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Forums - Sony Discussion - Sony downgraded to BBB- by Fitch

Sony is a mess. Well actually it is a company with huge potential, but the way it is managed is not good. To me it seems that they don't have a vision at all.

I know people will be mad about this, but the PS3 is a perfect example for this. They do have a strong hardware and a really big brand, but they ruined it in 2 years and are building it up again. MS made it absoultely clear that they want the Xbox 360 to be the center of you living room and with the latest update, with Bing, Netflix, Youtube, MSN, Facebook, ESPN, Twitter, Last.Fm, LoveFilm, Hulu, Zune etc etc they are in a very good position to achieve this.

Sony on the other hand has a machine that can do the same thing, but they are miles behind in this segment. Sure they have their apps and can do the same thing, but overall it is just a not so good experience like "Xbox, youtube!". The Move was an attempt to get casuals, but it was a failure more or less. The point is that Sony has more entertainment in their portfolio than MS, but they are not using it. Heck they do have a big record-label and a movie studio but are not using it in any special way. Look how easy MS made the PC --> WindowsPhone 7 --> Xbox --> Windows Live Messenger products be connected. Sony failed to do so in the past years. PSP, TVs, PS3, VAIO, Sony cell phones could be easily used as a powerhouse and to deliver an overall complete experience.

Look at Apple and the iPad, iPod and iPhone products. Through the cloud it is just perfect for the user. Sony should do something like this as well.

I don't get how a software company, basically new to the entertainment industry gets more content than an entertainment company just with some easy partnerships with content providers.



Imagine not having GamePass on your console...

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DirtyP2002 said:

Sony is a mess. Well actually it is a company with huge potential, but the way it is managed is not good. To me it seems that they don't have a vision at all.

I know people will be mad about this, but the PS3 is a perfect example for this. They do have a strong hardware and a really big brand, but they ruined it in 2 years and are building it up again. MS made it absoultely clear that they want the Xbox 360 to be the center of you living room and with the latest update, with Bing, Netflix, Youtube, MSN, Facebook, ESPN, Twitter, Last.Fm, LoveFilm, Hulu, Zune etc etc they are in a very good position to achieve this.

Sony on the other hand has a machine that can do the same thing, but they are miles behind in this segment. Sure they have their apps and can do the same thing, but overall it is just a not so good experience like "Xbox, youtube!". The Move was an attempt to get casuals, but it was a failure more or less. The point is that Sony has more entertainment in their portfolio than MS, but they are not using it. Heck they do have a big record-label and a movie studio but are not using it in any special way. Look how easy MS made the PC --> WindowsPhone 7 --> Xbox --> Windows Live Messenger products be connected. Sony failed to do so in the past years. PSP, TVs, PS3, VAIO, Sony cell phones could be easily used as a powerhouse and to deliver an overall complete experience.

Look at Apple and the iPad, iPod and iPhone products. Through the cloud it is just perfect for the user. Sony should do something like this as well.

I don't get how a software company, basically new to the entertainment industry gets more content than an entertainment company just with some easy partnerships with content providers.

exellent post. if this was N4G i would give you a bubble lol! In releation to the op though, what can sony do about it seriously? everyone is saying that they are in denial but what can they do? Fire staff? demolish a few departments that are not turning a profit? 



Seece said:
Nintendo cutting the 3DS's price hasn't made it easy for Sony and the Vita, not only is it going to be much tougher for Vita to succeed, but if it doesn't do well in its first year (and it likely won't, but that's fine because no consoles first year does amazing, not sure why investors and even Nintendo didn't look at past launches ...) then investors will be wondering why they're not making drastic measures like Nintendo. Of course they'll be wrong to think so, Sony would be doing the right thing sitting on the price, especially if you can't afford to cut. But could strong demand from investors asking for Sony to do something, push Sony into cutting the Vita down enough so it's in the red? Is Vita going to be making much money anyway, does anyone have any figures on that?

I still don't believe Sony is acting like a company that is in the state it is. They seem to be behaving somewhat indenial.


I still don't believe Sony is acting like a company that is in the state it is. They seem to be behaving somewhat indenial.

