73 replies to this topic

[Raiden]

its a horrible thing to happen. what is funny is how the media and fanboys ignore it and have a double standard. talk about damage control. when nintendo posted a loss thousands of doom articles and fanboys rainbowting on nintendo

[Chrop]

Actually, they're making about $100 on each p4 I think, might be less, but they're making a profit on each p4 box, since it's all really low-power carp tablet/bargain basement pc components.

They are definitely NOT making money from the PS4, you have to take in the shares, marketing, manufacturing, shipping aswell as the hardware of the PS4 itself. all in all they are EASILY losing money on each ps4 sold.

[Raiden]

They are definitely NOT making money from the PS4, you have to take in the shares, marketing, manufacturing, shipping aswell as the hardware of the PS4 itself. all in all they are EASILY losing money on each ps4 sold.

Yup. PS4 costs $381 to make. Then take away all the costs you mention plus retailers cut and Sony is selling at a loss.

[Socalmuscle]

Sony bet the farm on PS4.

And it shows.

It's easily the most powerful new system and is fairly polished so soon out of the gate.

They aren't losing much on the console right now. Soon enough, they'll profit decently on each one.

The games are also favoring Sony where most people will buy multi plats on the platform, since it will host the true "definitive" versions.

The playstation brand itself (bet Nintendo is kicking themselves now for not having defended that name and early tech back in the SNES days) carries tremendous cachet and is the halo product for Sony. All the consoles bearing the playstation name have had serious, almost cult like following - except the much maligned ps3 - but it didn't do too bad either.

Selling headquarters building without replacement is never a great sign. And Kazuo has had to make some difficult decisions, but I think they're the right ones.

Vaio is nothing these days. It's lone standout feature - design - has been outdone by Apple for way too long. And even the rest of the PC world is there. It's not a strong point for them. Let's not forget. IBM sold off their computer business to Lenovo. And it was a decent move.

Sony is almost purely a consumer electronics company. A gadgets company. And they have a killer movie production arm that gives them great product placement. Lol

1 billion dollar loss isn't due to lack of sales. They are paying it forward. Taking the hard hit now and riding the wave in years to come.
Nintendo has beat them to it though. Lots of telltale signs that Nintendo had foreseen a market down turn and prepared accordingly with the Wii U specs, the almost complete lack of traditional advertising, and limiting the travel and expenses as much as humanly possible. No E3 keynote rent either. They've pinched pennies as much a s they could. That's what will serve them well as the market picks up again.

Edited by Socalmuscle, 07 February 2014 - 01:47 AM.

[Chaotix]

Yep, Sony is getting their ass kicked by cheap Korean electronics. The Japanese government won't ever allow one of their most ubiquitous international exporters to go bankrupt, though. That would be catastrophic for the Japanese public and jobs sector.

 

It's kind of disturbing how you guys are all going around spreading this stuff as if it was a good thing.

 

[nbond3040]

Yep, Sony is getting their ass kicked by cheap Korean electronics. The Japanese government won't ever allow one of their most ubiquitous international exporters to go bankrupt, though. That would be catastrophic for the Japanese public and jobs sector.

 

It's kind of disturbing how you guys are all going around spreading this stuff as if it was a good thing.

it's not a good thing but I'm pointing out the bias in the gaming industry

[Tom]

Meanwhile, Michael Pachter is looking the other way.

[Rockodoodle]

Agreed.  It's sad.  I used to love Sony.  It's a piece of my childhood.  I'm glad Nintendo is in better financial shape, but they need to get their act together.  I'd hate to be reading something like this in a decade.  

 

 

 

Yep, Sony is getting their ass kicked by cheap Korean electronics. The Japanese government won't ever allow one of their most ubiquitous international exporters to go bankrupt, though. That would be catastrophic for the Japanese public and jobs sector.

 

It's kind of disturbing how you guys are all going around spreading this stuff as if it was a good thing.

[Nollog]

Why is the only thing we can say good about the Wii U "Well, Sony lost a carp ton of money"?
 
ugh

This is a thread about Sony losing money is why?
Check out the other threads doll.

 
Crazy.

lol, fangirls sure are assholes.
But I doubt it's fanggirls alone, Sony employ assholes like this.
And also, we've been saying that about IGN for about 4 years.
This is why "gam journalism" is a joke whenever the words are uttered or typed.

off-point, but from that ign video: "Only on Playstation (also on PC)" lmao

Yup. PS4 costs $381 to make. Then take away all the costs you mention plus retailers cut and Sony is selling at a loss.

