Sony Cuts Profit Outlook by 57%

Coinciding with the news that the PS3 is hitting rock-bottom sales figures in Japan, Sony has announced it is cutting its profit forecast by an alarming 57%.

While Sony had previously estimated a ¥470b profit for the period, the firm has made a shocking revision to that figure to account for the strong Yen that is cutting into Japan's export business. Sony's revised operating profit estimates relate to the full year ending in March 2009.

[Fishy Fingers]

The entire corporation or just their gaming division? Sony are much bigger than simply the Playstation brand, if this is the company as a whole trying to blame this on the PS3s recent dip in form is ridiculous.

Eidt: "Sony said in a statement that it now expects an operating profit of ¥200b." Its obviously the entire company then. I imagine this has far more to do with the currect economic climate rather than any single piece of hardware they make.

[Nineball2112]

This has much more to do with the global economic downturn rather than any one specific area.

I think the first line of the article is a bit of a non sequitur too.

This sentence, "Coinciding with the news that the PS3 is hitting rock-bottom sales figures in Japan, Sony has announced it is cutting its profit forecast by an alarming 57%", makes it seem like the sales figures in Japan have something to do with a revised profit forecast.

I realize it doesn't specifically say that one is the consequence of the other, but I think it kind of implies that.

Everyone is going to be hit by this downturn.

[ultimolu]

Yeah, this economy is going to hit businesses very hard. It's already destroying jobs and forcing people to sell their homes, etc.

It won't be just Sony feeling the burn right now. :/

It's terrible to see things going the way they are now. The stock market is experiencing a freefall I believe.

[TheExecutive]

I agree 100%. It is also good to see someone on here that has a little training in Logic. It is sorely lacking on N4g.

The PS3 is loosing money but last time i checked its gaming division was still making money.

[theKiller]

if u want to understand about the economy collapse then watch this, which did effect the whole world including sony

http://video.google.com/vid...

[IdleLeeSiuLung]

Quote from Article: "Sony has cited its games division as one of the key areas to expect a fall. 'We expect our results to be lower than the July forecast with operating income decreasing by approximately ¥130b, mainly within the Electronics and the Game segments,' the company said."

Meaning game division is likely hit the hardest. This is bad news, because competition is good and if Sony is hit hard and can't reduce prices it won't put enough pressure on MS....

No price cut this Christmas and unlikely any time early next year.

[IdleLeeSiuLung]

I quoted straight from the article, so you should ask if the article is correct? Just read the article...

I'm not sure why fishy is misleading you, because it is clearly stated in the article. Did fishy not read the article?

Since both comments from fishy and nineball2112 came in a short time span and support each other they might even be the same person. Basically a Sony fanboy.... This is just speculation though.

[kewlkat007]

must of not read the article...?/

"Quote from Article: "Sony has cited its games division as one of the key areas to expect a fall. 'We expect our results to be lower than the July forecast with operating income decreasing by approximately ¥130b, mainly within the Electronics and the Game segments,' the company said.""

[thewhoopimen]

This isn't necessarily a product of Sony's high pricing. Rather it is also a sign of the devaluation of the US dollar to the Yen.

Right now a US priced PS3 is valued at 399.00 USD = 38,744.09 Yen

A year ago, $399 priced PS3 = 45486 Yen

You are looking at a 6742 Yen loss in profit which translates currently to: $69.42 Dollars

That is a HUGE difference and could easily turn a profitable consumer product like a camera, notebook, camcorder into a loss.

Compound this with the fact that they are trying to sustain sales numbers in the US. So they can't "raise" the price to make up for the difference. Sony, Nintendo, and many other international manufacturers are thus losing money big time. And it isn't even about driving sales. It's about how companies are suffering from the mismanagement our economy.

[Thugbot187]

The significance here is that the budgets will get tight all over the company to include the Gaming division of Sony. This will mean you will not see a price drop for sure this quarter and maybe the next. You may see game projects that might be perceived as a risky investment get cancelled or placed on hold. A rush to complete current projects like Home, we can all say Socom more than likely fell under this rush to release (Release use the fund and patch later).

