PS3 Costing Billions

Aug. 20 2:25 PM by Ladyluck

As popular as the PS3 is, it is still losing the battle, the battle with sales. Even though Sony has recorded a profit of around $51 million during the April to June quarter. With how expensive the PS3 is it has still been a loss leader for Sony.

In the last two years, the PS3 has cost Sony over $3.3 billion dollars. Ironically this is more than the 5 years sales peak that the PS2 had. Since Sony has invested so much money into the PS3 it is likely that the PS3 will extend the life cycle as far as it can. Which will be even longer than the PS2.

Sony did lose money in the beginning on the PS2. But it also had a quick turn around after Sony streamlined the system. If they follow the same path with the PS3 they make be able to surpass the large investment that has been made.

So let's hope for the best, and maybe some more awesome games from the developers to help push more sales of the PS3. = ]

Comments

it cost sony so much b/c they took a chance @ introducing a new media format (which won). it will take them longer to get back to profitability than ps2, but it will happen. hell, its already happening as BR cost is gradually going down and companies (Apple namely) are leasing the tech. it is rather old news tho and us gamepro posters are already WAYYY past this.

Without beating this dead horse anymore, I think Blu Ray is nice to have but I sure as hell wasn't going to pay $600 for it. I'll probably get a PS3 when the price goes down and there are more good games that I can't already get on 360.

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Without beating this dead horse anymore, I think Blu Ray is nice to have but I sure as hell wasn't going to pay $600 for it. I'll probably get a PS3 when the price goes down and there are more good games that I can't already get on 360.

this.

btw don't know what happened in the fist post. sowy...

Completely disagree sonyboy69. I knew your company of choice was losing money, but this much? That's more than just a quick kick in the balls. Ladyluck, not implying this isn't possible, I'm just shocked Sony would go public with this information. So I have to ask: who's your source?

You can see tons of articles on this. I have tons of sites that have the information up. Just to name a few are: Yahoo (in the video games section), gamesdaily, gamesindustry, xinhuanet, or for that matter, just type in PS3 Billion Loss in the google search engine.

...question? who cares? i mean really? is it your company? seriously who cares people are buying them. they'll pretty much make there money back. so what does it matter?

1. PS3 doesn't cost $600 dollars anymore, I love when people misquote the price by 33%.
2. Blu Ray - without the PS3, there was a slimmer chance that blu-ray would have won the media war, the PS3 secured its victory, so basically, sony is oing to make more off of blu ray than microsoft and nintendo combined off of their consoles and game royalties considering BD is going to be the standard over dvds in the next 5 or so years.

I didn't say that price was $600. I used the past tense, meaning I wasn't going to pay that at launch. That's where the PS3 really stumbled, and now they have to make up that ground. I also don't like the idea of buying a console with Blu Ray inside so Sony can profit from movie sales off of me in the future. I still don't see much difference in GAMES between Blu Ray and DVD.

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Glad its losing, hate Sony.

yes Sony has lost a ton of money on the PS3, but MS has lost money on the XBOX and xbox360. if you go to joystiq and read their artictle they explain that as well, this is a quote from their article

In all fairness, the article goes on to explain that Microsoft lost $4 billion on the original Xbox, and has had to spend over $1 billion replacing faulty hardware in the 360 and extending the warranty for original purchasers. So, we tend to think $5 billion trumps $3 billion. The real winner in this struggle? Nintendo. It has been churning a profit on that little Wii since it hopped out of the gate. Rassin' frassin' wand-wagglin' profiteers.

http://LINKS OMITTED com/2008/08/19/the-sony-reciprocal-ps3-losses-surpass-ps2-profits/

I still don't see much difference in GAMES between Blu Ray and DVD.

here is the problem with that statement, the games you can realistically compare are going to be multiplatform games, that being said there really cant be too much of a visual difference being you cant polarize one fanbase over another. if the ps3 version came out looking 3 times as better(which BluRay is for storage not graphics) then the 360 fans would be pissed.

as for Sony Profiting off movies sales from you, do you own ghostbusters? Spider-man or one of the many other movies they produced? they are gonna get your money one way or the other.

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