Looking at the MS EADs result with 31 million loss i think Sony is in deep trouble too..

Many ppl r going to say that MS reduced the price of XBOX but i think its effect should have been more visible in the Quarter ending December 31, 08, cuz MS reduced the price in August, September and that Quarter (ending Dec 31, 08) was the first full quarter with reduced price XBOX 360. So the loss in this quarter ending March 31, 09 is totally unexpected in my view. Furthermore after a quarter, MS should have further reduced the cost of XBOX 360 hardware, so the price drop of 5 - 7 months ago should not have effected much now. 

But important thing is that, although 31 million loss is pretty negligible for MS but it shows a very bad sign for Sony SCE division. and the losses can be much worse. Yen has gone up a little but i don't think it is going to be much help either. Plus the software is still pretty weak for PS3 with sales of software in NA not picking up at all even with Killzone 2. 

So wot are your expectation of Sony PS3 division in light of MS EADs results? have you revised up or down ur Sony PS3 financial performance and why?

yes , I think they are gonna be in deep shit sadly.

I predict a lot of red ink.

I think KZ2 sales were weak. And they came out with PS3 a year later then 360 so they are still in a earlier part of the cycle.

Afraid??..I don´t own their stocks or work for them...with that said, what I am is curious to see those results, it could maybe offer an insight about a possible PS3 price cut.

Why should MS results matter for Sony?

Sony at the moment should already be profitable or breaking even on PS3 even more so when you consider higher percentage of PS3 sells in Europe or Japan which is adventage at current exchange ratios.

MS didn't have any big first party titles in Q1.

MS doesn't have two other consoles which are pure profit (PS2/PSP)

Just IMHO but sony gaming division should be profitable.

A little.

Thats a very bold statement

I agree with practically everything you said, apart from the last part.

Gaming division will be in the red, but not as much as people expect.

I don't think the two are related. Of course, SCE was always going to lose money since they barely broke even in the holiday quarter (with much higher sales than this quarter).

One positive thing for SCE is that the dollar/euro got a bit stronger during this quarter. Still, it won't be enough to make them profitable.

No, i think they will do lot better