Analysts say Sony has more problems than this current recession. CNN's Kyung Lah reports.
are they afraid of ps3?
And it started. See it is idiotic comments like this that doesn't make sense.
@ape007 Who's "They"? CNN? Why would anyone fear PS3? Isn't it supposed to be fun to play?
i say f***k all analysts, they earn money by guessing companies future. who are they to say anything, what Sony is willing to sacrifise inorder to make gamers happy i think you all just should SHUT THE F*** UP!
Sony Fans are saying its not JUST sony, so why not just squash the issue. Its like 360 fanboys dont care that they are a distant second from Nintendo, just as long as they are ahead of Sony! They dont care that MS cut 5000 jobs, because it was 2000 less than Sony! Its like the news is bad for everyone, stop trying to use it as a sign that Sony is going to kill the PS3, so you were right to buy your 360. When sony announces they are removing the PS3 from the market, thats when its the time to get happy, if thats what makes you happy. But with 17 million sold and the only bad news being "OMG ITS EXPENSIVE" I'm sure everyone @ Sony is aware how much the system costs. And if not, they can go to N4G to see 900 stories saying they are going under due to the price drop and novembers NPD. This News is just not news. Just more gloom and doom for the Japanese rivals. NPR/BBC/Japanese news sources aren't covering sonys doom. I wonder why. everyone is in line to get shot. MSfanboys are just happy Sony gets shot first, when they are next.
(are they afraid of ps3?) Ps3, although a great console made by sony, is not the only thing sony does. Sony are having some issues atm, that are not videogame related.
Start using their American corporate mates as part of their viral campaign! As for CNN's credibility, how often, prior to the banking meltdown, did they have their analysts on saying everything was fine with the banking sector! CNN, off with you and go back to what your good at, advising retirees OUT of their retirement funds.
@prunchess how`s that tinfoil hat doing? think it may need to be reinforced to protect you form them MS waves?
@ montrealalien. He probably won't reply. He's being chased by the white vans and the black helicopters.
Everyone, including MS, is going to have to re-evaluate how they do business. With recent news of 5,000 jobs being cut at MS and most of them in the Xbox division it isnt surprising to see both MS and Sony having to consolidate some resources. This doesnt mean the end of the playstation or xbox franchise. It means that they have to change their businesses to fit the economies. Nothing more, nothing less.
I had the misfortune of working for MS here in Dublin. I know how they work and believe me when I tell you that my tinfoil hat is plenty thick! And just because I can't see them white vans and black helicopters, doesn't mean they're not there.
@prunchess lol +bubbles cheers
cheers mate. bubbles back atcha!
Name me a large global corporation besides General Mills that doesn't have issues in this economical climate. I mean, Lehman Brothers is gone, Wachovia is gone, Country Wide is gone, over 200 banks gone, Citicorp, Jp Morgan Chase, Google, Yahoo, Microsoft, Madoff Scam, Global stock market crash. Last I check Dow Jones is at 8,000 when the high was about 14,00! And yet no analyst predicted any of this. I am in the Real Estate business and trust me when I tell you all the writing was on the wall, yet the so called "experts", "analyst" continue to pump the market and tell people to buy. Bottom line is they don't know shiat. Any monkey with a suit can do that job. All they do is guess. Edit: @ below, We were in a recession 1 year ago. We are now in a contraction. You know it is bad when people are being laid off in China and the Saudis' are cutting oil production. The only business that are still doing well are whore houses and drug dealers (both legit and illegal).
As a gamer, doesn't effect me. Financially, doesnt effect me. Id wager thats the case for 99.99% of N4G. Shame for share holders or people hanging onto their jobs by a thread though. What worries me, is that this isn't simply a problem Sony are facing, it's everyone in this current climate, I more concerned about how the company I work for it profiting, not Sony/MS/Nintendo, you, if financially committed, should be doing the same. Not sure what it's like where you are, but here (UK) every hour on the radio/TV its, "X,Y and Z company are cutting X thousand jobs", I'm worried for my ass, not Sonys (or any other billion dollar company)
Exactly. We havent hit the bottom yet, even though over a million people in one month have filed for unemployment in the U.S. One million. What's that even mean for the families that lose health care, cant pay their mortgages, cant buy food and so on. Sony will survive. They may be smaller, but who gives a sh*t. I hope everyone around here keeps their jobs so they can pay for the internet which they love so much. That being said, bring on KZ2 baby!