Oh, I thought Sony themselves came out and said they made a profit.
It was just a teardown.
http://www.cnbc.com/id/101212582
Probably will be making profit by July.
http://www.theinquir...sony-on-the-ps4
lol, horsing useless Sony.

Meanwhile, Michael Pachter is looking the other way.

huurpdurp sony gonna buy nintendo and put mario on ps4 and sonic is now sega for sony - patcher.

Sony bet the farm on PS4.

And it shows.

It's easily the most powerful new system and is fairly polished so soon out of the gate.

They aren't losing much on the console right now. Soon enough, they'll profit decently on each one.

The games are also favoring Sony where most people will buy multi plats on the platform, since it will host the true "definitive" versions.

The playstation brand itself (bet Nintendo is kicking themselves now for not having defended that name and early tech back in the SNES days) carries tremendous cachet and is the halo product for Sony. All the consoles bearing the playstation name have had serious, almost cult like following - except the much maligned ps3 - but it didn't do too bad either.

Selling headquarters building without replacement is never a great sign. And Kazuo has had to make some difficult decisions, but I think they're the right ones.

Vaio is nothing these days. It's lone standout feature - design - has been outdone by Apple for way too long. And even the rest of the PC world is there. It's not a strong point for them. Let's not forget. IBM sold off their computer business to Lenovo. And it was a decent move.

Sony is almost purely a consumer electronics company. A gadgets company. And they have a killer movie production arm that gives them great product placement. Lol

1 billion dollar loss isn't due to lack of sales. They are paying it forward. Taking the hard hit now and riding the wave in years to come.
Nintendo has beat them to it though. Lots of telltale signs that Nintendo had foreseen a market down turn and prepared accordingly with the Wii U specs, the almost complete lack of traditional advertising, and limiting the travel and expenses as much as humanly possible. No E3 keynote rent either. They've pinched pennies as much a s they could. That's what will serve them well as the market picks up again.

It received the most updates day 1 than any of the new systems, it's newer updates have all been delayed, it's a tablet cpu which will be out-classed in 2 days of release, which it was about 6 months before release.
PC games > P4 games unless you're too poor to make the early investment for better hardware.
Cult followers are idiotic, and will buy anything, why is that a positive for gamers? it's a negative, the only positive is for Sony's marketing team.
Selling your HQ is bad. If you have such not good CEO's in charge of your company for so long, change will be difficult.
Pandering to your audience in empty ways that erode your value for years and decades to come will help to make up for the old CEO, but it's not a future plan worth mentioning.
Getting into the laptop and pc business was great for Sony until people realized as with everything with sony, they used cheap rainbowty parts and charged a ridiculous premium for having the Sony brand on top of the plastic case.
I see nothing which has changed. Gamers just accept rainbow because they're peasantry knows no bounds. Save for a few months, do a week's worth of research, and save yourself a lot in the long-term.
Gamers peasantry is why companies like Ouya and Amazon are looking to launch "consoles" because they'll think "oh great more companies that want to make fun for me!" but in actuality, they're using gamers to get their MEDIA boxes in homes.
They are not saviors. No company is, not even Nintendo. Do not treat Sony, MS, or even Nintendo as a savior fighting for you, they're fighting each other, for your money.
The loss of $1.1 billion is due to them being an obsolete company. They need to catch up with the current times and trends, and not be pompous assholes about it.
The latter is where I see the issue with Sony.
The market is expanding still, Nintendo penny-pinching is silly. They should be trying to capture the expanse, by looking at play store and going "here's some money, advertise our hardware and software, also, we should make an app for miiverse that doesn't take 4 years to come out!"

[Rockodoodle]

Nintendo did make some substantial investments in some mobile gaming companies. Not exactly sure how much, but they had $10billion in cash and assets and now that's down to $8 billion.  Some of that is due to losses and other business expenses/investments, I'm sure.  But if memory serves me correctly it was in the hundreds of millions.

 

 

 

This is a thread about Sony losing money is why?
Check out the other threads doll.

lol, fangirls sure are assholes.
But I doubt it's fanggirls alone, Sony employ assholes like this.
And also, we've been saying that about IGN for about 4 years.
This is why "gam journalism" is a joke whenever the words are uttered or typed.

off-point, but from that ign video: "Only on Playstation (also on PC)" lmao

Oh, I thought Sony themselves came out and said they made a profit.
It was just a teardown.
http://www.cnbc.com/id/101212582
Probably will be making profit by July.
http://www.theinquir...sony-on-the-ps4
lol, horsing useless Sony.

huurpdurp sony gonna buy nintendo and put mario on ps4 and sonic is now sega for sony - patcher.

