ps3 came out slipping on banana peels, but we could argue all that jazz to no end. i think what matters is what sony will do to address a hurting economy going forward. i mean the psp is doing well, so its obvoius that a price drop will help them get over the hump. as my fellow commenters mentioned, sony sells more than games, so its sony as a whole, honestly.
Soldier_CLE says DON'T STOP AT THE STAR! REVOKE THE WHOLE DAMN THING, OWEN!!! was starred
Soldier_CLE says DON'T STOP AT THE STAR! REVOKE THE WHOLE DAMN THING, OWEN!!! was unstarred
A 6% plunge in a day is bad, but frankly not too bad. Shares do tend to be volatile in recessionary environments. And it's Sony as a whole, so the cause will most likely not be the entertainment division
Time to pull your socks up Sony, and keep trying different things. We would love a price drop, and we would love more advertising of your content
@KillerBee: Want to prove it? Despite what everyone says, the PS3 is selling quite well worldwide, the PS2 is still bringing in some cash and the PSP is quite popular now too. They may or may not turn a profit from that division, but either way I strongly doubt it's a "money hole".
@KillerOnTheRoad: According to estimates, Sony is still losing $75-100 per PS3 sold. That is after cutting backward compatibility, USB ports and changing manufacturing procedures.
With weak software sales, the lowest attach rate of any gaming console in history and predicted hit games like LBP selling FAR below expected numbers, the gaming division is bleeding profit.
Therefore, the gaming division has to be held up with profits from other divisions. Sony's TV line is overpriced, their computer line is bloated with mediocrity and WAY too expensive and their audio line is basically non-existent. In an economy like this, when people are buying the more competitively priced products, every Sony line is suffering and having to carry the burdened gaming division makes things that much more difficult.
@KillerBee: Where do you get these numbers from? Last time ive read about PS3 sales, it was said that they dont lower the price because they wont make any profit then. So they're still getting a bit + with the PS3.
@KillerOnTheRoad: Sony's in a slump, pure and simple, and I say that as a longtime Sony loyalist of their consumer electronic products. They were the 800 lb. gorilla of the industry for the last twenty years of the twentieth century, then things started unraveling a bit.
Backing minidisc and the ATRAC codec was basically spitting in the face of a consumer market that had clearly shifted to mp3, all but begging a rival company like Apple to create a product that effectively ate Sony's lunch. The Walkman brand was a juggernaut, and now it's worthless.
Sony's WEGA line was incredible back in the standard-def days, and I've got many fond memories of using it with my PS2 in college. That TV was such a great investment that I stuck with an Bravia XBR4 last year when I switched to HD, but again, competitors have caught up. Prices have dropped so much that nobody's making much on the margin for televisions sold this season.
The PS3 has underperformed. There's no way it can be spun otherwise. Yes, it's big in Eurasia, but its failure to take hold and dominate the American market as its two predecessors did is not sitting well with analysts. Compound that with Bluray, which won the format war but is still fighting against digital downloads and HD on-demand services from cable companies, and Bluray was hardly the massive consumer shift Sony had hoped for, when we all switched from VHS to DVD.
The dust has effectively settled on this generation of the console race. And Nintendo won handily. Shovelware and "$250 board game" rhetoric aside, they're back in the saddle with authority I haven't seen since I was a kid playing on my SNES. Whether that leads to lasting momentum in the next generation of consoles remains to be seen, but after the relative failures of the N64 and the Wii, it's nice to see the underdog still in the fight against two behemoths.
Sony's gaming division is just going to have to take the bath on the PS3, weather it out, and rethink its approach both internally, and basically the company at large.
In Europe (well, Britain), nearly every multiplatform game focuses on 360. I NEVER see a PS3 logo on a games advert - in fact, the only ps3 advert I've seen recently is Little Big Planet with it's stupid PLAY WITH EVERYTHIIIIING at the end.
Do Microsoft have a sweet deal with the publishers that allows only them to do an advert?
@XRFlip05: While SONY sells more than just the PlayStation brand, it certainly accounts for a good majority of the profits (or lately, the lack of) that they rely on.
Soldier_CLE says DON'T STOP AT THE STAR! REVOKE THE WHOLE DAMN THING, OWEN!!! was starred
Soldier_CLE says DON'T STOP AT THE STAR! REVOKE THE WHOLE DAMN THING, OWEN!!! was unstarred
Login
Enter your username and password.
Reset Password
Please enter your email address to have your password reset.
Register
Registering will give you a user profile and the ability to add other users as friends. To become a commenter, however, you need to audition.
12/16/08
12/16/08
We now return you back to your regularly scheduled program...
12/16/08
Time to pull your socks up Sony, and keep trying different things. We would love a price drop, and we would love more advertising of your content
12/16/08
A big company's shares dropping during a recession!? Never!
This probably has nothing to do with the gaming division.
12/16/08
It is a money hole which the other divisions are responsible for holding up. Now that they are failing, everything goes.
12/16/08
12/16/08
With weak software sales, the lowest attach rate of any gaming console in history and predicted hit games like LBP selling FAR below expected numbers, the gaming division is bleeding profit.
Therefore, the gaming division has to be held up with profits from other divisions. Sony's TV line is overpriced, their computer line is bloated with mediocrity and WAY too expensive and their audio line is basically non-existent. In an economy like this, when people are buying the more competitively priced products, every Sony line is suffering and having to carry the burdened gaming division makes things that much more difficult.
12/16/08
12/16/08
How is it the gaming division is losing that magnitude of money when they are making a "bit+" on the PS3?
12/16/08
Backing minidisc and the ATRAC codec was basically spitting in the face of a consumer market that had clearly shifted to mp3, all but begging a rival company like Apple to create a product that effectively ate Sony's lunch. The Walkman brand was a juggernaut, and now it's worthless.
Sony's WEGA line was incredible back in the standard-def days, and I've got many fond memories of using it with my PS2 in college. That TV was such a great investment that I stuck with an Bravia XBR4 last year when I switched to HD, but again, competitors have caught up. Prices have dropped so much that nobody's making much on the margin for televisions sold this season.
The PS3 has underperformed. There's no way it can be spun otherwise. Yes, it's big in Eurasia, but its failure to take hold and dominate the American market as its two predecessors did is not sitting well with analysts. Compound that with Bluray, which won the format war but is still fighting against digital downloads and HD on-demand services from cable companies, and Bluray was hardly the massive consumer shift Sony had hoped for, when we all switched from VHS to DVD.
The dust has effectively settled on this generation of the console race. And Nintendo won handily. Shovelware and "$250 board game" rhetoric aside, they're back in the saddle with authority I haven't seen since I was a kid playing on my SNES. Whether that leads to lasting momentum in the next generation of consoles remains to be seen, but after the relative failures of the N64 and the Wii, it's nice to see the underdog still in the fight against two behemoths.
Sony's gaming division is just going to have to take the bath on the PS3, weather it out, and rethink its approach both internally, and basically the company at large.
12/16/08
12/16/08
Do Microsoft have a sweet deal with the publishers that allows only them to do an advert?
12/16/08
12/16/08
12/16/08
People are just screaming PRICE DROP!!
12/16/08
12/16/08