ps4

[FaytalsCamaro]

More proof...you cant keep shooting down what im showing to you bud!

Sony Relying on sales from PS4 to succeed
http://www.mirror.co.uk/news/technol...ng-ps4-2663810

Sony is now relying on the PlayStation 4 to increase sales, as it cut its annual profit forecasts by 40 per cent.

Having released its results for the latest financial quarter, Sony made a loss of $8 million in the three month period ending September 30.

This is largely due to struggles in the hardware industry, although the price cut for the Vita is also being blamed.

"Operating loss of 0.8 billion yen (8 million U.S. dollars) was recorded, compared to operating income of 2.3 billion yen in the same quarter of the previous fiscal year," read the report.

"This year-on-year decline was primarily due to the impact of a strategic price reduction for the PlayStation Vita and the unfavorable impact of foreign exchange rates, partially offset by the above-mentioned increase in software unit sales.

"The decrease in sales on a constant currency basis was primarily due to a decrease in unit sales of PlayStation 2, PlayStation 3 and PSP hardware, partially offset by increased PS3 software unit sales compared to the same quarter of the previous fiscal year."

Sony Pictures fared badly with the poor performance of White House Down, especially when compared with how well The Amazing Spider-Man did the year before.

Now, the pressure is really on the company for the PlayStation 4 to perform well against rival Xbox One.

Sony seems optimistic, and has increased projections for the console.

They said the PS4 will "contribute to profitability from an early stage by diversifying its revenue streams through various network services centred on the PSN and by offering rich user experiences."

PlayStation 4 launches in the UK on 29th November .

[FaytalsCamaro]

Originally Posted by Devryn17

I can't access relevant articles from work, but the Playstation has been profitable since about 2010 IIRC.

My apologies here you go

According to Cousins’ report on Kotaku, Microsoft has spent some $2.996bn on Xbox 360 since it launched in 2005, while Sony has fared worse, spending $4.951 billion on PS3. Both figures are a loss, and you can see an overview of both company’s losses in Cousins’s financial table here.

Cousins, who has worked at a string of high-profile studios over the years – including Sony EA and Lionhead – has shed serious doubt on the future of the home console as we know it, citing SOny and Microsoft’s plan to sell each console at a loss as a reason for such poor fortune. It’s a poor strategy he says, as even with a combined total of 70+ million consoles sold, both companies are still losing money.

“Consoles like Xboxes, PlayStations & the Wii U are sold at a loss”, said Cousins. “It costs more to manufacture and distribute the device than it is sold for. Console manufacturers do this because they hope to make back the money from the license fee they charge for every game sold on the system.

“In order to offset the huge cost of hardware production, distribution, R&D and marketing, a hardware platform holder must sell vast quantities of hardware, and even bigger quantities of software. So much needs to be sold, in fact, that the data points to PS3 and Xbox 360 having made huge losses, despite having sold 70+ million units of hardware each.

“Of those 70 million Xbox 360s sold, a large proportion (approx. 40%) were bought after the most recent price cut of August 2009. Of the 70 million PS3s sold, a large proportion (approx. 42%) were bought since the introduction of the PS3 Slim.”

With such a large proportion of consoles being sold post-price cut, it seems as if the loss-leading strategy is failing to bear fruit for both companies. The issue isn’t being helped by some 50% of home console owners also owning a smartphone, tablet or both, devices which are seeing a rapidly advancing capacity for supporting triple-a game content.

Today’s reveal of the Tegra-4 powered Project Shielf from Nvidia shows that mobile gaming is rapidly gaining ground, and could pose a real threat to the home console market as we know it in 2013. As a final bullet point in his report, Cousin addressed this very issue, “Mobile developers and publishers are starting to target these ‘mainstream console gamers’ aggressively. I work for a mobile publisher just slightly smaller than EA, and we are targeting them aggressively.”

Predicting what he sees on the horizon for the industry, Cousins continued, “In the future, I see gaming as having two main markets:

“Mobile devices like smartphones and tablets will serve the biggest market—covering kids, casual gamers and the mainstream console people.