It received the most updates day 1 than any of the new systems, it's newer updates have all been delayed, it's a tablet cpu which will be out-classed in 2 days of release, which it was about 6 months before release.
PC games > P4 games unless you're too poor to make the early investment for better hardware.
Cult followers are idiotic, and will buy anything, why is that a positive for gamers? it's a negative, the only positive is for Sony's marketing team.
Selling your HQ is bad. If you have such not good CEO's in charge of your company for so long, change will be difficult.
Pandering to your audience in empty ways that erode your value for years and decades to come will help to make up for the old CEO, but it's not a future plan worth mentioning.
Getting into the laptop and pc business was great for Sony until people realized as with everything with sony, they used cheap rainbowty parts and charged a ridiculous premium for having the Sony brand on top of the plastic case.
I see nothing which has changed. Gamers just accept carp because they're peasantry knows no bounds. Save for a few months, do a week's worth of research, and save yourself a lot in the long-term.
Gamers peasantry is why companies like Ouya and Amazon are looking to launch "consoles" because they'll think "oh great more companies that want to make fun for me!" but in actuality, they're using gamers to get their MEDIA boxes in homes.
They are not saviors. No company is, not even Nintendo. Do not treat Sony, MS, or even Nintendo as a savior fighting for you, they're fighting each other, for your money.
The loss of $1.1 billion is due to them being an obsolete company. They need to catch up with the current times and trends, and not be pompous assholes about it.
The latter is where I see the issue with Sony.
The market is expanding still, Nintendo penny-pinching is silly. They should be trying to capture the expanse, by looking at play store and going "here's some money, advertise our hardware and software, also, we should make an app for miiverse that doesn't take 4 years to come out!"

Here's an article.....

 

http://www.wired.com...t/?cid=18220684

 

We've reached a brick wall with technology.  Hardware is a tough business. As we are seeing with the gamepad, innovation doesn't always pay off. Software is also commoditized.  

 

Nintendo is somewhat like Disney.  It's biggest asset is its imagination.  The fact that technology is moving fast can work in Nintendo's favor for its next generation (unless we start playing holographic games with thought control, but that's way down the line).  Bottom line is, how much more clear, more realistic can games get- and do we even want them to look life like?  

[Azure-Edge]

Nintendo did make some substantial investments in some mobile gaming companies. Not exactly sure how much, but they had $10billion in cash and assets and now that's down to $8 billion.  Some of that is due to losses and other business expenses/investments, I'm sure.  But if memory serves me correctly it was in the hundreds of millions.

 

 

 

Here's an article.....

 

http://www.wired.com...t/?cid=18220684

 

We've reached a brick wall with technology.  Hardware is a tough business. As we are seeing with the gamepad, innovation doesn't always pay off. Software is also commoditized.  

 

Nintendo is somewhat like Disney.  It's biggest asset is its imagination.  The fact that technology is moving fast can work in Nintendo's favor for its next generation (unless we start playing holographic games with thought control, but that's way down the line).  Bottom line is, how much more clear, more realistic can games get- and do we even want them to look life like?  

 

The problem isn't that innovation doesn't always pay off, it's that they're trying to innovate in the wrong way. It used to be that they would just put what would now be considered standard hardware and then go on and innovate with their software. Now it's the opposite. 

 

The being said, hardware is indeed a tough business, this and last generation have shown that quite clearly. Frankly it's that expectations of all parties are just nuts. Gamers want bleeding edge technology at a fraction of the cost and an extremely low failure rate. Developers have become lazy to an unprecedented level where now they demand any console they work on to basically be a PC so they can do a fraction of the work. God forbid they actually have to learn hardware. This all adds up to these machines basically becoming money pits for whoever makes them. Everyone just expects Nintendo, Sony, and MS to take huge losses on their hardware while everyone else reaps the benefits. 

 

People talk about a gaming crash and whether or not it's possible. It's definitely possible if not inevitable with the current way things are going. 

[Zinix]

The Ninten year old defense force. 

[tboss]

What?
"is not on their but guess what is PS$" ?

Actually, they're making about $100 on each p4 I think, might be less, but they're making a profit on each p4 box, since it's all really low-power carp tablet/bargain basement pc components.

The overall Sony company is forecasting/posting that loss.
And they STILL owe the Japanese government around twice this in back-taxes.
The gaming division probably won't save them at all.

 

they arnt making a profit per each ps4 sold. they may be in about a year or two, but right now no. the thing costs about $380 to make, anywhere from 100-200 goes to the retailer, then you add in marketing, which proubly takes anywhere from 30-150 off of every consul sold. anyone have a accreat sony marketing budget to get a more precise number?

