14 Consecutive PS3 Wins over 360!

[jkimball]

starcraft said:

jkimball said:

 

In Microsoft's case the loss is entirely born by the gaming side - there is no other revenue stream to make up for the loss.

In Sony's case they won the hi-def war - they are willing to take loss on every blu-ray player sold. They get a little bit of every blu-ray movie sold. The loss, if any, on the PS3 can be shared by the entertainment and licensing/movie sides. (Toshiba was selling HD-DVD players at$149. They would have made money back by selling HD-DVD movies. )

 

 

 

 Microsoft is attempting to put a media-center in every household, and trying to push the movie market towards downloads.  Thats the only reason they ever backed HD DVD, and it worked.  Blu-Ray player prices came down far quicker than manufacturers wanted, and studios are signing up their content to XBLM and other services in droves.

The distributor makes virtually nothing on downloads. They are the first to be squeezed. The movie indsutry sees what happened with itunes and will never allow any one to control their pricing model like that. A few nickels from movie downloads is nothing compared to the millions from BR revenues. Just to have the right to *print the BR logo* on your discs/players/burners is $15000. Sony gets a piece of that (Add $$ for AACS and BD+) (http://www.blu-raydisc.info/faq.php). 

In short, Microsoft has no idea what they are doing in media markets while Sony owns both a movie studio and record label.  There is no living room revenue stream for Microsoft. There are huge potential streams for Sony in Blu Ray. It is not even close....