| SMcc1887 said: The measures will Be good for the long term future of the company and will be good as they will help get the company through the Economic Crisis, however minimal the impact may Be |
The analysts are saying that 16,000 job cuts won't be enough for Sony and that Sony needs to make a profitable area. Since games won't be consistently profitable anytime soon, that leaves Sony in a very tough position.
No, I'm not. You are inferring something from my post that was nowhere in the post.
First, if consoles stop selling developers stop making games for them. Period. That's what happens. If devs stop making games, people shift to other consoles and your game sales will fall.
Secondly, the companies who expected the PS3 to get, say, 40 million by the end of the generation who are half way through a game development cycle now would be totally screwed. Do you disagree with me?
Thirdly, the size of an install base is not the sole determining factor of what kinds of games a platform can support. There are other considerations such as the cost of development, the current attach ratios, etc.
If Sony canceled the PS3 it would be absolutely devistating for the future profitability of the entertainment division. The Playstation brand kept Sony profitable for years and it was their great victory of the 90's. Now it is their great defeat.
WoW is a bigger undertaking than PSN by far and it has cost less than 200 million to run since launch. That's less than 50 million per year. PSN probably costs less than half that. The equivalent of putting a $25 price drop on hardware a year earlier than planned.
