Cnet: How Sony is Killing the PS3

[theRepublic]

Kyros said:

That is very important since Nintendo is all about gaming, but Sony has other divisions to fall back on in case they do make a mistake.

Exactly. Not subsidizing their consoles is no virtue or something that somehow makes their consoles more successful, but a necessity. Nintendo also could do this because they have some incredibly successful software titles so they always have a core of customers and games. If other manufacturer like Sega loose a generation they totally loose developer support and die.

Agreed.  Nintendo HAD to make a profit, and Sony could afford to be more risky, and it paid off big in the last few generations.  Unfortunately for Sony, it didn't work so well this generation, so now they need to focus more on profit than marketshare.