Kaz Hirai, CEO at Sony has stated that the PlayStation 4 is already profitable.
Good to hear for them. I wonder if this allows them to counter with a price drop if they feel the need to against XB1 kinectless bundle.
They don't need to do anything of the sort at this stage.
Good luck to them. Hopefully they are able to get themselves out of this bad situation.
@george Well if anything can get Sony out of a 'bad situation' its the PlayStation brand.
- PS4 is profitable on hardware alone, that is a big surprise, this gives Sony room to cut price anytime. - 50% of PS4 owners subscribe to PSN+, if this rate keeps up it will give Sony a stable 1 billion dollar revenue once the install base is 40 million. - Sony expect the PS4 to be more profitable than the PS2.
Good news! PS4 is almost literally the opposite of the PS3 for Sony.
And I loved my ps3. Tells you how I feel about my ps4. I really love it. Gotta watch how you say things around here. Think my quote was misunderstood.
ps3 opposite of ps4 + I loved my ps3 = I hate my ps4. The only meaning to your quote really. Nothing wrong with what you said, its an opinion that people might agree or disagree with. I personally agreed with you only because there are no games that appeal to me on the ps4 or xbox one yet. Eventually though, we'll see this E3 OT:Its about time Sony got rid of those departments that are making them lose lots of money. I will be very happy when they go back on track on making massive profits year in year out
I understood you perfectly fine. This is how you feel about PS4..... http://i.minus.com/iDaLmxyk...
@ AAP I lol'd.
I feel I will never stop loving my ps3...dont know... the thing went through so many storms I just feel that simply the fact it overcame everything thrown at it and still surpassed in every way its main rival puts it in a special place in my heart. As for the ps4 I still love it but it made things so easy its embarrassing...
Good comment, Kai The PS4 will be profitable, and gain back their revenues!
sadly the other Sony divisions aren't doing so great. PlayStation alone won't keep them alive. they have to do something else maybe make affordable tvs and cellphones
actually, I think most of their divisions are doing well or ok. They have a lot you know. Its just a few of their electronics divisions that are doing poorly.
The sales of the machine itself and the sale of indie titles has no doubt contributed to the PS4's profit margins.
mandatory PS+ as well. Sony must be thinking why they didn't do it sooner lol
How is it mandatory?
@torchic that is not 100% completely true at all. "mandatory PS+" Again PS+ is not "mandatory" Because there are still free 2 play online multi-player options on the PS4 without the need of having PS+. The incentive to sign up for PS+ is there, but it is again not "mandatory" this is indeed a fact! you can stiil play online multi-player gaming on the PS4 WITHOUT ps+ SO YES IT IS NOT "mandatory"
geeees you guys it's mandatory for MP that's what I meant I know you can play MMOs without it! ahahaha I saw those reactions coming though won't lie :)
Well, Sony themselves did say that they were counting on PSplus on PS4 for to make some profit for the system.
Im pretty sure they get plenty of cash from Royalties from Indie games. @torchic That as well. :)
You changed the name of the article
The are actually moving incredibly fast.
Hope Sony the best. I did my part with buying a PS4, a few games, a Sony Xperia Z1 phone and a pair of Sony headsets recently.
ALL SONY ERRTHANG
I bought some Sony bed sheets.
Where u get dem sony sheets dude?
Wow I did the same exact thing. =)
I really don't get why their products aren't selling, I myself bought the Walkman MP3 player, Sony Cyber-shot digital camera, Vaio Laptop, Bravia 32", PS3, Ps4, PSP and PSVita. All of this products have been working like they did the first day that I got them. Sony builds quality. People prefer cheap stuff that breaks or stop functioning after a few months I guess. @-Foxtrot I still have an old 26" Sony tv my father got me in '98, still works, been holding on it for a long time lol, yeah, I prefer pay more for quality.
It's good quality I agree, I have Sony stuff which has lasted me for years but it's the price. People would rather buy cheaper stuff despite breaking more It's why Samsung has become very popular especially with TV's. My parents have had 2 and they broke in under a year. While my Sony one in my room has lasted me for 4 years now with no issues.
I just bought a SONY BRAVIA KDL-32W705B LED Smart TV because I heard it would be great for gaming but I am very disappointed with it. - When you turn on the tv you have to wait like a minute for the smart features to activate, I can't even choose which source (HDMI 1, 2, 3 etc.) I want to go to without wait a minute or so. - When I put in a USB to play a movie it takes over 2 minutes to load. That is unacceptable. I was really excited about this tv but now I will be returning it for a samsung.