I believe the extra money will go to trying to keep BLU RAY as a relevant disc format, so that they can get the big payout on the investment they have made so far. So expect to see less love coming in the way of the PS3 being able to keep 3rd party exclusives.

I would also expect MS deep pockets to come into play.

[thewhoopimen]

The same principle i showed you about Sony applies to MS as well. They're deep pockets are now alot shallower. Assuming MS's spending power is $100 billion in 2007. That same $100 billion is now effectively worth $85.08 billion dollars in Japan today.

[Downtown boogey]

pricecut!

[Tarasque]

This is completely funny, you can misread an article and get a billion agrees, but if you speak the truth you get disagrees. I think Sony fanboys are Bi-Polar...

[GiantEnemyCrab]

Tarasque not sure about bi-polar in denial or in damage control then yes I can agree with that.

%57 cut in forcast is rather large and disturbing. I wonder if MS or Ninty will revise their forcasts?

[IdleLeeSiuLung]

I have not done my research there and can't comment, but 57% profit cut is pretty big considering gaming division is one of the "key" area that is like to be hit hard.

This should affect all three manufacturers (MS less since they don't sell as many consoles in Japan) since all consoles are likely manufactured in Asia.

We have to wait and see if any of the 2 other console manufacturers are experiencing the same.

[thewhoopimen]

True. I'm more scared about the damage this will do to our existing trade and may lead to rising prices on all foreign daily products that we take for granted. high inflation seems inevitable.

@tarasque The only damage control you need to be worrying about is the one where the US plugs the gaping hole on a sinking ship.

[RememberThe357]

Thank you for your straight economic talk. Post 1.9 depicts exactly what is going on. Sony even said in their quarterly reports that the dollar depreciating against the yen was going to cut into their profits.

My thoughts:
The reason that the gaming division is getting hit so had is purely due to the PS3 and it selling at a loss. The dollar depreciation relative to the yen will add to these losses. The rest of the electronics division will see reduced sales due to the rescission in the U.S. and the economic instability around the rest of the world. This is not a dire situation, this is reality. Companies have to deal with these thing regularly. The PS3 will be fine, same goes for the 360 and the Wii. Even a Ferrari has the drive slow in a snow storm.

[deeznuts]

http://money.cnn.com/2008/1...

I don't know how to post articles. But MS also lowers forecast, and their gaming division revenue has decreased.

[dcbronco]

Are you really comparing an estimate of 4.7 Billion in annual profit dropping down to 2 Billion in annual profit, with 5 billion in second quarter profits dropping down to 4.95 Billion in second quarter profits? Really?

[dro]

either way they are still getting sh1t loads of money :/

i would be ok with just 1billion yen!!!

[Sir_Ken_Kutaragi]

...But it's Worth EVERY PENNY!!! for the enjoyment i get out of my SEXY;)PS3!!! ;-P

It's a FANTASTIC Games Console to own, does so much!!! ;-P

Let's hope Cute Sack-boy helps them out a bit!!!;)
Shame(NOT)no game will save the xBox 360 tho!!! ;-D
(GOD, there is a Lot of Negative SONY/PS3 News about on this site the past few days??? Hmm...wonder why???)

[morganfell]

The story needs to be reported. They did cut estimates but the number is wrong:

http://www.joystiq.com/2008...

[ultimolu]

Yeah...how could it be 57%?

[ultimolu]

God, shut the f*ck up...Sony Douche Force.
This will affect VERY COMPANY, not just Sony.

Dumbass moron.

[Pain]

that Your country is going to Sh!t and u Kids only care if there console loses...how PATHETIC

[ultimolu]

...You know what Farce?

Your words are pretty cute.

I'm just going to laugh at them because I can see that you're far from being a decent human being. And before you ramble on about how I insulted you, wah, wah, wah...I only insulted you because you're letting a stupid console war dictate your comments rather than seeing this from a worldwide perspective.

I wonder...who could this multiple account belong to? Someone that hates my guts as much as you do? You know, that's okay. I never asked anyone to like me or to add me...ya know? So if you want to act like that, fine by me.

You're not hurting my feelings at all.

