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Forums - Sales Discussion - Sony sees record $6.4 billion net loss, to take tax hit

Mr Khan on 11 April 2012
mike_intellivision said:
Sony has some strong assets. It also has elements that are causing great problems for the companies bottom line.

The Playstation brand is a strong element. The PS3 currently appears to be a money maker. However, the PS Vita is not currently profitable and is not doing well. I don't expect it to be "killed" -- but I would not be surprised to see it "orphaned" to die a natural death. Meanwhile, the PS4 might either have to wait or be built to be profitable from the beginning. That would mean a smaller technological jump, which might not be bad since it would mean a lower price point and until people get Full HD TVs, too much more graphical power is probably pointless. But it also probably means Sony will not have the financial muscle to "guarantee" (purchase) third-party exclusivity. (The apparent shift of Monster Hunter Portable from Sony to Nintendo signals this may have begun).

Sony can survive. But it will have to be smart in what it does and what battles it fights. And it will have to give up something. Most of those changes will not be gaming related. But inevitably some will.

Mike from Morgantown

Sony's way too far into the PS4 design process for a radical rethink. If they really began designing PS4 with the mindset of "we'll have to totally outclass the next Xbox next generation," then they could have sunk quite a bit of R&D in that direction already



Monster Hunter: pissing me off since 2010.

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AcceberA on 12 April 2012

         It's really sad to hear that. Eventhough Sony has been one of the most significant companies in consumer electronics, the company has been posting huge losses for the past 4 years running. Most recently it projects a $2.7 billion loss. It is said that the company is restructuring and will fire 10,000 employees. An installment loan is there to help you buy the best electronics.



ImJustBayuum on 12 April 2012
Kasz216 said:
Millenium said:

Now that's just painfull, I hope Kaz isn't too litte too late, they can't afford two more bad years.

I wonder how much PS3's can be made for that kind of money.


I wonder if it will matter though.  I mean Sony is in some hugely unfavorable positions compaired to it's competitors.

It's best chance probably would to mimic apple and try and create a "Sony Infrastructure."   Like how you can play PS3 games on the Vita... but just try and make everything Sony connect together in easy ways that make sense.

However, that seems unlikely since Sony seems stuck in the nonsynergetic buisness ways of the past where you have a bunch of branches each branch head treats as their own personal fiefdom leading to things like Sony music in non sony movies,  Sony movie characters on non sony videogame systems... etc

 


This. More than anything its a management issue not the underperforming of their TV division per se.



mike_intellivision on 12 April 2012
Mr Khan said:
mike_intellivision said:
Sony has some strong assets. It also has elements that are causing great problems for the companies bottom line.

The Playstation brand is a strong element. The PS3 currently appears to be a money maker. However, the PS Vita is not currently profitable and is not doing well. I don't expect it to be "killed" -- but I would not be surprised to see it "orphaned" to die a natural death. Meanwhile, the PS4 might either have to wait or be built to be profitable from the beginning. That would mean a smaller technological jump, which might not be bad since it would mean a lower price point and until people get Full HD TVs, too much more graphical power is probably pointless. But it also probably means Sony will not have the financial muscle to "guarantee" (purchase) third-party exclusivity. (The apparent shift of Monster Hunter Portable from Sony to Nintendo signals this may have begun).

Sony can survive. But it will have to be smart in what it does and what battles it fights. And it will have to give up something. Most of those changes will not be gaming related. But inevitably some will.

Mike from Morgantown

Sony's way too far into the PS4 design process for a radical rethink. If they really began designing PS4 with the mindset of "we'll have to totally outclass the next Xbox next generation," then they could have sunk quite a bit of R&D in that direction already

Agreed. But I have seen two different lines of reasoning/reporting regarding the PS4's power, which is the basis for my statements. And of course, analysts make statements with no bearing in the real world, so I just wanted to follow suit.

Seriously though, the financial issues may lead to a delay for the PS4, especially if it is tech-heavy, in an effort to lower production costs.

 

Mike from Morgantown



      


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ZaneWane on 13 April 2012

patcher said sony might charge for online so maybe that might help