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Forums - Sales Discussion - Can the least selling console be profitable?

robjoh said: albionus said: As is the Wii CPU, I wonder how IBM cornered that market. GameCube, it could be produced with a much lower cost than any of the other system last gen. IBM proved themselves last gen and is now cashing in.
Yeah I know IBM delivered last time but it is funny how all three systems use the same manufacturor for their CPU's. IBM did a great job giving each company what they wanted, I just hope for their sake that they made Sony foot most of the bill for the Cell.



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I have red somewhere even though GCN sold the least it earned the most last generation



melbye said: I have red somewhere even though GCN sold the least it earned the most last generation
Someone correct me if I'm wrong, but back in the 2005 fiscal year, Microsoft reported a 550 million increase in games division Sony reported a 500 million dollar loss in entire company Nintendo reported a 1.2 billion dollar profit for the games division (others being Poke'mon cards and all that crap) I'm going to try and find a link. Edit: http://abcnews.go.com/Business/wireStory?id=2003162 Fiscal 2005 sales slipped 1.2 percent to 509.2 billion yen ($4.5 billion) (Nintendo)



 

  

 

Alacrist said: Someone correct me if I'm wrong, but back in the 2005 fiscal year, Microsoft reported a 550 million increase in games division Sony reported a 500 million dollar loss in entire company Nintendo reported a 1.2 billion dollar profit for the games division (others being Poke'mon cards and all that crap) I'm going to try and find a link. Edit: http://abcnews.go.com/Business/wireStory?id=2003162 Fiscal 2005 sales slipped 1.2 percent to 509.2 billion yen ($4.5 billion) (Nintendo)
Sony posting a loss for the entire company says nothing about whether or not they made a profit off of the PS2. Remember Sony is pretty much a bigger company than the other two and covers many fields. Edit: After making a billion in profit for the year, Sony claimed a loss of profit was due to restructuring the company and the R&D for the PS3.



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staticneuron said: Alacrist said: Someone correct me if I'm wrong, but back in the 2005 fiscal year, Microsoft reported a 550 million increase in games division Sony reported a 500 million dollar loss in entire company Nintendo reported a 1.2 billion dollar profit for the games division (others being Poke'mon cards and all that crap) I'm going to try and find a link. Edit: http://abcnews.go.com/Business/wireStory?id=2003162 Fiscal 2005 sales slipped 1.2 percent to 509.2 billion yen ($4.5 billion) (Nintendo) Sony posting a loss for the entire company says nothing about whether or not they made a profit off of the PS2. Remember Sony is pretty much a bigger company than the other two and covers many fields.
I know so if you can find the info on just the gaming division I will edit my post.



 

  

 

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Only Nintendo can. The others' business models are poorly designed for being underdogs. Only if the others changed how their systems generate funds will this be any different. John Lucas



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WE ARE THE NATION...OF DOMINATION!

 

Nintendo has a model where they will always be profitable. Even the GameCube ended up being quite a profitable entity for them. Microsoft was the least profitable last gen of the three. There's word that they're already making a profit on the 360. I'm not sure I totally buy that, but they're doing better with losses that they were at this time last gen. The PS3 to be profitable is probably going to have to sell 40-60 million world wide. It could be three or four years before Sony is making money on hardware sales. In the end I think Sony will end in the profitable range but it will take a long time.



melbye said: I have red somewhere even though GCN sold the least it earned the most last generation
A large amount of that cash comes from Gameboy.



 

 

Buy it and pray to the gods of Sigs: Naznatips!

Christopher_G2 said: Nintendo has a model where they will always be profitable. Even the GameCube ended up being quite a profitable entity for them. Microsoft was the least profitable last gen of the three. There's word that they're already making a profit on the 360. I'm not sure I totally buy that, but they're doing better with losses that they were at this time last gen. The PS3 to be profitable is probably going to have to sell 40-60 million world wide. It could be three or four years before Sony is making money on hardware sales. In the end I think Sony will end in the profitable range but it will take a long time.
They are making money on the premium edition of the xbox360. This gen is not profitible yet



 

 

Buy it and pray to the gods of Sigs: Naznatips!

Nintendo can't risk making a console that's not profitable for them... Microsoft and Sony (being ultra RICH compared to Nintendo and much more profitable) CAN risk it.. and that's what Sony's been doing... but you know the saying "What goes around comes around", right? The years Sony took to invest in the PS3 and make it as high-end as possible will ulitmately be good for them.. games and movies will bring back the money they've lost creating the PS3 AND more. But this is something we'll just have to wait and see. Microsoft's Live will give it the money it so desperately wants... That was the case with the Xbox, that would be the case with the 360.