You see...ANYONE WITH HALF AN INCH OF A F*CKING BRAIN could see that this will affect other companies besides Sony. You didn't even read what I said before you rambled on with your pathetic lowlife insults. If I suck Sony's c*ck, then you suck Microsoft's big ass dildo and you get f*cked with it as well.

I never implied nor denied that Sony is not in trouble you ignorant asshole.

Happy gaming.

PS. If you think childish disagrees make you a better person, then you're wrong.

Carry on with the multiple accounts! :D

[Dark Collosis]

I am by no means a big sony fan. In fact i am a huge 360 fan. I do though have a PS1 and PS2 with many many games, and i know that whats bad for sony is bad for GAMING.. THE REASON MS is pushing all these great games out is because of the competition of Sony. Just like i can guarantee all of you if MS wasn't around you would have even LESS games for the PS3. Even the most ignorant of fanboys should realize this...... COMPETITION=GOOD FOR GAMERS

[Aclay]

As far as Playstation 3 sales dipping in Japan, I think that a lot of people are waiting on those LittleBigPlanet 80GB PS3 bundles and Gran Turismo 5 PS3 bundles that are coming out at the end of the month.

I'm not sure if the 80GB PS3's will be sold at the same price as the old 40GB PS3's in Japan like here in the United States, but if you get twice the storage capacity for literally the same price, that is something that worth waiting a few weeks for and I'm sure a lot of people are doing that.

[Lord Shuhei Yoshida]

Absolutely.The Japanese market is currently excited for the release of the Little Big Planet bundle and are holding out until it arrives.

[orakga]

I really hope you are right.

But really, the article seems to confirm what everybody was speculating when Sony stubbornly announced that the PS3 will not drop in price; that the PS3 sales will suffer.

Sony was in denial for the last two months, but the sales really speak for itself. Yes, the economy is bad, we know that, but the PS3's high price is more at fault than the economy itself. And as for the exchange rate argument, that's just PR talk, because the fact of the matter is, sales are suffering across the entire globe, which means that the exchange rate has no relevance to this.

Ignorant suits.
Greedy execs.
Poor PS3.

[Tarasque]

I have yet to see such articles or pre-order stats, saying that japan is waiting for LBP bundles. Where did you get this info from?

[ChrisGTR1]

OP thats what you said before MGS4 launched....

[Darkseider]

This week alone not just Sony but MANY other large profile companies cut profit outlook due to the current state of the economy. I believe that Sony was hoping that their games division would have been stronger to be able to pump up or rather not cut their profit outlook by as much as they have. The holiday season is coming and the bundles are coming as well. Things will get better all around but it's going to take time, not just for Sony but for everyone.

[morrelli43]

This is a bit misleading.. I have read somewhere else that this is the forecast for the entire Sony company, not just SCE.. thats a forecast that includes the sales from their Walkman's (what is the plural for Walkman?!!) T.V's earphones.... everything.. but still its not good news for Sony, whatever way you put it..

[ultimolu]

It's not a good sign for any company right now, not just Sony.
I'm rethinking my stance on buying games this year. I think I'm just going to get Mirror's Edge and Prince of Persia for the time being as well as LBP and R2.

Everything else will have to wait until things get better.

[GiantEnemyCrab]

Quote:

"Sony has cited its games division as one of the key areas to expect a fall. 'We expect our results to be lower than the July forecast with operating income decreasing by approximately ¥130b, mainly within the Electronics and the Game segments,' the company said."

It's right in the article that the game division is a key area.

[Oner]

The correct explanation is

"Sony has cited its games division as ***ONE*** of the key areas to expect a fall...mainly within the Electronics and the Game segments"

It is *ONE* of the key areaS ("s" as in inferring plural). Which read properly means there is at least one MORE as said in the full comment. There is way too much "word play" trying to fit misinformed comments being said here, as usual.

[Squatter Nut Bosh]

The global stock market's been hit hard by the American financial crisis. The Dow Jones is losing points, Japan's Nikkei is losing hundred of points daily, Canada's TSX is losing, Even asian markets in Hong Kong and China have lost over 50% of their value since '07.

Now is a important time to save your money ppl.

