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Jexy said:

I'm not too knowledgable on hand helds, but they seem to be more profitable with the device itself... did Sony lose a ton with just the handhelds as well?  Also, 10 years ago was after the PS1 age, so if that incurred any losses, this 5 billion loss wouldn't include that.  Either way, I can't imagine just the PSP and the Vita lost MORE than 5 billion, so the PlayStation 2 and 3 must have never made money either.  And given how much more money goes into the consoles, I gotta imagine Sony lost the majority of their money with the consoles. 

Regardless... Sony can't handle billions of dollars in losses.  They don't make any money, they are in debt.  Microsoft on the other hand, makes more and more money every quarter/year it seems.  For them, I think, Xbox is just something to hook people into the Microsoft world so they end up getting a phone or surface or office, or the cloud later on.  It's just advertising for them.  But still, they can afford it and Sony and Nintento are both going downhill fast economically.

Yeah, Sony needs to cut the fat, starting with their mobile division. Thankfully, the PS4 hardware is already making a profit in itself, so at least Sony doesn't have to worry too much from its Playstation division. If Sony just keeps their divisions that make money, then they should do fine. The problem is that Sony gets too attached to certains things like television during the PS3 days and now, smartphones.