Interesting Article about Sony (and VGCharts sighting)

[HappySqurriel]

gebx said:

whatever said:

HappySqurriel said:

gamerman1 said:
I wonder how much money Sony makes on each Blu-ray disc sold? Any ideas?

Not much ...

I would suspect that licencing fees on Blu-Ray would be similar to those on DVD which would probably be (something like) $1 or $2 per disc and $10 per player/recorder; on top of this Sony doesn't fully own the format so these revinues would be split across all stakeholders in the format and Sony would probably end up with less than $0.50 per disc sold.

Sony's lost revinues from the PS3 will not be recovered in their gained revinues from Blu-Ray.

 If this were true, then I doubt there would be such a format battle.  Everyone would have agreed on a single next gen DVD format and things would be alot farther along by now.  I would have to think there is alot more money at stake than you seem to think.

I think Sony actually owns Blu-Ray.. they invented the product.

http://www.sony.net/SonyInfo/CorporateInfo/History/sonyhistory-l.html see 2003

Also if Blu Ray becomes the dominant format then it will produced in the BILLIONS! So even if Sony only makes $1 on each disc they'll be making a ton of cash.

 

Much like videogames, I don't think licencing is where the real money is made on a format; the billions of dollars they put into research, development and maketing a format would (potentially) eat up most of the licencing revinues.

Where Sony intends to make their money is selling you content you already own, how many people own movies that were produced by the following companies:

Columbia Pictures
TriStar Pictures
Sony Pictures Classics
Screen Gems
Triumph Films
Destination Films
Jim Henson Pictures
Sony Pictures Animation

If you move up to a new format odds are pretty good that you'll end up owning some of the same movies in the new format ... Disney has made Billions off of the concept that people will re-buy something they already own and everyone is copying them; simply consider how many people will end up having owned Star Wars 4-6 originally on VHS and then in a boxed set, The Special Edition on VHS, The Special Edition on DVD, The non-butchered edition on DVD, the Special edition on Blu-Ray and the non-butchered edition on Blu-Ray and how much money that represents to 20th century fox