z64dan on 17 April 2007
I think you've gotta look at it a couple ways:
The PS3 is steadily increasing, whereas the 360 has been a little stagnant the past couple months. Will it even out with the 360 as better PS3 games come out? Maybe...
The Wii is also steadily increasing, and will probably (in my opinion) outsell both the PS3 and 360 in the long run. Microsoft will continue to make money from their Live service, and Sony will make money from Blu-ray sales. But in the next few years, will they actually break even, and start making a profit? I guess that's the real question.
Nintendo started developing the Wii right after they released the gamecube. Have Microsoft and Sony already started looking into the future? Will they try to out-innovate Nintendo for their next console? Virtual Reality? Motion Sensing? Or will Sony just try to push Blu-ray and Microsoft pushes their Live service? We know that they are atleast researching their next console right now, or major add-ons for their current consoles.
In the past, when sony had tons of profit on the line (betamax, memory sticks) they have failed. Will they fail again, or have they learned their lesson?
Keep in mind that Nintendo has been profitable for the past 30 years, with only a few exceptions. Since about 2003 their profits have gone up and up. They made a 1.0 billion dollars profit this fiscal year (march 06 to march 07). That's like, alot of money (1,000,000,000 dollars). Sony loses $200 per console, and they've sold 3.5 million so far. 200 times 3.5 million = 700 million in Losses. Since they get $2-3 per Blu-ray sale in licensing, they need to sell 233 million blu-ray movies to break even so far. Of course that doesn't take into account game sales, or the Sony movie publishing branch, which probably gets a bigger chunk of profit.
This is all based on fuzzy math, but Sony seems to be digging themselves into a hole that only Blu-ray can get them out of.
