let's not forget that this victory is not only caused by losing money in the console business, but if the PS3 fails to really get off the ground and start pulling huge numbers, then the Playstation brand will be severely wounded. The Playstation brand is one of Sony's most successful brands, it has made them billions and has kept them very profitable during times when other products have been less successful. Remember what happened to the Walkman, it used to be the brand for portable music players, but one successful competitor has completely destroyed the name and it's now just a niche player. The same thing could happen to Playstation if Sony aren't careful.
If Sony loses a couple of billion dollars on the PS3 in order to dominate the Hi Def format, then that's ok. But if they lose one of their most successful brands then it is most definitely not worth it.
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