The only division within Sony that has been consistently performing badly has been Bravia. Everything else has been sporatic, but has shown profits in a couple year stints. There needs to be better organization on Sony's part. (example: two years profit, two years loss, two years profit, three years loss, etc.)

Looking at Bravia it is clear the current model is not working. It will never work, something has to give because it is now dragging the rest of the company down. With strengthening their relationship with Google will benefit in the short term, but Sony needs to develop PlayStation Network/Qriocity into an all encompassing digital platform. Something available on every Sony branded product.

PlayStation itself has been generating a profit over the last year and has been performing very favorably for the past two years. While the PS3 will not make back the money it lost at the beginning. Sony has turned the platform around while the generation was still going strongly 2-3 years back. The system has also become a strong platform for software sales as well.

In summary, Sony is just fine. There are major issues that the company currently faces, but that doesn't tie to the PlayStation division anymore. It has been turned around. While the Bravia business has been bleeding large amounts of money for over seven years now.

That is seven consecutive years.

What kind of problems are we referring to? Anyone care to enlighten me?

Video game systems sold during Q2 2011:

Sony: 6.6 million
Microsoft: 2.3 million
Nintendo:5.3 million

Sony isn't loosing market share to anyone

The exact same thing was going through my head when I read the title. XD

aah the 90's when music was good and was about something meaningful. 

i think Sony is fine. restructuring and cutting cost in the division's that make no profit will be key to there survival. PS4 will be there most streamlined console yet and make it more then cost effective as it seems they've learned there lesson, and if they don't start picking up over all divisions then they'll continue to focus on PS3 and try things to boost sells and keep third party on board instead of releasing a new console which i don't believe.

also those employees making over 1m should take a 50% paycut for 2 reason's. 1 for not doing there jobs better. and 2 to save the company some money.

PS3, PS2, and PSP are making Sony profit and don't think for 1 minute they didn't prepare for this. i'd like to know how there music, TV, and movie division's are doing! i'm sure theres profit in in all 3.

i'd go as far as to cut manufacturing in half for the worst division's but thats just me. considering for one there being outsold in the TV area and by far they have the best HD TV's and this is not from some Sony fan. its from his Grandmother. we go to Sam's Club allot and watch and judge which TV is the best. well we make fun of people for anything you can think of aswell and judge everything else we see lol.

long story short they've made billions before they started losing billions so there not down yet. next yr. will likely be there turn around if all goes well. if we can just start getting the euro and $ to turn around then we could see some growth.

hey hows the pound doing? isn't that still the british currency, and whats the UK's currency and hows it doing?every counrty/currency can't be doing that bad right?

yea i agree with this. Sony has money coming from somewhere. theres still there music and movie divisions unless you all know something i don't?

i see there software division up with Vita releasing and the loss on Vita won't be that big so software will cover it, and liklely in in the 3Q 2012 vita will have made a profit pending lower production cost. then again that may take a yr. or the 4Q 2012.

hell what can i say? i think positive about every situation. 

Firstly PS4 will not be a repeat of PS3, Sony will launch PS4 at a profit or break even it will not be the huge graphical leap that PS3 was over PS2. Sony will be sure to make a profit at all costs. In fact Sony is expanding the PlayStation brand for the sole purpose of increasing profits. All these PlayStation phones and tablets are meant to ensure that Sony Computer Entertainment manages to not only get back in the black but remain there.

If PS4 were to fail as badly as PS3 I do not think Sony would abandon PlayStation. Sony has taken consistent losses on their TV division and has done so almost a decade. Yet until recently Sony has remained supportive and kept the television brand around despite it leaking money. I think if PS5 launched and was the third console in a row to bleed money in the fashion PS3 did. Then Sony will consider selling the PlayStation brand. They won't likely dissolve PlayStation they would likely try to sell the brand and or make it independent.

So if Sony bailed which they won't likely due unless both PS4 and PS5 bomb as hard as PS3. Then they will likely go independent splitting PlayStation off from Sony. This would likely call for third parties to invest and save PlayStation by buying large parts of the company. The PlayStation brand would likely continue with other companies at the helm. Much in the way Atari split up prior to its ultimate demise.

Also I don't think Sony minds Microsoft taking market share, Microsoft lost over 2-billion in profits with 360. Sony did indeed lose more but if Microsoft continues to lose so much money it is a game of chicken. Will Microsoft pull out if if they continue these losses or will Sony do so before they have a chance?

I don't think Microsoft will leave the home console market until the fourth generation Xbox. If Nex-Box fails to generate a profit and Sony makes a major comeback then Microsoft may pull out. However if Sony continues to struggle for its survival in the games industry I think Microsoft will remain in the industry until Sony's SCE is completely dead. Microsoft will stay for the kill if at all possible, destroying Sony's capabilities to enter the personal computer market is exactly why Microsoft entered the industry to begin with. Xbox was never about turning a profit, it was a move meant to protect Microsoft's biggest business (Windows and PC). Microsoft knew Sony was aiming at turning the PlayStation into a PC, with Sony's own OS and essentially with their strong software and support they could have dealt a big blow to Microsoft. It was in Microsoft's best interest to cripple Sony before they could enter.

Essentially Microsoft and Sony are playing a game of chicken. Microsoft is willing to take heavy losses if it crushes Sony, Sony is willing to sustain heavy losses simply to maintain its brand integrity and in the end keep PlayStation alive. Unlike Sony's television industry the PlayStation brand has only been losing money steadily one generation. The company is going to hang on as long as physically possible!

SONY's biggest problem is the same one facing Nintendo and every other Japanese exporter -- the Yen is far too strong for them to compete and profit.

The Japanese government needs to act to weaken the Yen. One option would be for them to start printing money and using it to pay off some of there debt. (ofcourse you would need to careful choose the amount in order to force the yen to weaken while minimizing any inflation caused.)

I think they should try to win the hearts of the children. Maybe something that could compete with Pokemon.