mutantsushi on 25 May 2016
I don't think they have much R&D to recoup on the hardware side.
I think this is more to do with the software side of things, and that early 1st party games/ paid exclusives
probably had a hard time recouping their development costs with early PS4 install base...
Similiar issue with PSN, pointed out by the comment on PSN profitability improving.
