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Sales Discussion - WW up - View Post

Euphoria14 said:
BenVTrigger said:
Euphoria14 said:

BenVTrigger said:

Yes, just started.  They didn't start making profit till the 3rd quarter of last year.  You are aware that the PS3 is currently the biggest loss of revenue at launch of any system correct?  Even more than the original Xbox was to MS.

Given the fact Sony themselves JUST said last week its more important for them to focus on revenue than outselling MS I think its pretty obvious there will be no price cut.  They are still so far negative in terms of re-couping PS3's losses it just financially would be a huge mistake to cut price.

Sorry to hop into your discussion but I have been wondering this for a while.

Why does everyone just point out that that PS3 has these major losses even though the reason for that is due to Bluray?

How much of that revenue loss has been made up due to increase BluRay penetration?


What?

Bluray had nothing to do with PS3 losses at all other than being part of the reason why it was so expensive along with the Cell.  The two division don't overlap at all so increased Bluray sales won't cover losses in the Playstation division, they're handled seperate.

Not to mention PSN has been posting losses every single year, and they say this year will be the first it does ever post a profit.  MS and Nintendo have both not cut price in 2 years and both systems sell at a profit and have for a long time now.  The PS3 JUST started selling for a profit and already has had more price cut's than the other two systems.  Now finally when they start earning their money back they are gonna cut price and lose all that revenue?  It just makes no financial sense at all and I don't see why people think Sony are gonna run around and cut price every single year. 

BluRay had to do with why PS3 was so expensive. The high price tag is why it lost so much money early on.

It was added to act as a trojan horse to help Bluray win the format war.

 

So while you're right that increased BD sales do not show up in the gaming divisions financials, you must remember that SCE isn't all of SONY. They took a hit in one place to benefit another.

I think my argument is totally fair considering people claim that BluRay won the war because of it's inclusion inside the PS3.

People like to forget everything. Blu-ray was the main reason PS3 was expensive, you are 100% right.

Even now, its the most expensive console to make because of blu-ray.

I think its going to definitely get a price cut this year because of the line-up. A price cut this year would do more for both their games and their console sales, than a price-cut next year.

This is a golden chance, even if they take a hit of something like $10 with every PS3 they will cut the price this year 100%.