[DexterousGecko]

The Ninten year old defense force. 

I laughed. ^^

[tboss]

well i think sony should become similar to nintendo and be a gaming only company, and try to survive the next 2-3 years till the PS4 becomes possible, only down side to this is if nintendo goes with the 4-5 year generation and ends up starting a early 9th generation, which will cut into the time they profit. 

 

the japan gov bailing sony, not sure about that one, but that could save them, but if sony keeps doing what they are doing, it will just delay sony dieing. 

 

id say best case senario is for dell or hp to buy up the PS4 brand and keep it going after sony's likely death. Though sony's first and second party studios will proubly take a big hit if that happens.

[Gnomishek]

These are sad news. But, yeah, so much for Nintendo doom'n gloom.

[Waller]

well i think sony should become similar to nintendo and be a gaming only company, and try to survive the next 2-3 years till the PS4 becomes possible, only down side to this is if nintendo goes with the 4-5 year generation and ends up starting a early 9th generation, which will cut into the time they profit. 

 

the japan gov bailing sony, not sure about that one, but that could save them, but if sony keeps doing what they are doing, it will just delay sony dieing. 

 

id say best case senario is for dell or hp to buy up the PS4 brand and keep it going after sony's likely death. Though sony's first and second party studios will proubly take a big hit if that happens.

 

http://www.incj.co.j...lish/index.html

 

http://www.incj.co.j...57796371.en.pdf

 

INCJ invested 200 billion yens of government funding (about 2.6 billion) to Sony's, Toshiba's and Hitachi's merge of their LCD operations to combat Korean competition.

 

No way they're gonna let Sony fall. They'd rather keep funding it like this, even if it means they're gonna get their ass kicked for the next ten years.

[MorbidGod]

Nintendo sucks and is doomed because they don't listen and focus on gimmicks! Sony rocks and must be making BILLIONS of bucks a second!

:/ sarcasm

well i think sony should become similar to nintendo and be a gaming only company, and try to survive the next 2-3 years till the PS4 becomes possible, only down side to this is if nintendo goes with the 4-5 year generation and ends up starting a early 9th generation, which will cut into the time they profit.

the japan gov bailing sony, not sure about that one, but that could save them, but if sony keeps doing what they are doing, it will just delay sony dieing.

id say best case senario is for dell or hp to buy up the PS4 brand and keep it going after sony's likely death. Though sony's first and second party studios will proubly take a big hit if that happens.

If Sony spins off or sells the PS brand, Sony would be dead. Sony uses the PlayStation brand to accomplish things. The PS3 helped win the Bluray and HDDVD war. PS4 to launch a new form of entertainment.

But, if they so sell, then they should sell it to Apple. That would be great and Nintendo would truly be in trouble.

[Hunter]

Nintendo sucks and is doomed because they don't listen and focus on gimmicks! Sony rocks and must be making BILLIONS of bucks a second!

:/ sarcasm


If Sony spins off or sells the PS brand, Sony would be dead. Sony uses the PlayStation brand to accomplish things. The PS3 helped win the Bluray and HDDVD war. PS4 to launch a new form of entertainment.

But, if they so sell, then they should sell it to Apple. That would be great and Nintendo would truly be in trouble.

 

Apple are only good at managing to sell terrible hardware at high prices to stupid people. I can't think of any company who would be worse at continuing the playstation legacy.

 

Also it sounds like you think nintendo being "truly in trouble" is a great thing. Any of the console makers being in trouble is a bad thing for the video game industry.

[MorbidGod]

Apple are only good at managing to sell terrible hardware at high prices to stupid people. I can't think of any company who would be worse at continuing the playstation legacy.

Also it sounds like you think nintendo being "truly in trouble" is a great thing. Any of the console makers being in trouble is a bad thing for the video game industry.

Apple makes great hardware. I've loved my iMac, and would love to have a Macbook Air. I love how people have this hatred against Apple, saying their products are "over rated" and "over priced", but then compare other ultra books with MacBook Air and find out PC manufactures charge more for the same thing. Some Apple products are really expensive - but it's generally their professorial hardware, like the Mac Pro.

And Apple is a very innovative company. They popularized the idea of the mouse. They made the idea of a smartphone the next big thing. Challenged the PC industry with the iPad. And lets not even talk about the iPod, iTunes and the App Store.

You are right that Nintendo being in trouble is a GOOD thing. Someone who challenges them on their level means they will work HARDER and be BETTER. So yes, Nintendo being in real trouble is a GOOD thing.