[MetalProxy]

Well saving money could work as long as it holds its value. Buy guns and ammo, and a generator so you can still play video games, lol.

[Stryfeno2]

Wow...Sony is feeling it.

[Iceman100]

I knew this would happen high price systems with no games never last long.

[MetalProxy]

High price, no games? Your asking for trouble arnt you?

[Fishy Fingers]

Not trouble, attention.

[moparful99]

Ha good call fishy.

[hay]

Lets hug him.

[ceedubya9]

hasn't been for a while. It has plenty if you want them (except RPGs anyway). And at 399, it is definitely worth the price of admission if you're into everything it has to offer.

[4cough]

I think Sony should cut it by 80%, They are going down.

[LeonSKennedy4Life]

Microsoft cut theirs by 25% last year...because Vista wasn't selling. I can't imagine what it's like this year for them...with Macs selling like crack and the economy.

[Bladestar]

@LeonSKennedy4Life - yeah.. but you see... Microsoft Operational cost is way... way... super way... lower than Sony's...

Not to mention that they have lots of money to not hurt...

Why do you think they were offering $44.6 Billion in cash to Yahoo? Why do you think keep buying shares back? and why do you think Sony keep selling assets and borrowing money?

You can't compare a company that's being making profits year after year.. with another that is bleeding and borrowing money to stay afloat.

Look at Sony's Rating:

http://www.marketwatch.com/...

Look at Microsoft's Rating:

http://www.marketwatch.com/...

Microsoft have 19 buys and 0 sells.
Sony have 6 buys and 1 sells. and most on hold...

Trust me, I make 30% of my income investing... Sony as a company is hurting... and if you don't believe me... go see for yourself... go to google financial, yahoo, Marketwatch and others and see estimates and forecasts...

[Stryfeno2]

I highly doubt that...

[Parapraxis]

Profit outlook cut by 57%?
Forbes has it as 38%, which is a very vast difference.
http://www.forbes.com/marke...
"On Thursday, Sony (nyse: SNE - news - people ) slashed its 2008 net profit outlook by 38%,"

I'll go with Forbes on this one.

I also find it funny that this is being viewed by people here as directly relating to the PS3 when it's only a small factor in Sony's overall business endeavours.
Many Japanese companies are having to tighten their purse strings, and in a recession it's the right thing to do.

[DJ]

-

[Dread]

Also, lets not forget that this is happening thorughout the economy. so it is not only Sony who is affected. I suspect ms is also hurting a bit.

why are poeple briniging up the Playstaiton 3 eventhough Sony does other things?

well because this is a gaming cite and it is the reason we come here. to discuss issues that could affect gaming. this being one of them.

be gamers not haters

peace

I am sure once the economy improves, Sony's profits will improve accordingly. (At this point hardware is suffering becaus poeple cannot spend on luxury. This will change. (hopefully soon)

[Captain Tuttle]

Either way Sony stock is down 10% right now
http://finance.yahoo.com/q?...

It seems gaming might not be recession proof after all.

[creeping judas]

every other news source states 58% or 57% decrease. Forbes probably has a mistake on their webiste.

[beta junkie]

Oh come on, stop moaning $ony. U had enough income until now. Karl Marx, did he get it all right?

[hfaze]

"Oh come on, stop moaning $ony. U had enough income until now."

I guess unlike Micro$oft which has billions of dollars in liquid assets (i.e. money sitting in bank accounts), yet still outsources support to India for "cost savings" instead of giving qualified US citizens the jobs (you know, Micro$oft's home country, the place that allowed them the opportunity to make those billions of dollars). Or manufacturing their console in Mexico, and getting the wonderful quality of consoles they saw @ launch? ;-)

"Karl Marx, did he get it all right?"

What? I think we have a commie in our midst... ;-)

[RAF-TECH]

sony is definitly feeling it.
But who cares.

[RAF-TECH]

it's mainly because of competition.
You got Wii and 360 fighting against.

Profit will not be expected.

stupid Wii.... Ruined this whole Generation.

[ceedubya9]

Its just amazing that its doing as well as it is. Its definitely got an ipod thing going on.

[DJ]

To blame that on strictly SCEJ is just dumb.

