By using this site, you agree to our Privacy Policy and our Terms of Use. Close

Forums - Sony - Sony on the brink of corporate upheaval, drastic changes

neotea on 04 January 2009
Seraphic_Sixaxis said:
Consider him canned then. :P

 

LOL i dont think it'll happen lol.  Despite the cultural difference and people not liking him in the company some major shit has to go down for this scenerio to take place otherwise it wont.



I TAKE NO SIDES

Around the Network
makingmusic476 on 04 January 2009
Squilliam said:
makingmusic476 said:
Squilliam said:
Given the number of consoles sold thus far, they would be wise to close down a few of their SCE studios to lower their overall operating expenditure. If HD Publishers lost money this generation and they target 100% of the HD market how can SCE studios be assumed to be profitable? Their big games tend to be expensive and long in development with an unknown quantity of bundling throwing us off their real sales figures.

 

Most HD-centric publishers release quite a few duds.  Sony is the opposite (outside of Lair, and they don't even own the developers).  I could see Sony ending the NBA series, and maybe making some small changes elsewhere, but their games in general sell very well.  7 out of the top 20 best selling ps3 games are published by Sony, and Resistance 2 should break into the top twenty in mere weeks.  Killzone 2, the next game in their line up, will probably outsell Resistance 2.

8 Million sellers in the database.

28 non Million sellers in the database.

Motorstorm -> Resistance 1 -> Gran Turismo 5P -> Uncharted -> Littlebig Planet -> Heavenly sword

or 6 of those million sellers have had official bundling and for the first 3 games the bundling was extensive. LBP I believe was bundled in the EU and Japan (with controllers)

 

 

Bundling doesn't change that much, outside of maybe GT5P, but even then, most of it's bundles were sold the first week, when people were buying the system explicitly for the game.

Uncharted sold over 2 million before a single bundle was announced.  MotorStorm sold around a million before the first 80gb bundle was announced.  LittleBigPlanet has sold .78 million in NA where there are no bundles whatsoever, and the bundles in Europe and Japan probably don't make up that large a percentage of the game's sales. I could go on like this, but I don't feel like it.

You argued a technicality and ignored my main point.  Sony's studios generally do wery well for themselves.  Or at least the ones we actually care about do.



ssj12 on 04 January 2009

Sony is probably going to cut manufacturing of all products 30- 50 %. They already cut PS3 manufacturing so they wont be bleeding as much. The PSP and PS2 they make money off of so they wont cut manufacturing.

We might see one or two facilities being temporarily shut down in Sony's main sites.

Still this isnt much of a shock. A ton of businesses are getting hurt. Nintendo might be seeing record profits but those profits are dropping the farther the worse the yen - euro and yen - dollar difference becomes.

I'd expect even Google to start hurting if this crap continues.



PC gaming is better than console gaming. Always.     We are Anonymous, We are Legion    Kick-ass interview   Great Flash Series Here    Anime Ratings     Make and Play Please
Amazing discussion about being wrong
Official VGChartz Folding@Home Team #109453
 
BenVTrigger on 04 January 2009
richardhutnik said:
makingmusic476 said:

The focus of research and development must be on software, he said, adding: “The most important thing is that, to improve organisational strength in the areas of development, purchasing and marketing, it will be necessary to further concentrate power in the hands of [Sir Howard] and unless this is achieved we believe [Sony] will be unable to close the gap with competitors such as Apple and Nintendo.”[/quote]

Sony runs right into the strengths of Microsoft and Nintendo if the argument is the future is in software.

One has to also be concerns that Sony might end up being in a similar situation Atari was in during the crash of the early 1980s.  Out of nowhere they post large losses, and that causes the bottom to fall out of the videogame business.  Atari retrenches.  I wonder what happens to the videogame business if, in 2009, Sony sudden announces they are out of the videogame business.  That is a megaton I am not sure anyone here can fathom, nor the fallout.

 

 to be honest no.  The fallout wouldn't near as catastrophic.  You would have one HD console and one family friendly non HD console (not calling the wii only for "casuals" by the way) in fact i think gaming would still be extremly healthy.  Maybe if sony fell out last gen while on a system with 120 million in place it would be a massive hit but considering the ps3 is sitting at only 19 million its not exactly fueling the industry.  If sony moved to developing only software we wouldn't see much of a hit in terms of gaming profitability at all.



Kasz216 on 04 January 2009
Aj_habfan said:
Good. They really are way to big and cover far too many things at a top price.

As long as the gaming division isn't affected, I like the move.

I hope they cut everything but the gaming division.

It's the only thing Sony does good.

Well Sony music is ok when they aren't infecting peoples computers.

The gaming division is non-core though...

Stringer seemed like he liked the PS3 division though.



