Sony on the brink of corporate upheaval, drastic changes

[Demotruk]

makingmusic476 said:

Demotruk said:

makingmusic476 said:

Demotruk said:

richardhutnik said:

Demotruk said:
My prediction for what Sony will do with SCE:

Keep it. They'll scrap other divisions and sell various intellectual assets for finance but since they wouldn't get a good price for SCE they'll cut their losses. ie. They'll continue to produce the PS3 but won't drop the price unless it's selling at a profit. They'll continue to make software, but more conservatively. Lower budget, lower risk titles. They'll lean on third parties for bigger titles. They will not spend money on R&D for future consoles until they are in a more stable financial position.

Cutting back on your own development, and leaning on third-party, when you are the last place console, is to end up putting yourself even further behind, because you don't have as much of a chance of producing exclusive killer apps.

 

 

The ultimate goal is not to win the console war, but to make money. Sometimes you have to cut your losses.

 

The losses are coming from hardware sales, and not the software produced by Sony's studios.

 

I realize that. That's why they won't be making big risky pushes to sell consoles any more. They won't aim to be the market leader but instead profit from software sales. This means a different kind of software strategy, similar to how Sega changed after dropping their hardware.

 

Outside of MGS4 and GT5P, the "big" software hasn't done much for hardware sales.  However, the software HAS been selling very well, pulling in revenue.  LBP was made by ~37 people in three years.  It is currently at 1.65 million in sales, and will possibly sell over 4 million when all is said and done.  They want more games like that, not less.

 

So what you're saying is that LBP wasn't made on a massive budget, and hence wasn't high risk. So what's your point? There have been high budget high risk games made specifically to make the PS3 more attractive. All I'm saying is that they won't make games for this purpose any more, all games will have profitability as 1st priority. That doesn't mean all big games will stop, but big games will only be made if they're sure sellers.