Sony downgraded to BBB- by Fitch

[Squilliam]

gamelover2000 said:

Squilliam said:
So now they are at risk of being downgraded to junk status. I don't understand why they cut the price of the PS3 in the context of such losses.

Because the major losses are not related to the PS3.

 

Neither is BBB a junk status.. it's nothing to be proud of but nowadays credit ratings mean very little.. they were never really relevant for anything but countries

I'm sure the continued lack of profitability of their console platform(s) was a factor in the downgrade. How deep is this hole? 4-6 billion? They certainly could have improved their short term profitability had they not cut the price of the PS3. What I don't really understand is their lack of ability to raise demand without cutting the price since the most directly comparable console seems to be outselling and outprofiting them by a considerable margin at the moment without a price cut.