Erik Aston on 22 January 2009
| WiiStation360 said: Past XBox losses are meaningless. The only thing that matters is current and future profits. It is not like they have a debt for the losses that they have to pay back. The same is true for Sony. If PS3 starts making a profit, past losses will be meaningless. That money is already gone. |
Largely this is true, but not entirely. Sony and MS still have to make changes to their structure and business model so that the cost of launching a new generation is not so high. Losing 3 billion in 2 years, and then making back 2 billion over the next 4 is not a good business model, even if in 4 of 6 years you can say "the losses are in the past."
"[Our former customers] are unable to find software which they WANT to play."
"The way to solve this problem lies in how to communicate what kind of games [they CAN play]."
Satoru Iwata, Nintendo President. Only slightly paraphrased.
