I think Sony thought through the scenario if they would lose money in their initial outing with the PS3. Their other divisions (plus all their initial profit) have picked up the slack so they will back this console until everything collapses around them OR we all buy it. I think them banking that we will all eventually buy a PS3 is pretty strong. If the Blu-Ray Medium becomes the medium of choice, Sony will in effect, have gotten a stranglehold on a format. The sales of DVDs still beats games (I have absolutely no evidence of that... just an assumption) That in itself could profit the company for dozens of years...hmmm.... ... that is IF people don't switch to digital downloading as the formats of choice anytime soon. That could be the worst problem that Sony, MS and Nin will face.

MS is banking on people downloading content. They don't care about the format war one bit (though I'm sure they wouldn't mind watching Sony lose).

thts a prediction not an actual figures.

last time bloomberg made the same prediction and SONY proved them wrong by making 1 billion  in profits.

This time also there would be a big profit margin too since webmorgan has already said that the PP of ps3 has dropped below 600$.

Further proof about PP reduction comes from the fact that PP of diode has been reduced to $8 from $68. was also estimated that the BD drive of ps3 would cost almost the same as the DVD drive in x360 by may, 2007.

We wait for official SONY figures tomorrow.

However, i am telling you prior to the release that it would be extremly good (atleast a billion in profit).

dont get me wrong

but format war has already been won by blu-ray.

watch out for PIRATES OF THE CARIBBEAN 1 & 2 next week releasing exclusively on BD and DVD

No format war is won when 1% of the market has purchased into the "winning format".

It will be years before this war even begins in earnest. With 20% of households owning HDTVs in the US, Blu-Ray and HD-DVD sales aren't even a blip on the radar.

Maybe when their combined sales approach 1/2 of VHS sales, we can start talking about winners and losers.

Who on earth estimated that? Every report I've read has Blu-Ray drive manufacturing costs approaching DVD drive manufacturing costs sometime in 2010, and even then they won't be the same, only close.

why do you have to refute every statement without knowing facts.

just google for the japanese article that stated that the P price of BD drive would match that of DVD by june.

the BD drive is being mass produced in large quantities . The price has come down perhaps to something around 30$ by now.

dont argue unnecessarily.

google for the links to the article.

7 % of the US customers own HD-TV.

www.eproductwars.com

the war was never on. Everybody knew from the beginning that BD was the winner because of massive storage capability.

watch out for the 200gig BD disk due this fall by TDK.

to you war is never won since you own an x360 .

I'm not arguing unnecessarily... I'm just getting tired of reading your posts full of grandious claims with absolutely nothing to back any of it up while most of the info you spout is completely contrary to the info I have read (and I read around 10-15 tech articles a day).

Here's one link (out of four or five I found) that place the Blu-Ray drive at over $100 vs. the 360's $20 DVD drive:

http://www.gamepro.com/news.cfm?article_id=111849

Yes, I understand that costs will drop. But how on Earth do you expect Blu-Ray, in 12 months, to drop to the same price as a 12 year old format?

I'll keep questioning your posts until you provide at least one link to back up anything you say.

larry If you wanted to shut anyone up, you might want to post a link. There is only speculation that Sony has managed to drop the price of producing a PS3 by about 100 bucks. There are NO reports saying they have brought the cost of the console down below 600. NONE. If the price of Blu-ray was 125, even if it did cost the same as the DVD drive in the Xbox now, the PS3 would STILL lose money on each console sold. http://news.google.com/news/url?sa=t&ct=us/1-0&fp=464aa90784c571c0&ei=m3tKRpLWC9C6sQGr2Pi8Bw&url=http%3A//blog.wired.com/games/2007/05/ps3_vs_xbox_360.html&cid=0 http://news.google.com/news/url?sa=t&ct=us/3-0&fp=464aa90784c571c0&ei=m3tKRpLWC9C6sQGr2Pi8Bw&url=http%3A//techreport.com/onearticle.x/12415&cid=0 http://news.google.com/news/url?sa=t&ct=us/5-0&fp=464aa90784c571c0&ei=m3tKRpLWC9C6sQGr2Pi8Bw&url=http%3A//www.psxextreme.com/ps3-news/1216.html&cid=0