The issue is what -Foxtrot has pointed out. People don't see the appeal in paying a premium price tag for a product despite the solid build. I am with consumers on this though as Sony product are expensive. For example Sony Tvs have are high quality but the prices are extreme. Compare them to LG which still last (my 26 incher is 7 years old) but aren't as visually stunning. But consumers don't really care about that higher quality, they just want value for money (at the end of the day your just watching TV). Sony phones and tablets are in a similar position. These are selling better for Sony but they will never reach Nexus heights because the price is just too much (I have both a Xperia Z and Xperia Z tablet). I get Sony wants to keep a premium image but they need to embrace the cost effective market. It is growing and growing because that is what people want
the problem is not that they not selling, its that theyre not DYING, theyre products last LONGER than the competition.
"I get Sony wants to keep a premium image but they need to embrace the cost effective market. It is growing and growing because that is what people want" while i get what you are saying, I think For Sony trying to directly compete with Samsung or other more profit holding companies directly is in a very unrealistic view to try to directly compete. Instead and i think rightly so is for what Kaz and the board are doing and that is down production turn down to a much lower %, keep higher premium, but include more network connected entertainment to add to the value of said premium build quality but with added content. Compete indirectly instead of directly, they may never be at anywhere near in the top 10, but they will be @ profit and that is what Sony is gearing up for mainly right now example: http://www.ign.com/articles... Playstation Now to not only HDTV's but also smartphones and Tablets, already the Playstation Network App, is already on Android and iOS device's. allowing the user to remote access the PS4 and the PSN store. Concentrating on the 3 pillars is exactly what Kaz stated what he was going to do, it may be going slow right now, but the results have shown to be viable, remote play for example may tool a while but the effect's of the viability of use is that indeed not only does it work , but in fact it works very well. Playstation Now seem's to be heading in the same way. already just from BETA its already shown that its more than viable for a use, many Beta tester's already tested the service out, if its priced very reasonable, than it may in fact do quite well, again it may not but at least they are going to try.
First PCs, then TVs, ... Is their PS division the next to get axed????! Perhaps
No, probably the bridge you live under is next.
@Javinator "First PCs, then TVs, ... Is their PS division the next to get axed????! " the Entertainment arm for Sony is not a Public Ipo! Do you know what that means? It means there is no Public Buy into any part of the entertainment arm of Sony! the entire board of directors, ie: every single board member all voted No on a public offer on any part of the entertainment arm of Sony! The Investors hands are bluntly tied at this point, they could try to go to the Japanese court, but 9 times out of 10 the japanese court will side with the companies Board of directors! Billion holding's T-boon pickens found this out a while back, the fact that right now the board told [email protected] Loeb to in a polite manner to take his request and in a hint to : shove it, shows if anything is getting the axe its the TV section, while Sony's cutting other sections, sony is reinvesting right back into Playstation. the same year they sold off a HQ, Sony purchased a 400,000+ Sq.ft complex for Playstation, does that sound like they are wanting to sell off Playstation? Please give a valid response exactly why Sony would sale off playstation! if you say to pay off debt, well to counter, Sony just invested into real estate, why did Sony get into real estate? there is over 138+ billion in physical assets that Sony owns, when you sale a building for over a cool Billion, do you think Sony would get rid of a profit generating holding like Playstation for "short" cash flow over selling off parts that to be blunt : shift a loss for them? 9 years straight, TV sections thats over 1 billion a year that TV section cost's Sony, despite the view playstation has not anywhere lost that much in the entire 17+ years that playstation was created. And no Sony's ps3 did not wipe out all ps2+ps1 profits combined with the PS3, that was claimed by an online analysts who decided it would make news to try to gain hits for the firm, instead of trying to put out real fact's not a [email protected] guess the fact that in the 17 years playstation platform has been on the market its generated over 50 billion in revenue for Sony that was listed by Sony back in 2010! it has generated more revenue now They are not going to sell off playstation you can bank on that, not with those kind of number's
Good luck Sony. The industry needs you. Otherwise it's not fun.
This confirms the PS4 at launch was at break-even price right at launch. This should put the loss-leader hardware old wives tale to bed. That means the cost to manufacture have been going down since launch, so there is net profit for each PS4 hardware sold. These new SKU's are definitely going to bring down manufacturing cost more, so that Sony will announce a price cut during or not long after E3. They let the existing SKU production halt, then start up the new SKU's. Also, Sony is not out of TV's, they are out of the LCD flat panel manufacturing business, low profits, high overhead. Their camera, smart phone and tablets are doing well, just not as well as their more specialized competitors, like Nikon, Canon, and Epson. No doubt, the competition Sony faces is fierce but Kaz seems to be making the right moves.
Structural reform? So that's what they're spinning it as these days.