I agree. It is the same here in NYC, USA. We have companies going down like flies and just recently there have been a slew of hospitals going down. As a matter of fact two major hospitals in Queens is under fire and on the verge of bankrupty, they both total almost 700,000 SF and treats upwards of several hundred thousands of patients a year. Sony's share price is at about 20 somethings. Guess what Citicorp's share is at, or Aig? $3, and $1.40!?!!!!!!! I am not sure what MS is at atm.
well, i think it's a little bit strange to see everyone talking bad about Sony ... ... is it the truth?
Well look in your current BestBuy add and see what's missing... It really didn't hit me till then how bad it really is for Sony.
Weathermen are more accurate than analysts, if analysts where so good they could have stopped the recession.
Really, how about we not listen to the analysts who didnt see this economy coming, they sat and got fat while everyone else got fvcked. Maybe they could give some advice on the housing market, oh wait, they allowed that also.
CNN is headline news, they need the titles to attract viewers much the same way blogs on N4G need "over the top" headlines to get hits themselves. I like CNN it helps me with my ADD but in the end it carry's the same entertainment as Hells Kitchen. remember it's "CNN, news you can trust" LOL
That's just ignorant. Analysts can't measure fear and they can't measure greed. We've known for the past 2 years we were in a slowdown that could lead to a recession but no one could have foreseen the mass panic that set in when the media decided to make the economy this year's Y2K freak-out story. At any rate, good article by CNN. It plainly outlined some of Sony's challenges going forward and what they're doing to address them. The valuation of the Yen is killing those Japanese companies that sell products abroad.
Exactly. They knew something like this would happen and yet they allowed it to happen.
their just analysts. They knew it was going to happen and i remember seeing their warnings two years ago. They don't have a special license that lets them make laws. They aren't Jack Bauer. They job is to analyze and report. They did that. It's the general publics fault for refusing to believe it.
The idea that analysts were somehow responsible for the current recession is carpet-chewing mad. They don't have any power whatsoever to influence the economic outcome of things. They all knew we were in a slowdown, that it could possibly end up in recession. What they didn't know was that it would spark a mass panic in the markets taking valuations down to levels we haven't seen since the mid 70's. Eventually plain old fashioned greed will override the fear that's ruled the markets these past 4 months when people realize that it isn't the end of days.
In a capitalistic economy analyst have more power than you give them credit for. The financial market (Wall Street) is the center of the US econmy and is what drives it. Investors look to analyst for information that will help them choose what to invest in. If the analyst does nothing but report the facts then fine, but they are human and they make mistakes, and sometimes they also have ulterior motives, or are just plain under-qualified (dumb as). What comes out of there mouths can and do affect the economy. For example if a well know analyst at XYZ company whose word is trusted by majority of the investment community comes out and say that Sony is going bankrupt this year, whether real or not, what do you think is going to happen to the stocks? What do you think happens when the company stocks tanks? A multibillion dollar global corporation can become a multimillion dollar company overnight, sometimes in hours! What do you think happens to the workforce of the company? The factories, the cities the factories are in, etc.
You can pull up a similar video on almost every major company in the world. Times suck for everyone.
Idd, my point exactly..
