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tuoyo said:

That's what I never get when Sony fans keep on going on about Blu Ray will recoup the money lost on PS3.  If movie royalties were so amazing then Toshiba would be sitting on the biggest gold mine in the history of mankind given how successful DVD has been.

 

 

Indeed, while the sales of movies are huge, the money is split amongst a lot of different parties. In addition, the margins are much thinner. With video game sales, the money is only split between a very few parties and the margins are much better.

This makes it unclear if a tradeoff between video game and blu-ray market share was worth it. I'm not saying either way, just with the available data one cannot make that assumption.