How is Sony Doing This?(game announcement, after game announcement)

[NJ5]

makingmusic476 said:

 

Why would they start closing studios when the studios are one of the more profitable parts of SCE? Out of their internal projects, only the NBA series probably lost money.

This is the same stuff people were saying at the end of last year. SCE would be hit majorly by the redivisions, studios would be shut down, etc., but it never happened.

And your condescending tone isn't appreciated.

Btw, MS didn't close Ensemble Studios because they weren't profitable. The Age series has sold over 20 million units lifetime, and Halo Wars is already the best selling console RTS ever. Ensemble was closed because they focused primarily on a market that MS was straying away from.

In fairness to TheTruthProphet, he did say "closing/merging" studios. Surely many of the studios are profitable, but perhaps they could be more profitable with some cuts or merging. By the way it's probably not just the NBA series losing money, I wouldn't be surprised if Home is a money sink too (even with the revenue from micro-transactions).

Lastly we shouldn't forget what Sony themselves said about their restructuring:

The changes, effective April 1, 2009, will fundamentally reorganize the company’s electronics and game businesses to improve profitability and strengthen competitiveness in the midst of the continued global economic crisis. They will also accelerate the production of innovative networked products and services by strategically integrating these two business groups.

http://news.sel.sony.com/en/press_room/corporate_news/release/39674.html