How are Sony losing so much money on gaming?

[GreyianStorm]

RolStoppable said:

Dogswithguns said:
How do we even know for sure if they're losing money? they might be and have been making tons of money since the very beginning of the PS3 first out....

Financial statements. They tell us that the PlayStation family as a whole (PS2, PS3, PSP) has made a loss in excess of $4 billion since the PS3 launched.

Yeah, I assume that Sony can't just lie and pretend to be making a loss if they are actually making billions of dollars in the gaming division. I've heard of companies hiding losses, but I don't think I've ever heard of a company that is making profit pretending to be at a stage that would destroy most other companies.