It's an interesting one, if Sony ever did drop out the console war, although I've always been a PS3 fan I'd sort of be excited. The HD console type market doesn't need 2 competitors, and it's ultimately holding back the potential quality of software. That is most likely a discussion for another thread.
I don't think Sony are in as much trouble as the media might like to suggest. They're just too big of a company, and even when they're in trouble, there are alot of 'get out clauses' for companies on this scale, normally splitting the company up into seperate companies. I'm no econmoist so I've no idea how it works but I've watched some convincing TV programs about historical examples or something.
Anyway enough rambling, I don't think any of SCE which is really touchable is unprofitable. I don't think any of the software studio's are costing them more then they make (Except maybe ICO), if they wanted to make SCE profitable it'd involve a... PS3 price raise?
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