I am saying it's nothing remarkable this step from desktop to console (or vice versa). For example the most innovative virtual reality arcade machines had an Amiga 3000 at their core. Also for example Microsoft already had Windows CE (for example also running on PocketPCs) with DirectX running on the Sega Dreamcast as its operating system.

WTF so currently the PS3 is at a 4.7 billion dollar loss...

And Ps2 was pure profit so let's say on average the first 80 million or so ps3's made a 50 dollar profit= 4 billion

the next 50 million maybe made 20 dollars = 1 billion

and so we can assume the PS2 as a system made 3- 5 billion on the console alone

And GT series alone has been name a billion dollar franchise... but that away from the point.

Sony has sold nearly 1.5 billion peices of CD software and at 5-10 dollars profit for sony= 5- 15 billion

And let's throw in another 500 million in head stets and other accesrioes

So sony possibly made 5-25 billion dollars in those years because sony stock was valued at 150 even with a stock split.

So no they didnt drain 6th generation funds PS3 cost 3 billion to devolop so it's at a lost of between 4.7-8 billion.

So if it took 3.5 years for 5 billion dollar debt than in twice the time it should pay off because by 720 release 360 support will be cut off PS3 support wont so if it take twice the time to pay off sony will make a profit in it's 10 PS3 year or less.

Your estimates are way off... in its best PS2-era year, Sony Computer Entertainment had a $924 billion profit, and the total profit is nowhere near your figures:

http://www.vgchartz.com/forum/thread.php?id=57802&page=1

Besides, the PS3 is not at a 4.7 billion dollar loss. That's SCE's total loss since the PS3 got launched, so it includes PS2/PSP profits made in the past few years.

As if that was not enough, it's not expected that the PS3 will get anywhere near PS2's success, which raises the question of how it can get anywhere near PS2's profits.

PS: You forgot to include costs such as employee salaries, marketing, and so on.

Erm employee costs etc are part of turnover. And how do you know the ps3 wont achieve ps2 style success sales wise?. Only now is the ps3 at a pricepoint where it can build up a head of steam. And with Sonys superb and numerous 1st party things will atleast be interesting to watch from now on.