Everyone except nintendo it seems!
on the front page of CNN I found these along with the Sony article: ~Catapillar to lay off 20,000 workers ~Home Depot to cut 7,000 jobs ~Sprint to cut 8,000 jobs ~ING to cut 7,000 jobs AND LAST BUT NOT LEAST.... ~Mc Donalds to open 1,000 new stores!! LOL
facts are facts.. and though Sony leg humpers in this sites are in denial... Yes... it's true Sony is in deep financial trouble... Why? because their entire product line is what many would refer to as "unnecessary and a luxury..."... lots of people will reduce spending money on stuff that they do not really need and if they really really want to they will try to get the best deal out there. We can go back and forward about "quality" bla bla... but the fact is that people look at price before anything.. specially when other companies have extended warranty (xbox 360 3 years, etc). Sony disadvantages is no only that they sell luxury products... but that they are usually the most expensive in the market. For example, Sony tend to have the most expensive HD TVs, MP3 Players, blu-ray players and game console... while way cheaper alternatives can be found in the market for each of these... sometimes with more features and arguably better.. like SAMSUNG TVs.. etc... but as if that wouldn't be enough... Sony sometimes breaks even or even lose money on each of their products... maybe as many say, "quality"... well... good for those that are willing to pay extra for that state of mind... but bad for Sony during this troubled economic time... because people will do one of the following: a) buy an alternative product or b) buy nothing. which does not help Sony no matter which way they go. Let's see how long Sony lasts trying to deliver too expensive to make products that the company have to subsidize and lose money for and that people still are not willing to buy because it's still too expensive and there are other alternatives.
The world is in a recession. Samsung, Sony, your god Microsoft, are in trouble. People are struggling. This is not a kiddie console war to hate sony for nothing. Grow up idiot. Stop living in a dream world.
Bu bu bu, Bill Gatez....
there are companies that would do what ever it takes to deliver a quality product. They live for their reputation, and sony is one of them. and thats why I actually support them, even with times like this they still consider quality over sales.
READ THE ARTICLE ABOUT THE ZUNE DRAGGING THE XBOX DIVISION DOWN. SONY IS NOT THE ONLY COMPANY OUT THERE GOING THROUGH THE RECESSION. People like you piss me the hell off. If Sony is doomed, then Microsoft is going straight to hell. -__-
Sony as a whole will loss money for fiscal year 2008 while Microsoft will make money. Granted it will not be in the percentages that the financial community is used to over the decades, the fact is Microsoft still makes a profit. Making software pricing margins are a hell of a lot better than making consumer electronics. That's why I keep saying that Sony will do three things in 2009. 1. Kill off 25-35 percent of their first party development houses. 2. Start charging for PSN. 3. Start making multi platform games for 360 and Wii. It's not about brand loyalty, it's about viability.
funny you mention recession and economy in your post, but 2 days ago when i did that, you RAN your mouth. my comment wasn't bashing anyone or anything, i simply stated the truth about companies in these times, and as usual you had to open your pie hole. like i said, when its negative news for sony, you sony fanc0cksuckers scream "recession!" but when its microsoft its the zune, xbox , etc etc. you're a fat joke juuken. according to YOU idiots the recession ONLY effects SONY. GTFO
so in other words, you want Sony to be more like Microsoft.. No, that will never happen. I prefer quality over quantity (sales) any day.
if you prefer "quality" over "quantity" then you need to own a 360. it has amazing games out, and it has the best overall "quality" online. see ya ps3turd.
Every body is having hard time
SONY IS NOT GOING ANYWHERE. get over it FANBOYS.
T3h CNN r t3h XBOX Fanbois, it r a conspiracy! Wow people Sony ARE having hard times, don't be a fool and deny it, but guess what? Microsoft are having hard times too, as is nearly every person on the planet. Also maybe there is a grain of truth in all the anti-sony/PS3 articles. There are no co-incidences right? :D But seriously you want them to stop, don't hit the links. That simple. They are clogging up N4G right now
"Quick! Quick! Press record before it totally recovers! Ignore the fact everyone else has had buisness problems! I want this on Tape and I want it now!"
a major news network runs a story about Sony having problems and everyone goes on the defensive, I actually found it very informative, the biggest problem with the recession is how much the companies rely on the banks, Woolworths for example relied heavily on the banks, hopefully companies like Sony and MS have enough cash to see this through.