They've been doing that for a few years now, and even announced it when Kaz took over. Why the need to troll and act like it's something else entirely?
@ Multi They're calling it that because that's what it is. The nomenclature will change if the end result does (I.e., the decision to keep divisions versus liquidate).
Sorry friends. This is pure damage control. There is literally no one who believes Sony is undergoing "structural reform." This lie comes from a company well know for their constant lies. "When he lies, he speaks his native language, for he is a liar and the father of lies."
Looking through your comments, I see many comments like this. They're not informed, but are intentionally obtuse, and perpetuating some obvious falsehood. It's been known for years now that Sony has been restructuring their business. Trimming away the fat, selling unneeded assets, and so on. Of course, there have been fanboys and trolls that have pointed to every such move as yet another sign of Sony being in trouble. But this is the first time I've seen someone spin the actual full restructuring as damage control. And then to say Sony is well known for lying... It's a wonder you don't get marked as trolling.
Your comment shows you have no real knowledge of the reality of this situation. What you're saying is nothing more than spin and damage control, coupled with a bitter personal attack. And it all comes from someone who is very sensitive about this issue because deep inside you know this company is in trouble. Losing billions every year isn't restructuring and anyone who says otherwise is lying directly to your face. Selling your birthplace isn't getting rid of an uneeded asset. Anyone who claims otherwise is totally ignorant of the history of Sony and their famous Sony City in Japan. (The building once known as the "holy land building.") Firing 1000s of people every year, the sudden departure of dozens of key players alon with their North American CEO. None of this is "restructuring." Anyone who says otherwise is either lying or stupid. And that's just the way it is.
@Spotie "And then to say Sony is well known for lying... It's a wonder you don't get marked as trolling." Multi- does not want to learn, he just wants to look at the speed at which Sony is trimming off parts as "too slow" AND THAT HE THINKS FROM A WEST VIEW. Not from a japanese view. a year ago for example the share holders meeting voted to keep the board the same, and yet the loss was known to be large, but yet they kept them in the seats! the fact the japanese look at thing's not like the west, the culture is not the same, its like many keep preaching this do not understand this very simple concept! the fact in the past 40 [email protected] years no company the size of Sony has ever had a Hostile take over from any west holding company that holds billions have ever been able to do that. and Histroy shows many that tried has been on the loosing end of it, they spent more money trying and failed, and in the end sale off the stock because of frustration "not being fast enough" Japan's market is much slower and much more resistant to fast change the mostly japanese board on Sony know this, why do you think Kaz is investing into real estate? because land in japan is very freaking expensive per sq/ft in japan! do many not get the fact is if your going to sell off holding's you want the highest value on return? the fact of the matter you do not invest 400,000+ sq/ft for a campus in silicon valley and then turn right around and intend to sell it off. the fact that many gamer centric forums are even bringing up the notion that Sony intends to sell off playstation or that they would divest themselves of such a property is quite ironic since its playstation is a LLC, you cannot buy into its stock! thus how are you going to have a hostile take over of a non public stock option? well take over Sony itself? LMAO after 40 years straight where not one japanese company the size of sony with over 138+ billion in physical assets has ever been taken over..its a freaking pipe dream for some, the fact that playstation has asset protection should tell you something people! High debt on a company's ledger is already a deterrent against a merger or aquisition! just by the fact there is high debt!
@MultiConsoleGamer i said it once before i will say it again, 9 years + over 9 billion loss for the TV section, and yet when is it going to come to a head? huh, when is the investors going to get the way they want? please tell us all how that change is going to happen? Really you call out Kaz is telling fib's but yet if Kaz and the board was not doing anything the loss generated would have been far larger in size, so what does that tell you? Sony employ's over 138+ billion in physical assets, along with an employ in over 138,000+ people! so you are saying they are not cutting the cord fast enough right? that's one of the reason's many japanese despise the "west centric" view on companies. they view the value over welth over people is nothing more than blunt greed for the sake of it. when the nuke leaks from the plants went off, did you see massive looting going on in the street's? No There is a reason why, the culture in japan is not like the west, just the fact you and other's do not seem to grasp this very concept shows if you have not grasped that now, you seem to be unable or want to. it seems you want something so bad that you cannot see the history of the culture that you want to fight against that you are not part of. you are not japanese, and i am not but at least i understand why something is, you on the other hand seem to refuse to.
Exciting news! I see a major shift towards supporting the PS brand over other electronics, so I think we'll see some great announcements down the line. And I don't wanna sound like a broken record, but I thin we'll definitely see a price drop before the Christmas season.
Good i want them to succeed. Ps3 is still the best console out being free online and ps4 is just an amazing little machine.
They will be back stronger than ever Cry xbots cry
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