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Forums - Sales Discussion - Forbes: Sony is Screwed...Is this article accurate?

@largedarryl - That is true for current OLED products on the market, but then again for a cell phone it doesn't matter if the screen only lasts 5 years if the keypad will only last about 1-3 years. Fortunately the newer OLEDs that Toshiba and Panasonic are working on have a longer lifespan than current LCDs.



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CMoney said:
Excellent article detailing the possibility of Sony going bankrupt.
Very informative and well researched.
This will silence a lot of rumors.

http://www.financeasia.com/article.aspx?CIaNID=92704

Apparently this information comes from Credit Suisse back in December.

It looks more optimistic than the article in the OP in that it forecasts a 150 billion yen loss for the next fiscal year, and the more recent OP article mentions the possibility of a 450 billion yen loss.

This is starting to get confusing fast, not surprising since this is a rare situation...

 



My Mario Kart Wii friend code: 2707-1866-0957

WiiBox3 said:
@largedarryl - That is true for current OLED products on the market, but then again for a cell phone it doesn't matter if the screen only lasts 5 years if the keypad will only last about 1-3 years. Fortunately the newer OLEDs that Toshiba and Panasonic are working on have a longer lifespan than current LCDs.

 

The incorporation of a metal membrane aids the lifespan of OLED's beyond thatof LCD's.



Hackers are poor nerds who don't wash.

This is big news for Sony. It will without a doubt affect the gaming industry, and PS3 owners directly. We'll just have to wait and see exactly how this plays out. Games could be dropped. I doubt Sony is about to start any huge, expensive first party games anytime soon.



I don't need your console war.
It feeds the rich while it buries the poor.
You're power hungry, spinnin' stories, and bein' graphics whores.
I don't need your console war.

NO NO, NO NO NO.

bdbdbd said:
@Jordahn: I didn't mean it how you understood it. Basically Sony has done the same thing in the past as todays cheapo manufacturers do; they adopt the tech when it's cheaper.
Now, since Sony has had advantage from the new tech, they want to keep the advantage, so they spend huge amounts of money in R&D (which is the one that's been "killing" them in recent years) to be the "first one out". Although, on TV:s, sticking to CRT did hurt Sony badly, since it had to ramp the flat screen TV manufacturing up with high costs.
Now, they shouldn't quit developing new tech, but what they should do, is to keep their R&D costs lower, see what their competitors come up with and either improve from that or sell the products cheaper.
Sonys recent way of thinking has made them a tech orientated company from a customer orientated company that it once was.

Sonys current problems don't base themselves to the downturn, but to their recent years, when the situation was bad to begin with, when the downturn started.

 

Ok, I see where you are coming from, and I mostly agree with you since I too think that SONY needs to find some way to reduce their R&D costs as well.  Thanks for the clarification.



Hackers are poor nerds who don't wash.

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Jordahn said:
WiiBox3 said:
@largedarryl - That is true for current OLED products on the market, but then again for a cell phone it doesn't matter if the screen only lasts 5 years if the keypad will only last about 1-3 years. Fortunately the newer OLEDs that Toshiba and Panasonic are working on have a longer lifespan than current LCDs.

 

The incorporation of a metal membrane aids the lifespan of OLED's beyond thatof LCD's.

 

lifespan is a misleading term. As I understood it, lifespan as related to LCD tvs is the amount of time it takes for the screen to reach half factory vibrance. The screen itself can work indefinitely.



I don't need your console war.
It feeds the rich while it buries the poor.
You're power hungry, spinnin' stories, and bein' graphics whores.
I don't need your console war.

NO NO, NO NO NO.

ZenfoldorVGI said:
Jordahn said:
WiiBox3 said:
@largedarryl - That is true for current OLED products on the market, but then again for a cell phone it doesn't matter if the screen only lasts 5 years if the keypad will only last about 1-3 years. Fortunately the newer OLEDs that Toshiba and Panasonic are working on have a longer lifespan than current LCDs.

 

The incorporation of a metal membrane aids the lifespan of OLED's beyond that of LCD's.

 

lifespan is a misleading term. As I understood it, lifespan as related to LCD tvs is the amount of time it takes for the screen to reach half factory vibrance. The screen itself can work indefinitely.

I'm am not referring to the half-life of the technology.



Hackers are poor nerds who don't wash.

ZenfoldorVGI said:
This is big news for Sony. It will without a doubt affect the gaming industry, and PS3 owners directly. We'll just have to wait and see exactly how this plays out. Games could be dropped. I doubt Sony is about to start any huge, expensive first party games anytime soon.

 

If there is any industry that has defied a slowing economy that would be the entertainment industry, including console gaming.  SONY's gaming division would be the least to be effected since PSP and PS2 development are still beneficial to the company while PS3 demand has increased.  Also, the PS3 has contributed to Blu-ray's success so whatever SONY can do to promote the PS3 also promotes Blu-ray.  SONY also announced the SOE will be working with the PS3.  And fortunately, the loss per PS3 sold has been reduced to around $50 USD.  We can make speculations, but these fact would make a logical conclusion that the gaming division would be one of those least effected at the moment because it's showing tangable progress.



Hackers are poor nerds who don't wash.

Jordahn said:
ZenfoldorVGI said:
This is big news for Sony. It will without a doubt affect the gaming industry, and PS3 owners directly. We'll just have to wait and see exactly how this plays out. Games could be dropped. I doubt Sony is about to start any huge, expensive first party games anytime soon.

 

If there is any industry that has defied a slowing economy that would be the entertainment industry, including console gaming.  SONY's gaming division would be the least to be effected since PSP and PS3 development are still beneficial to the company while PS3 demand has increased.  Also, the PS3 has contributed to Blu-ray's success so whatever SONY can do to promote the PS3 also promotes Blu-ray.  SONY also announced the SOE will be working with the PS3.  And fortunately, the loss per PS3 sold has been reduced to around $50 USD.  We can make speculations, but these fact would make a logical conclusion that the gaming division would be one of those least effected at the moment because it's showing tangable progress.

Besides God of War, Daxter and Ratchet and Clank I'm not too sure if Sony's efforts on the PSP have been particularly profitable ...

Sony's goal to return the company to profitability would mean that each division would be expected to reduce expenses and/or increase revenue, as a result SCE could reduce spending on games (by producing less games and less expensive games) and focus on series that sell well.

 



in the future I envision a one console future...that console is a nintendo branded console...ahh.