking themselves when they see all the 360 gamers providing additional revenue in this key area.



W.L.B.B. Member, Portsmouth Branch.

(Welsh(Folk) Living Beyond Borders)

Winner of the 2010 VGC Holiday sales prediction thread with an Average 1.6% accuracy rating. I am indeed awesome.

Kinect as seen by PS3 owners ...if you can pick at it   ...post it ... Did I mention the 360 was black and Shinny? Keeping Sigs obscure since 2007, Passed by the Sig police 5July10.
Cypher1980 on 30 October 2009

This doesnt even take into account the reputed billions of dollars spent researching and developing the PS3 and Blu Ray.



alanshearer on 30 October 2009
Grimes said:
alanshearer said:
puffy said:
Sony as a company have problems and this is simply down to sub par management.


I have to laugh at stuff like this. You havent a clue AT ALL. The year before the financial/currency meltdowns Sony posted record profits. The Yen surging put most major Japanese companies in trouble. It's not rocket science kid.

 

Then you would likewise have to make the same excuse for MS a few years ago when the US dollar was at an all time high.


Erm no. In the space of 8 months it went from 118 Yen to the dollar to 87 Yen to the dollar. A $3billion profit a year earlier suddenly went to a $1billion loss just because of the blistering strength of the Yen. The other divisions within Sony were quite comfortably eating up the ps3's losses and suddenly that was no longer possible. It's also why we didnt see a ps3 pricecut in 2008.