How did Sony turn the PS3 around but Nintendo couldn't do the same with Wii U?

[Chazore]

JWeinCom said:

Ruler said:

RealGamingExpert said:

This should show it quite well

Sony pretty much threw away their money during the PS3 era. Microsoft is even more interesting.

 

yeah but sony and ms have bigger revenue in total. If i make 100$ revenue and113$ loses every year while you make 10$ revnue and 8$ loses who has more flexebility here?

Ummm... I have more flexibility.  Because I have 2 dollars.  You meanwhile owe someone 13 dollars, and eventurally they're going to want it back.  

There are circumstances where it is worth taking a short term hit in profit for the sake of revenue, and debt is not always the worst thing in the world, but losing money does not make you more flexible or healthy as a company.

That's what I don't get about people spinning Sony's financial history, it's objectively better to make money with little to no loss at all than it is to make huge losses and make some money on the side, Sony lost a lot last gen with the PS3, the chart above even shows and people will still try to spin it as being perfectly fine and healthy, it's really not healthy considering the other sectors Sony now has to shed that aren't making them a profit, I could imagine if MS hadn't fucked up and Sony didn't make a decent PS4 it would have cost Sony even more this gen.

I think if anything it's more important long term for Nintendo to win the war and not a single battle, they managed this even with the GC being of higher quality yet selling not as well as the PS2 but they weren't exactly selling at a major loss like Sony was with the PS3.