Samsung is a Korean company so they aren't vulnerable to the Yen currency problems.

blackstar said: not ur fault sony not ur fault :(

 

 

They designed a console that was too expensive to make with limited consumer appeal. They failed to consider that anything might possibly go wrong. So yeah, their fault.

misterd said: RPG said: If the Yen is so strong, that pretty much confirms that Japan will be the first to see a price drop. With the games releasing in 2009 in Japan it would also be a very smart decision, solidify the PS3 as the HD console of choice.     Right, because when they're losing money everywhere else, they want to make sure they're losing money in the one place they have a chance of eeking out a profit.

Mmmm, there's more to it than that. When they drop the price but keep a certain profit margin they'e going to sell more units, so - what's the word, net profits? - would stay roughly the same, even with lower profits per unit.

But even that's misleading, because a highr install base means that they make more money off of all games sold, and with a higher install base they sell more games.

Sony has a big graph somewhere that outlines exactly how long it would take them to get back to proper profit levels after lowering the price in Japan. If they're going to lower the price in Japan, it will be according to when they think that increased hardware numbers will make up for the lower margins, and they may factor software into that too.

FishyJoe said: Samsung is a Korean company so they aren't vulnerable to the Yen currency problems.

 

Yeah, I'm just curious if there is an obligation due to the Sony-Samsung LCD joint venture.  I'm actually trying to find a definative resource with full details on it right now while I watch football.

misterd said: blackstar said: not ur fault sony not ur fault :(     They designed a console that was too expensive to make with limited consumer appeal. They failed to consider that anything might possibly go wrong. So yeah, their fault.

 

it's not just the gaming division u know and not to forget their main competitor is not Japanese

blackstar said: misterd said: blackstar said: not ur fault sony not ur fault :(     They designed a console that was too expensive to make with limited consumer appeal. They failed to consider that anything might possibly go wrong. So yeah, their fault.   it's not just the gaming division u know and not to forget their main competitor is not Japanese

I've never quite understood this mentality. I understand that the normal bit of dialogue going on suggests that there is an HD war apart from the normal console war, but the Wii is a very large part of why the average, mainstream user is not picking up a Playstation 3. It's also why they're not picking up Xbox 360s.

Bboid said: NJ5 said: Bboid said: Sony is raising the price of consumer products in EU post xmas 08.  The Game divisionproducts are excluded from this.  This is to offset yen issues and to possibly open up their market in other divisions.  Full details have yet to be finalized/officially released. That will go over well. I'm sure Samsung will appreciate it. Not that Sony has much choice. They're between a rock and a hard place.     I would venture so say Samsung would also possibly raise prices.  They are a joint venture(with sony) in LCD flat panel TV's (research and panel production) so they may have a obligation to raise as well (benefits reaped soed back into joint venture research and offset one sides lack of contribution), but honestly i'm not entirely sure how that partnership is worked out.  I know it is strongly believed panasonic and toshiba both will also be raising prices in the EU post Xmas 08.  Frankly, it sucks if you plan on buying foreign electronics in the EU next year.

That's possible (though I wouldn't bet on it).

From the currency perspective, Samsung is very well positioned to drop the hammer on Sony, as the Won has been weakening against the dollar and euro.

 

Sony doesn't expect to make any money on a sold PS3. They make money on games, accessories etc.

So money spend by Sony to build a PS3 = yuan, dollar, taiwandollar
Money received by Sony for selling a PS3 = dollar, euro.

The yen doesn't come into that anywhere. This would be different if they would make money with the sold PS3s, then their profit on each unit sold would be in yen and would become lower.

I don't understand what you do not understand about that.

Sony is doing horrible discussion no. 2088463.

I mean, seriously. How many times can we talk about how the strong dollar is hurting Sony?

DMeisterJ said: Sony is doing horrible discussion no. 2088463. I mean, seriously. How many times can we talk about how the strong dollar is hurting Sony?

1 more time than people say "domination delayed until price cut"