Sony - "PS3 will lose us 1.7 billion by March"

[Trauma-san]

http://www.gamespot.com/news/6160667.html

PS3 pushing SCE $1.71 billion into red
Sony CEO tells press conference that the game division's fiscal-year losses will be double previous estimates.

Last week, Microsoft announced its financial results for the quarter ending September 30, 2006. As usual, its game division lost money--a lot of money. For the July-September quarter, the company's Entertainment and Devices division, which makes the Xbox 360, lost $96 million--an improvement over the $173 million the company lost during the same quarter in 2005.

Today, one of Microsoft's rivals in the game arena announced that it too would take a loss on its own game division. Speaking at a press conference in Tokyo, Sony CEO Sir Howard Stringer announced that losses at Sony Computer Entertainment are expected to now total 200 billion yen--or around $1.71 billion--for the fiscal year ending March 31, 2007. The figure is nearly twice the shortfall Sony originally projected.

"Considering some of the additional costs of PlayStation 3, we have to generate some excitement and profits from elsewhere in the company to offset the performance of PlayStation 3," Stringer told the Reuters news service.

One reason cited for the increased costs is Sony's decision to drop the price of the lower-end PS3 model in Japan. At last month's Tokyo Game Show, the company announced it would lower the price of the 20GB version of the next-gen console from 60,000 yen (about $515) to 49,980 yen (about $429).

Despite the increased cost, Stringer expressed confidence that the PS3 will be a success. "The point really is that PlayStation 3 is already finished and has been tested in America and has been deemed a creative success," he said. "In the end that is what counts."

The executive also expressed apparent befuddlement about some gamers' anger that the PS3 launch was pushed back to March 2007 in Europe. "I think the idea of worrying about a delay in PlayStation is slightly strange to me," said Stringer. "Every complex technology runs the risk of delays."

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I love how incredibly, completely out of touch this idiot is with the gamers.  Check out the contempt he shows them in his last comments above.  I think the idea of a profit is slightly strange to him, as well. 

[Mr. O]

damn japan... they get price break...and we get charged full....  I'll wait till it goes down big time.

[Wang Chung]

Trauma, stick to MJ updates  that was public relation talk.

Japan gets a price because no one gives a fuck about Wii in America.

[Nutty]

Fuck thats alot of money

[Trauma-san]

Trauma, stick to MJ updates  that was public relation talk.

Japan gets a price because no one gives a fuck about Wii in America.

Yeah, nice spin.  Japan gets a price because the Ps3 will underperform the Wii there just like the PSP underperformed the DS there.  You probably know a lot about under performance. 

[Wang Chung]

Trauma, stick to MJ updates  that was public relation talk.

Japan gets a price cut because no one gives a fuck about Wii in America.

Yeah, nice spin.  Japan gets a price because the Ps3 will underperform the Wii there just like the PSP underperformed the DS there.  You probably know a lot about under performance. 

How did I spin that ? They lowered the price to compete with Wii in Japan 

A lot of people will not be able to afford the goodness of PS3.

lol @ personal shots U just got MAD.


DS 26.82 million
At the time of its release in the United States, the Nintendo DS retailed for $149.99 USD. The price dropped to $129.99 USD on August 21, 2005.


PSP 22.94 million
When the system first went on sale in early 2005, it was only available via a $250 bundle, which included headphones, a carrying case and other accessories. This March, the company dissolved the bundle, selling just the system for $199.



Who lost ? You do the math Trauma.

[Mr. O]

in time...it will be the end of sony playstation series..

[Bomb-A®]

^^ it'll be atleast 10 years till the the next next gen consoles comes out....then we'll see who's on top...sony isn't out by a long shot



peace

[Trauma-san]

Trauma, stick to MJ updates  that was public relation talk.

Japan gets a price cut because no one gives a fuck about Wii in America.

Yeah, nice spin.  Japan gets a price because the Ps3 will underperform the Wii there just like the PSP underperformed the DS there.  You probably know a lot about under performance. 

How did I spin that ? They lowered the price to compete with Wii in Japan 

A lot of people will not be able to afford the goodness of PS3.

lol @ personal shots U just got MAD.


DS 26.82 million
At the time of its release in the United States, the Nintendo DS retailed for $149.99 USD. The price dropped to $129.99 USD on August 21, 2005.


PSP 22.94 million
When the system first went on sale in early 2005, it was only available via a $250 bundle, which included headphones, a carrying case and other accessories. This March, the company dissolved the bundle, selling just the system for $199.



Who lost ? You do the math Trauma.

Sony lost?  What did I miss?  LOL.  Who are you, btw?

[Nutty]

^^ it'll be atleast 10 years till the the next next gen consoles comes out....then we'll see who's on top...sony isn't out by a long shot



peace

^^ yeah man.

[King Jaffe Joffer]

haha trauma, u lost your mind.