They state Nintendo and Samsung are chewing into Sony's key business areas. Can anyone honestly say this isn't true? They also referance the pretty much non-existant Walk-man being surpassed by devices like the ipod. Once again, can anyone deny this? Sony is in trouble and their stock has been downgraded (to be fair many companies have recently had their stock downgraded). I'm not sure how much this affects gamers in the near term though. If you are a Sony fan, go out and buy a new tv or some games for your PS3 or PSP. Nothing short of consumers buying a companies products will help. -Death
Sony's in the middle of a pretty substantial restructuring. They saw this coming and have been positioning themselves to change which is never easy for a company as large as Sony to do. The games division is one of the few bright spots for Sony but only make up about 10% of their business. As for Sony stock, forecasts have been adjusted to more accurately reflect the slowdown but there haven't been any downgrades on the stock. In fact, Standard & Poors last recommendation on the stock was an upgrade to Hold from Sell well over a year ago. They've maintained a Hold rating on Sony's ADR's for over a year now while they restructure.
I seriously think this is a stupid product. If people think things like the PS3 is making Sony bleed. Well, look at this. http://www.n4g.com/tech/New... Freaking ridiculous, nobody else is going to be bothered or even buying that product. No wonder they are losing money in different sectors.
I fail to see how Nintendo is chewing into the Sony's core business. IMHO I think that Nintendo is marketing towards a different crowd. Samsung is pretty much chewing into everyone (electronics companies) core business, that includes Panasonic, Mitsubishi, Pioneer ,Vizio, Westinghouse, Gateway, and the likes, it's called competition. Tell us something that isn't obvious. Even I have a 56 inch Samsung DLP for my gaming goodness. The walkman? That is so ninety's man. The ipod is pretty much doing that to every thing on the market right now. Oh btw the ipod cost more than a Ps3, so go figure! As long as they don't come out and do what MS is doing (closing down studios, cutting jobs in the xbox division) then I am good. IMHO I think Sony takes alot of pride in what they did last gen with the Ps2 and the gen before that with the Ps1. No doubt they have the same amount of pride in this gen also so I don't think gamers need to worry.
Sony's Struggling, Microsoft is Struggling, Home Depot is Struggling. IMO there is light at the end of the tunnel as long as technology continues to advance. However there are only a few companies that you can trust in electronics as far as reliability. But in the software business if Microsoft continues to fall short in that area and more and more software companies surface to compete Microsoft will continue to struggle.
I agree, Sony does have bigger problems than the economy. Their real problem is the media won't stop trying to destroy them. Let it go already media. Sony is fine. The Yen exchange rate is what is really hurting Sony. The world economy is killing Japanese companies more than anything. I'd say Microsoft is hurting as much now but I don't see them getting attacked.
dont waste your time talking about the financial state of any console and/or the company that makes them. No matter what stat, sales figure, or any other piece of info you give to prove your point it does not matter. Sony could shut down the PS3 tomorrow and it would not matter to the hardcore fanboy, they will instead say that sony is biased against the ps3. Same holds true for my fellow 360 owners. In fact the most interesting thing I see is that constructive and interesting conversations about the games these machines play has taken a backseat to fascism and blind religious devotion to console identity. I've decided to stop talking fanboy bullsh-t, and will from now speakout against fanboys no matter what console. For the sole reason they are taking all the fun out of visiting gamin websites. Here is an idea: Boycott Articles that instigate Fanboyism. Lets get back to whats good about gaming, we sound like religious and political nuts. Gamers unite, lets regain our rational voice, and drown out Fanboys and thier mentality.