“The core and ultra-core gamers would be served by PC gaming, which will be smaller than mobile, but that will continue to grow. Many of the old-school PC gamers I know that moved to playing games on Xbox over the last 10 years are coming back to PC because of free-to-play and indie games, controller and TV support, as well as incredible digital distribution on platforms like Steam.”

So now it’s over to you readers. Which of the two brackets above would you say you’ll fall in to, should Cousin’s predictions come to pass? Are home console manufacturers really in trouble, or is this a knee-jerk reaction? Let us know below.

[Devryn17]

LOL Kotaku? Really?

[FaytalsCamaro]

Another article showing the loss Sony suffered with Ps3

I have seen a couple of threads / posts and even articles claiming that the PS3 made one of the greatest comebacks and is a profitable business for Sony. I just had to clear this up.

It seems that a lot of people forgot or ignore the gigantic losses Sony reported earlier this gen, thanks to the PS3.

The financial year that ended March 2006, Sony’s game division reported a 75 million USD operating income. Back then the PSP and PS2 were going really strong and were highly profitable. The operating income was down 80% just thanks to the R&D for the PS3. So even before the PS3 was released it already had its impact on the gaming business.

The financial year ended March 2007, the gaming division reported a 1.97 billion USD loss. Again the PS2 and PSP were profitable back then, so the losses made by the PS3 easily surpass the 2.2 billion USD mark.

Link: http://www.sony.net/SonyInfo/IR/fina...SonyAR07-E.pdf

The next year, Sony reported a 1.24 billion USD loss. Again considering the PSP and the PS2, 1.5 billion USD loss just for the PS3 in this one year is an educated guess.

Link: http://www.sony.net/SonyInfo/IR/fina...SonyAR08-E.pdf

In the year that ended March 2009 the gaming division saw some improvements, but still reported a 591 million USD loss.

Link: http://www.sony.net/SonyInfo/IR/fina...SonyAR09-E.pdf

So before the next financial year started, the PS3 already had a 4.3 billion USD loss to fight, not including R&D! Sony merged the gaming business with the Vaio business and called it “Networked Products & Services”. From this point on it gets complicated to guess the exact PS3 numbers. However the newly formed division reported a 888 million USD loss for its first year.

This was the year when the new model launched and the PS3 saw a big price cut. This was the time when Sony decided to go after market share instead of profits. Tha vaio-business is way smaller than the Playstation business, so at the very least 500 million USD of those 888 million loss belong to the Playstation, mainly for the PS3. Let’s be very conservative here and say the PS3 only lost 400 million USD.

Link: http://www.sony.net/SonyInfo/IR/fina...000003dl0u.pdf

The year financial ending March 2011 was the very first year the PS3 actually made a profit! The new division posted a 428 million USD profit for the whole year. The Vita was not yet launched and the Vaio business was going strong according to the report. 300 million USD profit for the PS3 is an optimistic guess.

Link: http://www.sony.net/SonyInfo/IR/fina...SonyAR11-E.pdf

The next year Sony decided to mix the division formed 2 years ago with all the other businesses for consumers (LCD, audio and video, gaming, tablets). Sony reported that this new division started with a breathtaking 2.8 billion USD loss. The report states that there were a lot of impacts that went bad for them (floods in Thailand and decreased sales of Playstation 3 hardware, digital cameras and PCs). Let’s be VERY optimistic and assume that the gaming division did not post a loss, even though the PSN outage cost them 171 million USD and is included in this report.

Link: http://venturebeat.com/2011/05/23/so...ge-costs-171m/
Link: http://www.sony.net/SonyInfo/IR/fina...n/docs/EAR.pdf

For the FY 2013 the gaming division is back and called “Game”. Here are the results we have so far:
Q1: 45 million USD loss
Q2: 29 million USD profit
Q3: 53 million USD profit.

= 37 million USD profit in the past 9 months.

