Basically, what measures does Sony have to take to get the PS3 back on track? Quite clearly it currently isnt where it wants to be (as all but the most rabid fanboys will admit) yet it isnt completely out of the running (as all but the most rabid fanboys for other consoles will admit). So what does it need to do to catch up to the 360 and Wii and dominate this generation? 

It needs a gaming blitz, first and foremost, as well as a price cut of some kind. This fall/holiday season will be very telling for the PS3. If they can cut the price by 100, it would be a good start. In my opinion, not to be confused with facts, it will be nearly impossible for the PS3 to catch the Wii in terms of sales. The Wii is 50 bucks from being in the "impulse buy" range, and yet at 250 it is still hard to find. We still don't know the kind of demand it has in any major regions. The 360, due to its poor showing in Japan, is the PS3s best chance of catching and possibly passing eventually. Sony just has to drop a few A-bombs.

For me the console that makes most Profits wins and I can't see Sony make most money this generation (I can hardly see it make profit at all) Microsoft and Nintendo can make more money probely Nintendo will be the winner doh

Simple question!

Simple answer: It won't!

In my opinion it can't.

I think they should just do whatever it takes to not lose any more money. Then put their efforts into the PS4 and rethink their entire design/marketing philosophy.

It depends on if you're talking about the PS3 selling lots of consoles or making lots of money. The former can happen with a $200 price drop this holiday. It might not catch the Wii but i'll probably sail past the 360 in short order, it's got enough games this year for that. It'd lose a lot of money that way but it'd probably secure a PSP-like position at the least. As far as actually making the most money this gen, they would need to get a lot of great games out quickly and steadily and *not* drop the price, and even then the Wii is a profit machine right now so it would need something bad to happen to the Wii basically.

In some ways I am not sure if it can dominate but it can do well. In Japan it would basically require Nintendo and third party companies to stop publishing games for the Wii. I think a sold second is possible but I cannot think of anything that could turn it around enough for Sony to win in Japan. I don't think either North America or Europe is decided yet though. The PS3 needs good games but AAA titles are not enough you need a lot of variety even if half of them are junk titles. The advertising, game exec's and others need to stop trying to show off saying how much more powerful the console is and start pushing the console on exclusive titles and show how much fun it is. Sony needs to pull out their checkbook and just start paying developers to produce good quality exclusive games. There needs to be a LARGE price drop at the very least they are going to have to match the 360's price. The average consumer does not care if its more powerful or not they are not going to pay a premium for extras they don't even understand.

lol, I don't see the PS3 making money for Sony at all. 300 dollars per system is a lot of money to make back in the gaming department. A game retails for what 60 dollars. How much of that goes back to sony, the developers, publishers, and finally the department store? I don't know what the actual number that Sony does get from a single game purchase though. Anyone got a figure for that?

Simple - big price drop and massive marketing campaign, they have the games to do it. - they can eat the costs, especially that Br is winning the format war around the world. - its win win, PS3 does better BR does better more software sales (especially 3rd party)