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drkohler said:
pezus said:
Baalzamon said:
Just want to make sure people know how accounting works regarding ps+ as well. When sony sells a $50 subscription, only the amount earned is recorded as revenue. So if a 50 dollar sub is sold on December 1st, only $4 is recorded as revenue...the rest is actually a liability. The increased revenues will stay up whether people bought a 3 month or a 12 month subscription.

That's the first time I've heard that. Are you sure about that? And why would they do it like that, when it's essentially a one-time fee just like a game?

Hold on for a minute: You actually understood that gibberish? For me it sounded like if I get $50, I only get $4 and the rest I actually own to ??

I believe what he means is that when Sony gets $50 for a 12 month PS+ subscription they only account the part of the 12 months as revenue that have already passed, the rest is accounted as a liability since Sony haven't completed their part of the deal and provided a working online network for those coming months yet.

So as an example when someone get a 12 month PS+ subscription on December 1st and the quarter ends on December 31st, only 1/12th of the $50 is actually accounted as revenue, because Sony has only fulfilled 1/12th of its part of the deal. The rest is accounted as a liability cause they still own the person 11 months of PS+.

In the coming quarter Sony then accounts the next 3/12th of the $50 as revenue and so and so, until the 12 month contract is completed.

I guess that is what he had in mind, that being said I have no idea if this is really how it's done with PS+ or Xbox live.