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Forums - Sony Discussion - The winner for hardware revenue in December is.....Sony

Nomatter that PS3 and PSP gaming are more expensive than their direct competitors it does show the consumer wants to lay down the required cash for their systems. The PS3 will still significantly drop in price in course of time, this bodes well for the future.



Naughty Dog: "At Naughty Dog, we're pretty sure we should be able to see leaps between games on the PS3 that are even bigger than they were on the PS2."

PS3 vs 360 sales

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economics 101 needed before posting $$ threads



GhaleonUnlimited said:
economics 101 needed before posting $$ threads

 95% of the posters in this thread might need to leave xD



From 0 to KICKASS in .stupid seconds.

@Gazz: Yes, higher revenue makes higher profit possible. I think no one was arguing that. As i said in my first post in this topic, it shows how much the market is willing to pay for your products. As looking at Sonys revenue, it's pretty much. But for the current costs and pricerange, it's not enough to make profit.

I don't argue that it wouldn't be possible for Sony to make profit in decenber/Q3, but at least i got the impression from your first(?) post in this thread that you were talking about the near future. And in the near future, i don't see SCE being profitable.

I agree that Sony haven't just sat on their asses doing nothing, but doing something usually costs money. There's no good fairy, who would do Sonys R&D magically for free.
And as i said earlier, Sony has high costs with all their games under development, which will affect their bottom line until the games are ready and get to the market.



Ei Kiinasti.

Eikä Japanisti.

Vaan pannaan jalalla koreasti.

 

Nintendo games sell only on Nintendo system.

For crying out loud, revenue has nothing to do with profit.

GM makes 4-5 times the revenue of Microsoft. $200+ billion vs $50+ billion.

Who made/makes/will make more profit?



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Gazz - when it's already known that Sony loses money on each PS3 sold (which they've said they will be until the next financial year), then the higher revenue (which indicates higher sales) actually means higher losses, not a greater chance at profit.



Gazz said:

I am bloody serious with my comment. Higher revenue allows a greater chance of profit as you so beautifully said it yourself. I admit it's an abstract view, but first and foremost it's a valid view and that's what matters. I never said that Sony might make a profit that Nintendo did, all I pointed out was that they might make a profit at this point and assuming they make a loss automaticly is narrowminded.

 I have seen no proof that the losses generated by Sony's gaming division are only based on the PS3 startup costs. Perhaps Sony investeds hundreds of millions into the new PSP model and they are also making a new PS2 model. In contrary to the other figures of previous quarters, the PSP suddendly started to sell like hot cupcakes and they may have made a huge profit. Once again, not saying it is true, but it is a possiblity you have to keep in mind.

 It's wrong to assume that Sony just stood still in these last couple of months and nothing has been changed in the PS production line itself. You can win and lose millions in the production process and it's fair enough to atleast keep those factors in mind.It's strange how everyone who tryes to look at this topic from a different perspective gets labeled as being a Sony fanboy.


Well, it's not IMPOSSIBLE for Sony to turn a profit this quarter, but... I would say it's incredibly unlikely. You'll have to forgive my skepticism when Sony's gaming division has posted (very large) losses for six consecutive quarters, followed by an aggressive price cut... and then you want me to believe that the upcoming seventh quarter will show a turnaround profit? Like I said, it's possible, but... Well, a lot of things are possible.

Since you seem to believe that Sony has a good chance of turning a profit, if you don't mind telling me, where exactly is that profit going to come from? I have trouble believing it's going to come from the PS2 (sales are way down from last year in hardware/software, when Sony still managed to lose over $2 billion) or the PSP (hardware sales are maginally up - after a price cut! - and software remains very sluggish). Is the PS3 going to take up the slack? In a best case scenario Sony is breaking even on hardware sales (which I very much don't believe is the case), meaning the slow software sales would have to cover all of the expenses associated with production, development, distrubution, advertising, etc.

I don't see any realistic way that this is even remotely possible. In fact, I would be very surprised if Sony posts a loss of less than $500m for this quarter. But I'd be interested to hear your opinion on the matter and get a contrasting viewpoint.



My Website

End of 2008 totals: Wii 42m, 360 24m, PS3 18.5m (made Jan. 4, 2008)

Based on VGChartz numbers for console sales alone, and excluding software, Nintendo raked in $7.9 billion in revenues in 2007, Sony hauled in $5.4 billion and Microsoft $3 billion. That said, Sony makes a mint on peripherals and media accessories of all kinds, so the gap isn't that large -- in fact, if  you look at total game-related sales, Sony and Nintendo would be evenly matched. 

What's surprising to consider is how marginal Microsoft still is to the game biz -- maybe 10% of the entire videogame industry, at most.



Griffin said:
thetonestarr said:
Griffin said:
thetonestarr, thx for those numbers, it just shows that the PS console family is still selling more software then any other company.

Plus you can't blame the Nintendo fans, they got their asses spanked in the market for 2 generations. During those two generations Sony sold more home consoles then the entire Nintendo home console market ever.

Are you paying ANY attention at all? The numbers show that the PS console family is selling far below Nintendo.

 

12 million + 10 million = 22 million Nintendo software sold.

9 million + 5 million + 4 million = 18 million Sony software sold.


I'm talking about home consoles, not handhelds.


So, basically, you're picking and choosing the data that best fits the result you want... Wow, that sounds exactly like what Sony's doing.

...

 

@ bdbdbd - Problem is, I don't care who you are, you can't leave out bundled software. Bundles are sometimes what make and break system sales, and I guarantee you that the Wii sold as much as it did partially due to bundled games. Not to mention I think leaving out PS2's bundles would still leave it behind the competition (albeit much closer).

As for my numbers, it's a bit harder to get the worldwide numbers for the month, since (1) we don't have a chart that shows ALL worldwide software numbers, (2) we don't have a chart that even shows European/Others monthly numbers, and (3) I'm too lazy to go through the trouble of compiling all those numbers. Haha. But, I at least looked at them, and Japanese numbers gives the Wii an additional 1.5m+ lead, while giving the DS a near 4m additional lead. Europe/others follows a similar trend, except the PS3 actually outsold the PS2 for once.

Sources are all VGChartz. Yes, they're a bit inaccurate, but last I checked, Ioi tries making them as accurate as possible, and if we can't rely on their GENERAL accuracy, then why the heck do we use them at all? Y'know? Giving them a substantial margin of error, I'd have to say that Sony is still doing a pretty significant amount of surgeoning.

 

 

And just to clarify for the rest of the boards, I'm not a Wii fanboy. I do favour Nintendo far above the competition, but I am in no way a fanboy. I own a PS1 and a PS2, I plan on purchasing a 360 when I can, and some day, I may purchase a PS3 (maybe a remodel when they get cheaper?) for use with the HDTV and bluray movies that I may eventually buy.



 SW-5120-1900-6153

mesoteto said:

Dang, I forgot how much those guys looked like a bad ST:TNG episode.

@Topic:

 We'll just have to wait until Sony releases their report, but I suspect it won't compare very well to Nintendo's.