I think you guys are confusing how "investment" is being used... they're obviously reffering to not utilizing vertical integration...

This doesn't mean they aren't going to be doing a lot of R&D.

Sony can still make the PS4 a notable upgrade without incurring PS3-like losses, it's just a matter of being smart about it. Which is what they tell us they try to be.

i do believe you are right -- and so long as MS follows suit it should work out okay.  I find i'm always satisfied with the currently level of graphics until someone gives me something better than i become a spoiled brat.  i said for quite a while HD was stupid until i got an HD tv, now i can't stand SD.  god i'm a brat.

sounds like they'll take the route Nintendo did from GameCube to the Wii, but i think PS4 will still be a significantly more powerful console then that of the seventh gen but some wht in line with the nextbox and Nintendos Wii3.

they'l still keep churning out big-hitting consoles I believe.

It's kind of their brand image now - a good brand image.

The PS3 does have the perception of being a beast, and much more powerful than the competition. Whether it is or not is debateable, but perceptions are everything.

it was so exciting when the ps3 was announced with all of the features that we never heard of before. i guess its gonna be boring this time around?

I think it is wonderful how you all can see a silver lining in these statements. Personally I would only pay attention to that tornado coming right at me. Someone has to say it so I will. You guys are celebrating mediocrity and inferiority. You have to know that if Sony tries to profit out of the box Microsoft is going to loss lead by a couple hundred dollars. Why would anyone who likes the Playstation brand celebrate the next console not being top of the line, but middle of the pack. My this is just really depressing.

You guys may say these things now, but I know in what high regard most of you hold the almight shiny. When the Next Box shows up like an ungodly beast your going to abandon Sony in two seconds. Be happy for Sony learning from past failures, but please don't act your stoked for getting something less. When you have to know the other guy is going to give you more for the same price.

The Hackers have won. They beat the standards out of most of you guys.

The interval between the PS3 and PS4 launches might be long enough that even a more modest investment in hardware can give a substantial hardware boost.

I also expect them to use more off-the-shelf components rather than another Cell-like extravaganza. This doesn't necessarily mean using a x86 CPU, or even an existing CPU, but at least a CPU based on an existing architecture.

I don't know how they'll be able to pull off backwards compatibility though, unless they use a faster version of the Cell (which would be a mistake IMO).

1) There's a difference between making profit from the start and suffering catastrophic losses. Sony won't achieve profit from the off, that's ridiculous. They hope to make a good overall return on the PS4 - that is all.

2) Sony's brand image is the one of quality, high tech. They have built up that image this gen. If the NGP is any indication they are (rightfully) going to continue with this theme. The PS4 should still pack a punch.

3) Even if MS offer a bit more power, i'm doubtful they will be able to churn out as many quality games as Sony do. So, i would definitely pay a little more for a slightly less powerful console if I knew the games were going to be on it.

4) You need to read the article, emphasis was on semi-conductor investement. Basically, Sony aren't keen to keen develop new technologies for their consoles (so no holographics or nothing lol).

5) C'mon, this is Sony. Their whole brand revolves around being up-market. They aren't for going 'cheap' anytime soon.

Your post was actually, crap.

well xbox was a powerhouse compared to ps2.If anything expect the next xbox to wipe the floor with ps4