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

Forums - Sony - Sony expects first loss in 14 years amid downturn :(

papflesje said:
weird that Nintendo, despite doing so very well, also lost half its value on the stock market...

 

That's not weird at all. Nintendo also has to face a strong Yen and a weak economy, so it's normal that the shares will drop. And Nintendo stock was at an insane level anyway. Nintendo market cap is still some 2.5 x Sony's, which is ridiculous compared to the revenue and assets. From Forbes (Sales, Profit, Assets, Market Value in $US Billion):

82 Sony Japan Technology Hardware & Equip 88.89 3.70 124.12 17.12
274 Nintendo Japan Technology Hardware & Equip 16.76 2.58 17.87 41.25


Around the Network

Let me spin one improbable scenario, but might happen.

The Playstation brand isn't likely to end up disappearing. However, there is a chance Sony could end up selling it off to some company wanting to break into the videogame business. If Apple were to acquire the Playstation brand, I am curious what would happen to the Playstation fan base.



Solid_Snake4RD said:

Sony will have double the profit of this loss next year

You DO realize that there's no way in hell that could happen, right? Sony would have to INCREASE the cost of the PS3, in a time when it needs to CUT the price, thus widening the gap of ROI to manufacturing cost per unit sold. Outside of the short term effects of FF13 sales, there's nothing they can do to stop the bleeding, minus for redesigning the PS3 with cheaper parts and/or taking some features out, like a PS3 without Blu Ray.

 



I just checked out what the $1.14 billion fiscal-year loss really means.

In Q1, Q2 and Q3 they had profits of 35 bln yen, 20.8 bln yen, 10.4 bln yen respectively, or 66.2 billion yen in total.

$1.14 billion is 111 bln yen. So their predicted loss for Q4 is 177.2 bln yen, or $1.8 billion. If they lose that much in each quarter of the fiscal year that's a $7.2 billion yearly loss... Even if it's half or a third of that due to improvements in the yen and cost cutting, that's a huge loss (and that's not counting the economy getting worse than in this quarter).

 



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

Ouch..................



 

 

''Halo reach''.. sell 7.m first week ,Believe¡¡¡¡¡¡

 

 

 

 

 

 



Around the Network
richardhutnik said:
Let me spin one improbable scenario, but might happen.

The Playstation brand isn't likely to end up disappearing. However, there is a chance Sony could end up selling it off to some company wanting to break into the videogame business. If Apple were to acquire the Playstation brand, I am curious what would happen to the Playstation fan base.

 

mass suicide.............

 



 

 

''Halo reach''.. sell 7.m first week ,Believe¡¡¡¡¡¡

 

 

 

 

 

 



wow....I feel pissed off instead of sad



 

Favorite films. Foreign films forever!

 

NJ5 said:
The worse part is that during all those years of profits they were racking up debt instead of building up a money pile for times like these. That's a big part of why Sony will have a hard time recovering.

 

 How's that possible?



Nothing we didn't already know, but what we DO know is the PS2 is getting more important to keep gaming close to the black. What we DO know is that a $100 PS3 price cut would possibly boost losses in the hundreds of millions as well.



"...You can't kill ideas with a sword, and you can't sink belief structures with a broadside. You defeat them by making them change..."

- From By Schism Rent Asunder

when i first read the headline i thought it said sony expects a 14 year downturn. I thought well thats brutally honest of them ...



come play minecraft @  mcg.hansrotech.com

minecraft name: hansrotec

XBL name: Goddog