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Squilliam on 28 November 2010
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thismeintiel said:
Squilliam said:
thismeintiel said:

You have to remember, though, they are going by consoles shipped.  And according to last quarter's financial reports, the PS3 was only behind by 3 million units.  This means that it closed the gap by ~ 5 million units in a little over a year.  I think the PS3 will definitely out sell the 360 by the end of next year, especially with its inevitable price cut next year of $50 or $100.

The two bolded points don't make sense. You claim to have read the financial reports and yet you claim it is inevitable that Sony would cut the price on the PS3? IIRC Microsoft EDD made more money in the last quarter than SCE has made in all profitable quarters combined since the PS3 released.

I know this response is kinda late, but oh well. 

I don't get your point.  So what if MS is making more?  Why would Sony make their decisions based on how much MS is making?  They are going to drop the PS3's price next year because it will be time to.  The PS3 has continued to drop in manufacturing cost.  So around this time next year, Sony will definitely still be making a profit if they cut to $249, the price I'm guessing they will most likely drop to.  So that's profit from every console, regardless of how little.  Plus, extra money pouring in from new game and Blu-ray movie sales.

The whole point in releasing a product like the PS3 is to make money. Sony may or may not continue their market share at all reasonable costs mantra by continuing to offer lower priced products. Whether they would make a little profit anyway from cutting the price yet again is beside the point. Theres no point in making a console if they cannot make money from it and they certainly cannot justify releasing a PS4 with even higher development costs on the console end if they cannot turn a reasonable profit.



Tease.