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Legend11 said:

Sony is apparently raising $2.9 billion that could be used for a price cut. I think it would have to be a global one since having a second price cut in the U.S. would likely cause a lot of resentment in other regions.

source: http://www.gamesindustry.biz/content_page.php?aid=28321

I don't think so. If it was true, does this make sense?

 - sell of part of your company
 - use this money to drop the price of your consumer goods
 - drop of price leads to further losses, as total loss ($cost loss/console x #consoles sold) goes through the roof

Seems like a great way to sink a large company IMO. 

...

In reality, Sony need money. They have almost exhausted their lending options, so selling off a non-essential part of the company is the easiest way for them to raise working capital. Its also a good way to reduce long-term profits.

If I was a Sony investor, I would be getting very nervous around now.

 



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