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Forums - Sony Discussion - PS3 Hardware Profitable

Solid_Snake4RD on 06 July 2010
Kynes said:
Solid_Snake4RD said:
kowenicki said:

Can I just re-iterate what was said VERY recently by the Sony Financial officer... it really renders the whole thing mute.  Its up in the air.  They havent factored in the collapsing Euro so their end results will be hit if things stay as they are... as they look likely to.

from a recent Reuters report (mid may 2010)

"If the Greek crisis spreads and the European economy stalls, that would have a big impact," Sony Chief Financial Officer Nobuyuki Oneda told a news conference.

 

"If you ask me if Greece's problems are included in our operating profit forecast, the answer, regrettably, would be 'hardly'. It surfaced as a big problem just a few weeks ago."

remember this is the SONY Chief Financial Officer speaking.... is he lying and a hater too?

yes they haven't factored the collapse of the Euro but they were already making profit and making more on RSX 40nm.Also SONY has bigger profit margins in their European profucts as prices are high.

i am not saying that it won't effect it but you are talking all those margins would just get erased just like that.

IF YOU REALLY THINK SO THEN why not tell me what you think is the price that will affect their margin,by how much????

where did hater come from????????????????????????????????????????????

When you lose >15% in currency exchange, in less than two months, you have problems... Do you really think the profit margin on PS3 is more than a 15%? You have to add that VAT is increasing in several countries, and Sony is losing that margin, too. In Spain 2%, in UK 2.5%... All that is less margin in Europe, it's most profitable market, so if PS3 isn't a 20% cheaper to manufacture than 3 months ago, they have reduced margins/higher losses now than 3 months ago.

 

Please, think a bit before posting. It seems that you only post wishful thinking, without proofs.

the VAT was already added,you are talking as if it wasn't there before.

it gets affected but not to wipe off everything.

it wasn't wishful thinking

SONY already sells at a higher price there,they were already profiting under-$10 at US price so more there.with RSX inclusion more.



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Cross-X on 06 July 2010

Man things are pretty getting out of control witha ll the quoting and replying to others.

Whether or not they're profiting $1 out of the PS3, the fact is that they've now FINALLY started to make a profit out of PS3 and that's a start. Yeh it's 4 years in but it's always better late than never happening.

This is only just the start and it'll only get better for Sony and the PS3 with regards to profitibility.



Kynes on 06 July 2010
Solid_Snake4RD said:
Kynes said:
...

When you lose >15% in currency exchange, in less than two months, you have problems... Do you really think the profit margin on PS3 is more than a 15%? You have to add that VAT is increasing in several countries, and Sony is losing that margin, too. In Spain 2%, in UK 2.5%... All that is less margin in Europe, it's most profitable market, so if PS3 isn't a 20% cheaper to manufacture than 3 months ago, they have reduced margins/higher losses now than 3 months ago.

 

Please, think a bit before posting. It seems that you only post wishful thinking, without proofs.

the VAT was already added,you are talking as if it wasn't there before.

it gets affected but not to wipe off everything.

it wasn't wishful thinking

SONY already sells at a higher price there,they were already profiting under-$10 at US price so more there.with RSX inclusion more.

VAT changed in Spain last 1 of July. It's going to change in UK in January 2011.

I'm going  to ask again. Do you think PS3 had >20% in profit margins in Europe last May? If not, then It's making a loss now, because that's the depreciation in the €/Yen exchange ratio.

 

Yen to € ratio 1 year



Ping_ii on 06 July 2010

LOL

"PS3 now profitable"

Time to move the goal post why PS3 is doomz!!!!

 



Solid_Snake4RD on 06 July 2010
Kynes said:

VAT changed in Spain last 1 of July. It's going to change in UK in January 2011.

thats what i said above that it will get affected

I'm going  to ask again. Do you think PS3 had >20% in profit margins in Europe last May? If not, then It's making a loss now, because that's the depreciation in the €/Yen exchange ratio.

Yen to € ratio 1 year


thats is actually a 12% change from MAY when it was at 125 and now at 110


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BBH on 06 July 2010

Greece doesn't look like it's going to be spreading into EU imo.

By the way is this Gross or Net profit?

I'd say Gross, so Sony are probably breaking even or even making a small loss per console sale. Software should make up for this though.

And does anyone know just how much of Sony's production is done in Japan?



A203D on 06 July 2010
ghinasky said:

Good Move!

Same with the PS2!

But what is 4 years compared to the remaining 6 to 8 or more years to come.

But what makes it different this time around there might be no hackery and piracy!

Sony PlayStation 3 already made history 4 years as the longest running console that is hack & piracy free.

And this fact is a new hope for the video games industry.

Take care of your PS3s its one hell of a gaming fortress!!!

Yeah, i think these first 4 years along with GT5 & FF13 mark the end of a long desperate climb. now i think we're about to see some amazing innovation in the games we play. and hopefully we have at least another 6 or 7 amazing years left to come.

by the way, i doubt it will stay hack free. and on some levels i actully agree with piracy in poorer parts of the world. but i too hope that sony can recoup their losses, and lets hope the best is yet to come!!



Solid_Snake4RD on 06 July 2010
BBH said:

Greece doesn't look like it's going to be spreading into EU imo.

By the way is this Gross or Net profit?

I'd say Gross, so Sony are probably breaking even or even making a small loss per console sale. Software should make up for this though.

And does anyone know just how much of Sony's production is done in Japan?


software sales were already making up for the losses PS3 SLIM was making since its launch