The race to 45nm... PS3 vs. 360

[rocketpig]

SlorgNet said:

rocketpig said:

It unquestionably puts to bed that rumor the Sony was breaking even on the 40GB PS3. It's obvious that they still have a ways to go because both the PS2 and PSP are still offsetting PS3 losses (and at that, still not making it into the black for the games division).

Oh, they're breaking even on the 40GB hardware, no question, the reason for the losses is software - the PS2 is selling fine, but software sales have tailed off, while the PSP has only 30 million units, which is a limited market. Sony's studios are gearing up for major releases to come, is all.

One of Microsoft's major problems is they don't have the studio network of Sony or Nintendo. Something they need to work on...

If they're breaking even on the 40GB, how do you explain those kind of losses? Because, if you truly believe they're breaking even on the unit, that means they're profiting from the 80GB, which would offset some of those software problems.

Add in that you know they're making money on the PS2 and PSP (especially the strong software for PSP in the last 5 months) and your numbers don't compute. They're either breaking even on everything or profiting... Yet they turn a somewhat significant loss for the quarter. That can't all be chalked up to advertising and overhead, which is at its lowest the first quarter of the year.