+bub *leaves thread*
You're right...you're absolutely right.
i agree my friend i am also tired of fanboys however, this is news for gamers (n4g), and the fact is that this cnn article is related to games and hence to gamers. I do not have problems having articles that say negative things about ms or sony if they are back up by facts. My concern is the fanboys that just cant make a constructive argument about the problems being expressed in these articles. instead of arguing against the position cnn is presenting, they are denying it, attacking cnn's credibility, and worst of all (perhaps the funniest of all, and disturbingly, the most common of all) they claim ms pays for the news. lol it is fanboys in both sides that are eliminating any possibility of a truthful discussion about serious issues that affect us. if i dare to say anything negative about sony, ill get the RROD, expensive online, ms is stealing games (lol), ms is paying for games (this one is so funny because it seems that the brilliant minds who utter this forget this is a business) etc... excuses even if what i say is not related to any of those issues) So basically a 360 fan like me ( and by the way i am a gamer first. I'll be getting a playstaiton 3 the moment they lower the price and include BC and i have owned all other Sony consoles and currently own over 150 sony games) has to be very careful with what i say in n4g. I know their are others like me. The point is that fanboys block honest discussion. If i say anything that can be construed as negative for a company i get bashed immediately. In fact i always make a point to highlight something positive about Sony before i make a statement just to prevent some backlash (e.g. Sony is great, KZ2 rules and it has wifi yessss!!!) peace
I'm not giving this site hits. Every company is suffering during this recession. Why does Sony need to be singled out? F*cking jackasses...I swear.
the video wasn't really singling out Sony, it was more of a little in site on how a major electronic company is struggling with the economy. it's worth the 2 minutes of your time to watch it. ;)
I can clearly see that Sony is going through problems right now. What I don't understand is why there are some people out there wishing for Sony's demise and are jeering whenever there is bad Sony news. Sony is not the only electronics company going through problems with now.
O please grow up and stop acting like a little fankid.... if you actually watched the video it is more about sony as an electronics corporation as a whole and barely mention the gaming division... so please FO cuz if you dont like it then dont look at it and dont comment...but it doesnt mean its not true....
playstation has been replaced by xbox walkman has been replaced by the iPod *bows* bravia has been replaced by samsung cybershot has been replaced by canon spiderman has been replaced by batman ericsson has been replaced by everything Vaio never sold anyway in short RIDICULOUSLY OVERPRICED, NON PREMIUM CRAP has been replaced by reason take notes from samsungs or MS's book sony. Maybe then you will make some money
i see you made a new account. you have one less S. How long you been here to get to 1 bubble? To top that I saw you on this new account yesterday and already to 3 bubbles lol. let me help you with bubbles!
Wow, has Sony made all of those thing? And people still support MS... this is what frightens me when we live in a world where people like chrisy supports an inferior company wich has done nothing except for copying.
I submit that with a global recession, Sony will do three things in 2009. 1. Kill off 25-35 percent of their first party development houses. 2. Start charging for PSN. 3. Start making multi platform games for 360 and Wii. God of War anyone?
... other businesses are struggling as well... INCLUDING MICROSOFT. The recession is affecting EVERYONE. Now cut it out.
It's seems true that the American media is bashing Sony. There was no mention of Microsoft Xbox being outsold 10 to 1 by the Wii or their Zune player being outsold by the ipod. But those some of those Samsung LCD's look tasty I must admit (I bought a sony anyway though)lol.
good report but i bet that most of the companies around the glob are suffering from the same or even worse issues with the current economy (e.g.car industries).
just like they talk sh1t bout product of China everyday and now product of Japan. Yet most of their product made from China. Recession is all over the world, there is nothing out of the ordinary here.
dread does have a point about the articles. Instead of boycotting all articles that add to the flamewar, let fanboys in the the comments section know they are not welcome. No matter what console you own lets have a united front here and drown out fanyboyism where ever we find it. We do this by appealing to the better natures of our co-commentators, support the positive and drown out the negative. I realize silencing speech is wrong and impracticable so just channel that fanboy energy we all have into letting fanboys know they are not welcome where rational people come to discuss our beloved gaming. Peace i hope sony comes out of the recession without too much damage and I hope the PS3 is sucessful, Killzone 2 looks amazing. i hope MS comes out of this too, I love gaming on my 360. Cant wait for Alan Wake and Resident Evil 5. If anyone would like to be schooled on the battlefield my gamertag is XPC HARDonE.