Kaz Hirai Isn't Sure How Long The XBOX 360 cycle is...

[Linkzmax]

HappySqurriel said:

Dno said:

HappySqurriel said:

quimicomortal said:

HA. If you have to make two consoles to compete against one, no matter the final numbers, adding cost of production and marketing you have already lost.

And you can put Wii an twice the sales of the gamecube and still be swept agaisnt the sales of PS2 (unlike gamecube, still selling and still getting games).

Obviously you have still to recover from las gen olympical defeat against PS2.

 

I'm not sure I understood anything you said in your post ...

The fact is that the PS3 and PSP erased all profit made by Sony with the Playstation and PS2 (and the Wii, Gamecube, and N64 were all amazingly profitable even though they were the trailing console) so it really depends on which two consoles you add together if it will be a losing or wining combination.

The one thing that Kaz Hirai doesn't seem to understand is every leading console has had a long life, and no trailing console has ever seen long term third party support

thats not true i want a link.. it erased all the profits sony made off the ps2 hardware not software. this is incorrect intill i see a link.

And the psp was very proftable last i heard.

 

Someone (BengaBenga or Sqrl I think) created a post awhile back that added up all of Sony's Game Division's profits from 1996 through 2007 and the losses from the PS3 erased all profits gained by the Playstation and PS2 ...

Now, the PSP hardware may turn a profit when sold but that wasn't always the case (and it had huge R&D costs before it was released) and its software sales are amazingly awful ... When you factor in marketing costs, I highly doubt Sony has turned a profit on the PSP.

 

You may be thinking of http://www.vgchartz.com/forum/thread.php?id=16119 by bbsin.  And it shows that they haven't erased all profits from both generations. Information on losses for the 2008 fiscal year can be found here http://www.sony.net/SonyInfo/IR/financial/fr/07q4_sony.pdf

From 1996-2000(Pre-PS2) $3,117,826,000 profit
From 2001-2006(Pre-PS3) $2,282,000,000 profit
2007&2008 $3,213,644,000 loss

So they've wiped out all the profit from either generation, but the Game Division is looking to break even this fiscal year(ending Mar '09) and in future years SHOULD be profitable.  Though with increased costs all around this generation and few sources for increased revenue it's unlikely that this generation will be profitable overall.