EdHieron said:
osed125 said:
EdHieron said:
osed125 said:
EdHieron said:
osed125 said:
EdHieron said:
Vinniegambini said:
If Sony follows the same business model as they did with PS3, losing over 4.5 billion $, they will be bankrupt within 2 years.
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So, if Sony releases a console that's outselling the competitors every week week at the end of next gen, they'll be bankrupt? That doesn't make much sense.
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You're ignoring the billions Sony lost during the first half of the gen. Sony hasn't recovered from that (and probably never will).
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But they're number 1 now. Don't you think MS and Nintendo would like to switch places?
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Business wise it doesn't matter how many consoles you sell, if you aren't making profit out of it (or even break even) the console is a failure.
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Yesterday at CES Kaz said the PS3 is profitable.
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That doesn't mean they have recover for all the billions lost at the beginning of the gen. If the console keeps selling Sony might recover all their losses, but considering how much it was (I'm probably dead wrong on this but I think it was something like 2-3 billion dollars) I highly doubt it will happen unless they have a PS2 like of success next gen.
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Of course the PS3 (which will be selling steadily into next gen with price cuts and continued support will help to recoup some of those those losses) isn't the only product they've got. They often announced that they were bringing back Walkman yesterday and that was always a highly profitable gadget. Sony's not in the dire straits many want to think that they are.
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Unfortunately Sony's gaming division is their most profitable at the moment....and that's still not enough to recover their losses.
