That is HORRIBLE news for sony.
Especially when you consider the holiday shopping quarter is by far supposed to be the most profitable for the year.
In fact, companies usually generate 40-60% of their yearly profits during november and december holiday months.
A sad day for sony shareholders.

Sony has done a lot of it to itself, kind of the way that Sega did awhile back.

Yes. In Q1 they had 73.4 billion yen profit, in Q2 11 billion yen.

According to the reuters article, the expected FY result is a 100-200 bln yen loss, so a 184-284 billion yen loss in Q3+Q4.

http://www.sony.net/SonyInfo/IR/financial/fr/viewer/08q1/slide/image/03_image.jpg

http://www.sony.net/SonyInfo/IR/financial/fr/viewer/08q2/slide/image/03_image.jpg

Ouch that would not be good.

Yes but the gaming part of the buisness would only be a fraction of the whole company.

I guess then the question becomes how much of it is from the gaming division.

 Judging by the quality of some people's posts on these forums, quite a lot of people lol.

In Q1, the gaming division made 5.4 billion yen, in Q2 it lost 39.5 billion yen... For this quarter I would expect at least 20 billion yen in losses, for the next one I have no idea since it depends a lot on the Yen's strength.

It wouldn't surpise me if it was in the $600-800 million range for the game division (Q3). They already cut $300 million back in the October revision due to currency losses for the game division.

You think so?  They reported that 39.5 billion yen loss at an exchange rate of 105 yen to the dollar, now it is much lower than that.  Holiday quarters are usually better because of higher PS2/PSP/software sales but i dunno if it can offset it that much.