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invetedlotus123 on 19 November 2009
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Bitmap Frogs said:
invetedlotus123 said:
Bitmap Frogs said:
You know, this will be the xbox's third profitable year.

Considering the ps3 launched a year later, it should be sce's second profitable year. Yet it will not be and they aren't that sure next one will be profitable neither.

Which begs that the relevant question is: why is Sony still in the gaming market if they aren't profiting from it anymore?

Well, PSP still pretty profitable. And PS3 was there not to win the generation, but to make blu-ray win the format war. Sony will make up all the loses they had with ps3 with BD dominance and HDTV rise in sales duo that. And they probably release a ps4 to win the next gen, they learned with all their mistakes and i hope they make a profitable system since first day like Wii was.

 

PSP might be profitable, but the overall losses from the ps3 are overpowering it, and have been for several years. As a whole SCE isn't making a profit yet since this fiscal year will be negative. On the HDTV front they are having problems as well, considering the Korean competitors are kicking ass at the moment. Blu-ray royalties so far still aren't doing much for the company since as a whole Sony still is posting a loss (in fact one can argue that the extreme discounts on royalties given to the Hollywood majors in exchange for their support to Blu-ray has heavily hit the expected royalty return). Anyways the fact Blu-ray is already stablished is a strong demotivator: since the war is won, why do they still need the ps3 promoting the format.

So, again: they are losing money on gaming, have been losing money on gaming for several years and the end is nowhere in sight. 

The pertinent question is why is Sony still on the gaming business?

Well, you got me there. Another theory about ps3 is that they made this console so expensive and ahead of it's time to guarantee the ps4. PS4 using an enhanced architecture of actual ps3 would make the console pretty cheap to make and easy to develop, since if you know how to develop to ps3 you are able to develop for ps4 if they use near the same architecture. PS4 destiny is to be more than what ps2 was, and to be so profitable that it will make up the loses of ps3 and have huge profit. This are one of the theories that can added to the BD and HDTV to justify the ps3 and sony in gaming market.