User Control Panel
Search iVirtua
Advanced/Tag Search...
Search Users...
What is iVirtua Exclusive Community?
  • An exclusive gaming industry community targeted to, and designed for Professionals, Businesses and Students in the sectors and industries of Gaming, New Media and the Web, all closely related with it's Business and Industry.
  • A Rich content driven service including articles, contributed discussion, news, reviews, networking, downloads, and debate.
  • We strive to cater for cultural influencers, technology decision makers, early adopters and business leaders in the gaming industry.
  • A medium to share your or contribute your ideas, experiences, questions and point of view or network with other colleagues here at iVirtua Community.
Guest's Communication
Live Chat
Teamspeak (VOIP) Audio Conference
Private Messages
Check your Private Messages
Themes
Choose an iVirtua Community theme to reflect your interests...
Business Theme
India/Arabic Theme

Gaming Theme
iVirtua Recommends
Fly Emirates Advertising
PlayStation 3 losses now over $1 billion, PS2 doing great
Digg This Digg Topic Tag it on del.icio.us Tag topic on On del.icio.us Technorati Search Technorati Search Post to Slashdot Post to Slashdot
You are currently in Gaming
Post new topic Reply to topic
Fri Oct 26, 2007 4:54 pm Reply and quote this post
Guardien blogger Jack Schofield commented a year ago... "Still, the expectation that Sony will lose $1 billion on the PS3 in the first year may turn out to be low." And as BusinessWeek has now pointed out, "Sony's gaming division has just lost $848 million -- double the figure from last year -- and first-half losses reached $1.1 billion."

In a statement, Sony said:
Quote:
In the game segment, operating loss increased primarily due to the loss arising from strategic pricing of PS3 at points lower than its production cost and the increase in PS3-related inventory write-downs recorded during the current quarter compared to the same quarter of the previous year.


In other words, while it had planned to sell the PS3 at a loss, Sony had to reduce prices and sell at even more of a loss in order to shift consoles it had already made.

Gamasutra has rounded up the numbers for gaming division. It says:

Quote:
In addition, specific hardware and software numbers were given for PS3, PS2, and PSP hardware compared to the previous year. Interestingly, Sony has changed its method of gathering these numbers "from production shipments to recorded sales", as from June 2007, for unspecified reasons possibly related to a surfeit of PS3 hardware in stores.

Nonetheless, the numbers given are as follows: PS2 worldwide hardware sales for the quarter at 3.28 million, down 0.13 million year on year; PSP worldwide hardware sales at 2.58 million, down 0.56 million; and PS3 sales at 1.31 million.

As for worldwide software sales, the PlayStation 2 saw total sales from all first and third-parties of 38.0 million units, down 9.2 million year-on-year (bearing in mind the difference in collection methods). The PSP had software sales of 12.6 million units, down 0.6 million, and the PlayStation 3 had sales of 10.3 million software units.


Seems to me the PS2 is still doing amazingly well for a seven year old machine.

As The Guardian has already reported, the rest of Sony is also doing well. See: Sony profits up despite PS3 losses and on Guardian Gamesbog, Sony announces big profits - no thanks to PS3.

It used to be that PlayStation propped up Sony's troubled consumer electronics division - now it's the other way around. The company has just announced that its net profits for the three months ending September 30 were 73.7 billion yen, or £315 million. The New York Times says that's a 43-fold increase on last year.

Contributed by Editorial Team, Executive Management Team
372659 iVirtua Loyalty Points • View ProfileSend Private MessageBack to Top

Related Articles
Post new topic   Reply to topic


Page 1 of 1

iVirtua Latest
Latest Discussion

Discuss...
Latest Articles and Reviews

Latest Downloads
Subscribe to the iVirtua Community RSS Feed
Use RSS and get automatically notified of new content and contributions on the iVirtua Community.


Tag Cloud
access amd announced applications author based beta building business card case company content cool core course cpu create data deal dec demo design desktop developers development digital download drive email feature features file files firefox flash free future gaming google graphics hardware help industry information intel internet iphone ipod jan launch linux lol love mac market media memory million mobile money movie music net nintendo nov nvidia oct office official online patch performance playing power price product program ps3 pst publish ram release released report rss sales screen search security sep server show size software sony source speed support technology thu tue update video vista war web website wii windows work working works xbox 360 2006 2007 2008

© 2006 - 2008 iVirtua Community (UK), Part of iVirtua Media Group, London (UK). Tel: 020 8144 7222

Terms of Service and Community RulesAdvertise or Affiliate with iVirtuaRSSPress Information and Media CoverageiVirtua Version 4PrivacyContact