I Agree with you but what should sony be doing instead? I just don't understand.



And there are still people that want Sony to bleed more because of Other OS and other shennanigans... maybe they are happier with companies closing and jobs being laid down, because it doesn't seem like they play much games



duduspace11 "Well, since we are estimating costs, Pokemon Red/Blue did cost Nintendo about $50m to make back in 1996"

http://gamrconnect.vgchartz.com/post.php?id=8808363

Mr Puggsly: "Hehe, I said good profit. You said big profit. Frankly, not losing money is what I meant by good. Don't get hung up on semantics"

http://gamrconnect.vgchartz.com/post.php?id=9008994

Azzanation: "PS5 wouldn't sold out at launch without scalpers."

DonFerrari said:
And there are still people that want Sony to bleed more because of Other OS and other shennanigans... maybe they are happier with companies closing and jobs being laid down, because it doesn't seem like they play much games

I know a few people on this site want sony to close shop for some stupid reason but this thread has nothing to do with that at all!!! 

Did you even read the op by kowen?



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maverick40 said:
Seece said:
Nintendo cutting the 3DS's price hasn't made it easy for Sony and the Vita, not only is it going to be much tougher for Vita to succeed, but if it doesn't do well in its first year (and it likely won't, but that's fine because no consoles first year does amazing, not sure why investors and even Nintendo didn't look at past launches ...) then investors will be wondering why they're not making drastic measures like Nintendo. Of course they'll be wrong to think so, Sony would be doing the right thing sitting on the price, especially if you can't afford to cut. But could strong demand from investors asking for Sony to do something, push Sony into cutting the Vita down enough so it's in the red? Is Vita going to be making much money anyway, does anyone have any figures on that?

I still don't believe Sony is acting like a company that is in the state it is. They seem to be behaving somewhat indenial.


I still don't believe Sony is acting like a company that is in the state it is. They seem to be behaving somewhat indenial.

I Agree with you but what should sony be doing instead? I just don't understand.

Not cutting the prices across their entire range in Europe would be a start, not sure whos bright idea that was. They dominate there and they really didn't need a price cut. They need to ditch their TV business, they havn't made a profit there in years, but they're too proud to admit defeat and kill it off.

I agree with Dirty first and foremost though, they have no vision, and without that a company is in a very dangerous position.

It's almost funny how their gaming businesses (MS and Sony) reflect the entire company. MS cuts a lot of fat that isn't doing well, and Sony just seems to want more and more regardless.



 

maverick40 said:
DonFerrari said:
And there are still people that want Sony to bleed more because of Other OS and other shennanigans... maybe they are happier with companies closing and jobs being laid down, because it doesn't seem like they play much games

I know a few people on this site want sony to close shop for some stupid reason but this thread has nothing to do with that at all!!! 

Did you even read the op by kowen?

Nobody here should want Sony to fold (except Apple fanboys), I dread that, Apple would totally make a move :@



 

So now they are at risk of being downgraded to junk status. I don't understand why they cut the price of the PS3 in the context of such losses.



Tease.

kowenicki said:
I think cutting prices aggressively for the vanity of market share has cost sony dearly. It also flies in the face of their "quality" tag. You can't be viewed as both cheap and exclusive. This is why the other hardware has suffered in my opinion.

Gaming is different, but I have always questioned the constant buying up of studios, these guys may release one game per year (if you're lucky) with ok sales numbers and it makes no commercial sense... as much as gamers like it. MS used to get the moneyhatting tag thrown at them, but this tactic of Sony is moneyhatting and then some. Why not just headhunt the quality people and stick them in a sony studio?

It does sound a lot like vanity. I think the people back at head office have bruised egos by how this console generation has played out. I wonder sometimes whether their previous success had a lot to do with luck and their current performance is simply their regressing back to the mean, I.E. there is nothing really manifest about their previous performance and it was simply a run of good luck and that luck has just run out.



Tease.

DirtyP2002 said:

I don't get how a software company, basically new to the entertainment industry gets more content than an entertainment company just with some easy partnerships with content providers.

Because the software company doesn't make TV's. For Sony and other TV manufacturers there are Smart TVs.