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Gilgamesh said:

So correct me if I'm wrong, but Sony is not making very much profit off each PS4.

If they profited $230 million in gaming, and you factor in the profit from PSVita/PS3/PS4 and other stuff (online) it's really not that much. Let's say it was only the PS4 that they were selling and it did 6.4 million, that's only about a $36 profit off each PS4, yet surely by now they're making a decent profit off the PS3. So if your now counting everything else gaming that profit number has to be really low. 

Either they're not profiting much or a good chunk of they're money is going somewhere in gaming, maybe making game, R&D??


Id say they are investing a lot in r&d,  advertising plus game development