Around the Network
neotea on 04 January 2009
ssj12 said:
Sony is probably going to cut manufacturing of all products 30- 50 %. They already cut PS3 manufacturing so they wont be bleeding as much. The PSP and PS2 they make money off of so they wont cut manufacturing.

We might see one or two facilities being temporarily shut down in Sony's main sites.

Still this isnt much of a shock. A ton of businesses are getting hurt. Nintendo might be seeing record profits but those profits are dropping the farther the worse the yen - euro and yen - dollar difference becomes.

I'd expect even Google to start hurting if this crap continues.

 

Nintendo capital is around 50-55 billion so the drop will affect that since that is what they are worth so that could affect them.  Still nintendo has 15+ billion in hard cash and growing thats not part of the capital as a backup.



I TAKE NO SIDES

irstupid on 04 January 2009

well I believe he stated the first 3 as his point, and you came back with the other ones but whatever. I'll let him refute if he wants to.


But you say their games are doing generally well. Sure this could be very true in the PS2 age. Barely any of the games are reaching a million as he said and not huge over a million those that are. On the PS2 these games would be making a very good profit, but on the PS3 the profit is probably very little compared to before.

Lets say 10 million profit to 2 million profit. Because of the dev cost and the less number sold. Apply that to 10 games of theirs and you have a profit going from 100 million to only 20 million.

That is 80 million less they are making on games. With the loss on each PS3 system sold this is where they can start going into the negative for over gaming division.



neotea on 04 January 2009

I gotta admit though this generation to me seems like every sony 1st game this gen has been bundle with ps3 in one form or another.



I TAKE NO SIDES

madskillz on 04 January 2009
Squilliam said:
makingmusic476 said:
Squilliam said:
Given the number of consoles sold thus far, they would be wise to close down a few of their SCE studios to lower their overall operating expenditure. If HD Publishers lost money this generation and they target 100% of the HD market how can SCE studios be assumed to be profitable? Their big games tend to be expensive and long in development with an unknown quantity of bundling throwing us off their real sales figures.

 

Most HD-centric publishers release quite a few duds. Sony is the opposite (outside of Lair, and they don't even own the developers). I could see Sony ending the NBA series, and maybe making some small changes elsewhere, but their games in general sell very well. 7 out of the top 20 best selling ps3 games are published by Sony, and Resistance 2 should break into the top twenty in mere weeks. Killzone 2, the next game in their line up, will probably outsell Resistance 2.

8 Million sellers in the database.

28 non Million sellers in the database.

Motorstorm -> Resistance 1 -> Gran Turismo 5P -> Uncharted -> Littlebig Planet -> Heavenly sword

or 6 of those million sellers have had official bundling and for the first 3 games the bundling was extensive. LBP I believe was bundled in the EU and Japan (with controllers)

 

Dang, thanks for shedding light on this. You're still insane, btw.

 



jammy2211 on 04 January 2009
BenVTrigger said:
richardhutnik said:
makingmusic476 said:

The focus of research and development must be on software, he said, adding: “The most important thing is that, to improve organisational strength in the areas of development, purchasing and marketing, it will be necessary to further concentrate power in the hands of [Sir Howard] and unless this is achieved we believe [Sony] will be unable to close the gap with competitors such as Apple and Nintendo.”[/quote]

Sony runs right into the strengths of Microsoft and Nintendo if the argument is the future is in software.

One has to also be concerns that Sony might end up being in a similar situation Atari was in during the crash of the early 1980s.  Out of nowhere they post large losses, and that causes the bottom to fall out of the videogame business.  Atari retrenches.  I wonder what happens to the videogame business if, in 2009, Sony sudden announces they are out of the videogame business.  That is a megaton I am not sure anyone here can fathom, nor the fallout.

 

 to be honest no.  The fallout wouldn't near as catastrophic.  You would have one HD console and one family friendly non HD console (not calling the wii only for "casuals" by the way) in fact i think gaming would still be extremly healthy.  Maybe if sony fell out last gen while on a system with 120 million in place it would be a massive hit but considering the ps3 is sitting at only 19 million its not exactly fueling the industry.  If sony moved to developing only software we wouldn't see much of a hit in terms of gaming profitability at all.

 Long-term I think the industry would benefit, all these HD games companies pump so much money into would be cheaper, faster and easier to develope with just one recogniseable platform. Sony's developement studio's wouldn't be lost, whether they were still Sony's is debateable but the good ones would survive after. I'm not saying it's what I want to happen but really there shouldn't be 3 consoles in the video games market, especially when the 2 treading on each others toes are in the smaller section of the market.

 The only downside is I'd have to buy another console, a bit annoying but I'd get over it. There may be issues with JApanese developers too, as I don't know whether they'd put alot into the Xbox if it still struggled in JApan. Not really worth thinking that in-depth into things at the moment :P.