So, we all know Sony put the Blu-ray drive in the PS3 to push the format. If not for that, the PS3 would've had a higher marketschare, SCE wouldn't be in such a bad position. But, without this, HD DVD would have probably won (HD-DVD was winning untill the PS3 was released).

Now, quite some people are saying the profits from BD movies will all be worth it. Which made me wonder, how does Sony make money off BD Sales? Royalties? If so, all of the Bly-ray Association would have to get royalties, something quite expensive.

Well, the royalties would go to the BDA, and all of the firms involved would get a share. I think Sony would get one of the larger shares seeing as they had quite a bit of involvement in it.

Also, does anyone have any info on who makes the BD discs? Perhaps if Sony had some kind of monopoly over the disc pressing they could churn up some spondoogles from that.

Just an idea.

Well Sony came out with the idea, so I would assume they do reap some of the benefits

I would also like to know what does SONY get from BD....

After the studio contracts run out, sure. Lots of handouts were given during the war with HD DVD with many of those contracts extending out for a long period of time.

This is a very interesting read:
http://news.cnet.com/8301-10784_3-9874317-7.html

The BDA gets royalties from each disc and drive sold, which is divided amongst their members.

There are around 21 patent holders that get royalties for BD. Even if 10m players were sold every year, Sony (and pretty much each of the companies involved) would barely get more than the money they pay their officers to run after the royalties...

Many people on this site (actually I mean Sony fanboys) have gone on and on about how Blu Ray in PS3 was the right decision and that in the end the royalties would make the losses on the PS3 hardware worth it.

I find that to be a wholly unrealistic view. With so many members of the Blu Ray association I don't see how Sony could make $4bn from royalties,etc to make back the losses plus $2 or $3bn on top to result in this blu ray in PS3 having been a profitable venture for Sony and the right decision.

If Sony can make about $7bn from Blu Ray then Toshiba must be swimming from some serious money because I am pretty certain they make much much more royalties on DVD than Sony makes on Blu Ray and I doubt Blu Ray will ever be as popular as DVD has been.

Thanks, the points most applicable to this thread:

So, assuming that BD royalties are the same as DVD royalties originally were then Sony would get around 30% of 7.5c per disc, or 2.25c per disc. As already mentioned in this thread though, these fees were probably waived during the "HD war", so Sony probably won't see any royalties until those contracts are up.

Well, Sony and Panasonic are the big companies in the BDA.