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Tridrakious on 20 December 2011
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ithis said:
Tridrakious said:
ithis said:
Tridrakious said:


Sony better have a stronger plan than a another price drop. They just cut the price down $50 this year. Even a $25 price drop wouldn't do much and Sony would be getting crushed by the RED numbers in the gaming division again.

Profit needs to be the focus for this division. Vita is already going to be selling at the loss/break even point. Sony needs to have a 16gb memory card sold for every Wi-Fi model to break even there. If any of the memory cards get sold to a customer who buys the 3G model, Sony will profit. But cutting the price of the PS3 would be a bad move.

Jack Tretton can't lead the PS3 to victory. SCE Japan and SCE Europe need to crush the 360 next year. There must be a plan in place to hold off the 360 without a price cut.

I'm curious of where you get that information from?

 

Sony Computer Entertainment president Kazuo Hirai wants PlayStation Vita to turn a profit within the next three years, reportsReuters.

He also said he expects sales of the company’s new handheld to outsell the PSP.

Jack Tretton, president of SCEA, has said PlayStation Vita will arrive in Japan this year, though other regions may have to wait until next year.

PlayStation Vita will retail for YEN 24,980 in Japan and $249.99 in the US.

http://www.mcvuk.com/news/read/e3-2011-sce-wants-vita-profit-in-three-years/03372

 

With the wi-fi only edition coming in at $249, Sony's PSP successor will compete directly on the shop shelves with both 3DS and iPod touch, but said price point also means the company will sell each device at a loss.

The revelation was made by SCE CEO Kaz Hirai in an interview with Reuters, with turning a profit on the device within its first three years a prime target for the company.

 

http://www.pocketgamer.biz/r/PG.Biz/PlayStation+Vita/news.asp?c=30520

 

Sony has packed quite a bit of game into PlayStation Vita. And they're selling it for ¥24,980,

Not surprisingly, Sony will be incurring a loss on Vita sales. In an interview with Reuters, Sony consumer products head Kaz Hirai said that the company expects to begin making a profit on the hardware within three years.

Hirai also said that he hopes to make Vita sell more units than the PSP. Coinciding with the Vita name and price announcement at Sony's pre E3 press conference earlier today, Sony revealed that PSP has shipped 70 million units.

http://andriasang.com/comw7e/vita_loss/

Does the above (one article in japanese, not 3 as it may appear to be) mean that Sony will sell the device at a loss for 3 years before selling int for a profit, or that they hope that in 3 years it will pay for the initial investment and then will start to make money?

How about the memory card speculation? Where does that come from?

Looking at the system the way it stands today will make a profit in 3 years on its own. Without reducing components down, less power consuming processors, etc. This isn't including acc. sales, game sales, dlc purchases, digital purchases (overall), etc. Of course this will be hard to do if Sony cuts the price to soon.

The memory card thing is just my own speculation after looking at the memory prices, comparing them to USB flash drives, SD Cards and even Memory Sticks. Vita Memory cards should not cost more than what is already out on the store shelves. Yet they are incredibly expensive to buy. So I was just going off of common knowledge of what's here now and what Vita is bringing to the aging memory table.