All I'm saying is you don't know any more than investors what Sony will be making years from now. If you're so good at predicting future profits, then you should become an investment banker because you will be a billionaire. You can prove us all wrong.

i am actually into finance,third year

the point is the normal investor doesn't look at the plans and strategy of the company

they just invest depending upon how good the company is doing that time and how much profit they can make

and since SONY hasn't done well as they are making loss for the future from the last two years,investment has gone down

if SONY wasn't makign loss and making big profits,people would invest but  SONY then wouldn't have future sources of income so then they will struggle later on and the valuation will go down later on

so when the future plans that SONY was planing from starts delivering profits,people will invest again

so the market valuation is just based on how the company is doing well that time

SONY is trying to create future sources of income so that they don't collapse later on by making  some loss currently

I don't even know if blu-ray will bring in huge profits like you think it will. Blu-ray could bring in a lot of profit, but that profit could be divided amongst many companies.

yes it will be divided but SONY has the biggest share

they didn't just lose $7billion and damaged their biggest brand for nothing

Sony doesn't own the blu-ray format after all. Has any format delivered huge profits? It might be a good source of steady income but it may not make Sony a world beater.

alot of formats have delivered huge profits

CD,DVD,VHS,etc

companies don't fight every few years over nothing

and it isn't just some allownce like you are talking about,they have big profits

every player and disc manufactured gives them income

Sony doesn't actually have the biggest share of Blu-ray royalties, but they're in the top 4 takers.  Panasonic has the largest take iirc, with Pioneer and Warner making up the rest of the top 4.  There are over 20 companies who are involved the the Blu-ray royalty structure though (including Toshiba and Microsoft btw), and because of that (and other factors, like the rise of digital/mobile media) analysts have said that BD royalties will be less lucrative than DVD was.