So overall we are looking at a total loss of 4 billion USD for the PS3, not including R&D and that is a very optimistic guess. With all the factors I chose to ignore to show you that this is not biased in any way (R&D, PSN Outage, Most of the PS2 / PSP profits) the actual number would be way higher. There are reports that the cell processor alone cost 400 million in R&D, add Blu-Ray, PSN etc. and you get the idea. So a 5-6 billion USD loss for the PS3 is very likely.

So the comeback of the PS3 never really happened. And it did not make any money yet and won’t recoup the money at all. This is not spinning, no trolling just hard facts from the financial reports. This is why I don’t get all these celebrations of Sony and the PS3. Imagine where the Xbox 360 or the Wii would be if Nintendo or MS were willing to take a 5 billion USD loss…

I knew Sony had staggering losses, but I didn’t know it was this bad. Exactly

[FaytalsCamaro]

Those are PDF files FROM sony...if you want to LOL at that I dont know what to tell you...PS3 lost SOOO much money for Sony...Hopefully they dont Die and PS4 can dig them out of that hole

[FaytalsCamaro]

Microsoft is able to take hits like that...Sony can not....

[FaytalsCamaro]

And just to let you know Xbox if you INCLUDE the original one was even worse off...it made NO profits

[FaytalsCamaro]

Dont know if this shows up for you but it is a VERY interesting chart.

Just for reference the 360 came out in 2005, the PS3 in 2006.

The Original Xbox was a complete loss for Microsoft. They didnt report a profit for it at all.
The PS3 almost single handily wiped out the profits of the PS1 and PS2 COMBINED Unfortunately it doesnt show up to 2013 but those missing years arent enough to make up for the loss...

Information from the chart for JUST the PS3 era: 4.125 Billion Dollar Loss
Information for JUST the 360 Era: 2.53 Billion Dollar Loss. Didnt include 2011 since PS3 data wasnt shown on chart.

To say that these companies are seing an overall profit from these systems is ignorant....

[FaytalsCamaro]

and then you look at nintendo....fn jackasses...sitting on their high and mighty white steed of valor...bastards lmao

[MikeMoach]

So if I understand the playstation now correctly, I'm gunna be charged to play games like game fly?

Didn't see anything about games I already own how is that gunna work?

[Devryn17]

Originally Posted by FaytalsCamaro

and then you look at nintendo....fn jackasses...sitting on their high and mighty white steed of valor...bastards lmao

You're focusing on the hardware division only. I'm done with this discussion.

[Devryn17]

Originally Posted by MikeMoach

So if I understand the playstation now correctly, I'm gunna be charged to play games like game fly?

Didn't see anything about games I already own how is that gunna work?

Not exactly, and all of the details haven't been released yet, but it works like OnLive.

The way I understand it now, there will be a monthly fee, and for that fee, you'll have access to a library of games from PS3, PS2, PS1, and maybe others. These games will be played via high speed internet and streamed from the "cloud." No install, no downloading, they just play from the cloud. They will also give you the ability to "rent" games if you don't want to pay the monthly fee.

What I want to know is if I'll be able to stream games I already own digitally.

[MikeMoach]

Originally Posted by Devryn17

Not exactly, and all of the details haven't been released yet, but it works like OnLive.

The way I understand it now, there will be a monthly fee, and for that fee, you'll have access to a library of games from PS3, PS2, PS1, and maybe others. These games will be played via high speed internet and streamed from the "cloud." No install, no downloading, they just play from the cloud. They will also give you the ability to "rent" games if you don't want to pay the monthly fee.

What I want to know is if I'll be able to stream games I already own digitally.

Not just digitally owned games, If I own a game on disc why should I have to pay again to own it in the cloud?

[Devryn17]

Originally Posted by MikeMoach

Not just digitally owned games, If I own a game on disc why should I have to pay again to own it in the cloud?

Granted, but the discs don't have any kind of unique ID so how do you prove you legitimately own the game?