We still don't know how much they are losing now and how much they will be lossing/profiting later this year. Who knows, right now it mite be at a point were everything is even, no profit, no loss [which is still considered a loss]. And lets not forget, EMPLOYEES HAVE TO GET PAID, LOL

@Dgc1808

Every other expense is already included, it is NET profit.

For Grooski.
new member
enjoy

Good stuff...looking forward to the next xbox one you do.

this thread would have been alot better if you would have used actual numbers from sony for the losses on the ps3 and the amount of money they make on each game

obieslut said: this thread would have been alot better if you would have used actual numbers from sony for the losses on the ps3 and the amount of money they make on each game

I'm not sure what you mean.  The numbers that  Sony reported were used.

Everything else has to be guessed/estimated, but in connection with all the figures to make it work.

You can check my previous thread to see how those numbers came about.

If you have any questions, please let me know.

 

I appreciate the time it took to do this, and I did read the whole thing, but I just find it hard to agree with you on some points.

For example, " However, due to increased online distribution and POSSIBLY HIGHER LICENSING FEES for PS3 software...". Why would the licensing fees be any higher now than before?

And one for PSP, "With cost reductions and a possible? new model coming out, I am increasing the net profit per PSP from $2(*) to $8(*)". Now, you fail to mention that there could also be a possible price cut to the device, and a new model is just rumour at this point, so increasing net profits from $2 to $8 would definitely be a stretch.

But I am nitpicking really. Other than those two points, I find the analysis to be pretty logical. Good job!

Now, if we could only find something better for you to do in your spare time!

 

Arkk said: I appreciate the time it took to do this, and I did read the whole thing, but I just find it hard to agree with you on some points. For example, " However, due to increased online distribution and POSSIBLY HIGHER LICENSING FEES for PS3 software...". Why would the licensing fees be any higher now than before? And one for PSP, "With cost reductions and a possible? new model coming out, I am increasing the net profit per PSP from $2(*) to $8(*)". Now, you fail to mention that there could also be a possible price cut to the device, and a new model is just rumour at this point, so increasing net profits from $2 to $8 would definitely be a stretch. But I am nitpicking really. Other than those two points, I find the analysis to be pretty logical. Good job! Now, if we could only find something better for you to do in your spare time!

@ArkkYou are free to disagree, that is what a good debate and discussion is all about.  Thanks for the feedback.To answer your questions:The reason I increased the licensing fees and really the NET PROFIT assumption for the PS3 is software is because:1. PS fanboys and/or people more knowledgeable than me pointed out that PS3 licensing fees are higher than PS2 and PSP.  Therefore, I changed it.2. PSP - I suppose I just judged it that way - because I was not aware of any PSP price cuts and Sony mentioned that PSP had cost reductions.To reiterate, the original work is a financial model.  If the VGChartz community has an original and trusted data source for some of those numbers, I can use them to tweak the model and make better analysis and projections.

 

Arrk.

Please read carefully. When I posted it was nice and in point form. But somehow it came out as one big paragraph.

bumidan said: Arrk. Please read carefully. When I posted it was nice and in point form. But somehow it came out as one big paragraph.

It's all good. It's nice to talk to someone on these forums that actually has some logic in them though. It's quite rare these days.