Sony has lost over $3 billion on the PS3 (1 Viewer)

[LSSpam]

http://videogames.yahoo.com/feature/sony-has-lost-over-3-billion-on-the-ps3/1223467

In the company's fiscal 2008 annual report, Sony revealed that they've now lost roughly $3.3 billion (that's billion with a B) on the Playstation 3 since its launch. That breaks down to $2.16 billion in 2007, followed by a notably smaller but equally daunting $1.16 billion loss in 2008.

 

[saintsfan92687]

didn't they lose money on the PS2 as well?

I think they make all their money on games and liscences

 

[antipop]

omg....sell your ps3.....

hellllp

 

[DSchexnaydre]

I bought one and I rarely play it.

GTA is fun, along with Madden, NCAA Football, and NBA 2k8 but other than those 4 games I'll never touch it.

 

[BleedBlackNGold]

Sales have since picked up and yes, games and licenses are how they profit.

 

[Jeff Miller]

Haven't you guys been listening over the last year? BluRay is where they will make any profit. They had to mark down the machine to get market penetration to win the HD format war.

Its more profitable for Sony to take $3 profit for every BluRay disc it sells than $100 for every PS3 it sells.

 

[NolaDome]

Well Its a quality product, that still sells at $399...They could sell it ffor $499 given its features....

Althought Ninja Gaiden II has made me love my 360 again!

 

[RazorOye]

Haven't you guys been listening over the last year? BluRay is where they will make any profit. They had to mark down the machine to get market penetration to win the HD format war.

Its more profitable for Sony to take $3 profit for every BluRay disc it sells than $100 for every PS3 it sells.

but there is speculation that Blu-Ray is on borrowed time as it is

depending on how true it is, it could still be a tough loss

Besides, if you want to factor Blu-Ray into the equation, then shouldn't the money invested in both the technology and securing studio exclusivity be factored into it as well?

I don't see how you can look at just development costs of the PS3 and use Blu-Ray as the redeeming feature, financially, when that particular technology cost quite a bit to create as well.

I think most articles I've read state that Sony will never make it's money back on the PS3 and this might adversely impact the next generation of gaming consoles.

I'll have to pull one of those articles in my trade magazine for more specifics - I can't recall them right now.

 

[SigFreudianSlip]

Why is Blu-Ray on borrowed time?

 

[The Mongoose]

Why is Blu-Ray on borrowed time?

HD downloads.

Apple TV and Netflix's new box (which may or may not be the 360; depends how negotiations go).

 

[antipop]

how many people have a TV hooked up to their PC???? storage issues??? come on, it will be years before this happens....

 

[The Mongoose]

how many people have a TV hooked up to their PC???? storage issues??? come on, it will be years before this happens....

It might be years before you do it -- we had to pull you into this generation of gaming, kicking and screaming, lol. You're old school.

But peep this:

from http://biz.yahoo.com/ibd/080624/tech01.html?.v=1

The Netflix Player by Roku is becoming a must-have device for many subscribers of Netflix's DVDs-by-mail service.

The television set-top box is cheap ($99), easy to set up and use, and offers a good library of content that's bound to improve over time.


To use the device, you need two things: a Netflix (NasdaqGS:NFLX - News) subscription and a broadband Internet connection.

I plugged the small device into the composite video and audio jacks on the back of a seven-year-old Sony (NYSE:SNE - News) analog tube TV. The device located my Netgear wireless router linked to an upstairs PC with Comcast (NasdaqGS:CMCSA - News) cable Internet service. Setup was simple; I just followed the on-screen instructions.

Many reviewers have found the content available for streaming to be lacking. While it offers only 10% of the titles Netflix has available for watching on DVD, I found more than enough content to justify the purchase.

In early May, Netflix gave subscribers a separate rental queue of movies and TV shows available for instant viewing. It automatically created the list using titles in subscribers' DVD rental queues.

This is the list that populates the on-screen viewing guide from the Roku box. So you're only presented with the content you have preselected for viewing from the Netflix Web site on your PC. This makes for a clean interface and minimal navigation using the included remote .

With the remote, you can scroll through movies and TV shows illustrated by DVD cover art. Press a button and movies start playing after several seconds.

While some reviewers and industry analysts have criticized Netflix's instant-streaming library as second rate, I think it works well as a complement to the core Netflix DVD service.

I filled my instant-viewing queue with more than 80 titles. They include television shows ("Dexter," "Heroes" and "The Rockford Files"), documentaries ("The King of Kong," "Crazy Love" and "Little Dieter Needs to Fly"), classics ("Leave Her to Heaven" and "Mr. Smith Goes to Washington"), and foreign films ("Them," "The Orphanage" and "A Very Long Engagement"). Plus I've added a bunch of independent films, horror movies and comedies.

Popular videos on the service now include TV shows like "The Office," "Weeds" and "30 Rock" and movies like "Vince Vaughn's Wild West Comedy Show," "Mean Girls" and "Before the Devil Knows You're Dead."

The Netflix instant-viewing service also offers some videos that aren't even out on DVD yet, such as the short-lived comedy "The Dana Carvey Show" and cult thriller "Rolling Thunder."

It ain't gonna be long.

 

[antipop]

so you watch it once and then what??? i buy movies that i like....what about that???

 

[The Mongoose]

so you watch it once and then what??? i buy movies that i like....what about that???

Brah, I don't make the rules. Technology is changing fast. Maybe get a cabin in the woods like the unabomber, I dunno.

For what it's worth, Sony is getting into the game as well. They think they can provide more content with their relationships to studios. I think some new Bravia TV can access your PS3 without an additional box.

They're going to try to hornswaggle that market like the did the HDDVD - Bluray. So all is not lost for you. But, typically, they are late to the party and playing catch up.

You should really reconsider which companies you choose to align yourself with. Rooting for Sony is like rooting for John Wayne Gacy or something.

 

[antipop]

ha....dude, i haven't even bought a blu-ray movie yet.....my ps3 came with spiderman 3....it's the only one i have