[RAF-TECH]

tbh.

the Wii should have never been brought out.
ruined the whole cycle of the game industry.

Casual Gamers should stick to Casual Games on 360/PS3

[sleepbox]

OUCH! Well, that's what you get when you care more about movies than games as well as sell some of the most overpriced electronics in the world.

[ActionBastard]

Yep. That must be it...

[DJ]

Ignorance should be painful.

[ultimolu]

Are you serious?

Would you kindly do some research?

This will not just affect Sony but OTHER companies as well. I love how you ignore the entiiiiiiiiiiiiiiiiiiire crisis in the world right now and just focus on Sony because you want them to fail so bad that any bad Sony news is good news for you.

That's pathetic, no matter which way you spin it. -__-

[Man_of_the_year]

I agree this is a global issue and not just sony...but wait...if this is hitting MS as well, why are they able to drop the price of all their sku's for the 360...

maybe since the PS3 is still rather expensive - people are just looking for a cheaper alternative to play games and yes that would be the Wii and 360.

And since there is no price cut in the near future for the PS3 - this could be very harmful to the PS3 and later market share - but lets be honest here - this is all speculation as like others have pointed out people could just be holding onto their money till the 80 gig and the bundles come out...

Time will tell...and the time is almost up...looking forward to LBP

[NickIni]

Hmm.

Wasn't there news that Sony had already sold 20% more PS3s than their original forecast predicted?

[CHEF]

Just wondering. How many comments do you think this piece would get if it was about Microsoft? More attackers? or more defenders?....hmmmm.

[karlostomy]

"Sony has cited its games division as one of the key areas to expect a fall. “We expect our results to be lower than the July forecast with operating income decreasing by approximately ¥130b, mainly within the Electronics and the Game segments,” the company said."

This is very unfortunate for Sony. They NEED this period coming up to be strong to recoup gaming division losses that approach 3.5 billion.

The economic world downturn is bad enough, but the strong japanese yen is obviously not helping their exports either!

It is NOT looking good!

I wonder how MS and NIntendo will fare?

[ultimolu]

And you love this piece of news, dontcha?

It's actually 38%.

[karlostomy]

You seem to have a new account every week, Juuken...
Did you copy that off Nasim?

Oh and Juuken, please can you stop stalking my comments and adding disagrees with your multiple accounts?

-----------
on-topic. No, I am not happy to see Sony in this mess. I did say it was unfortunate for sony. Hopefully they manage to dig themselves out of this deep hole.
However I hafta say, what goes around, comes around. Karma.
Guess next time they won't be quite so arrogant, huh?
My guess is the ps4 will be released with some humility.

[Bladestar]

wow.. and I though it can't get any worst for Sony.

http://finance.google.com/f...

Their stocks dropped more than 50% in less than 1 year... from 57.19 to 21.34 and every week their stock test new bottoms...

So, that's what happens when a company put all their eggs in one basket... I knew blu-ray would hurt the playstation brand more than it can possibly help it...

Now... sony is against the wall... Microsoft will continue to sell do to price point... and having the ability to drop the price even further... while Sony sits on their hands without being able to do nothing since their company is already hurting do to the economical situation... all thanks to the all powerful blu-ray...

[NickIni]

Stupid Xbot, for someone who reckons they are an investment god, you are incredibly short sighted.

Blu-ray has nothing to do with any financial problems Sony is in right now. Blu ray has opened up countless possibilities for the PS3, including things that the Xbox cannot do with it's limited, and soon to be old, DVD technology. A bit like VHS.

Sony built the PS3 to last ten years. That's why they put blu ray in the console. 90% of all new films are released on blu ray as well as DVD, and in a year or two, that figure will rise to 100%. And in three, maybe four years, DVD will be a thing of the past.

They took a gamble, and it definitely paid off. A lot of PS3s are sold because of this feature, it won the format war, partly due to the help the PS3 gave it, and because of this feature, the console has the power and technology to last for the ten years Sony want it to.

[ultimolu]

You're another f*cking idiot.

When I hear Microsoft announcing their predictions, I hope I don't hear your whiny ass.

IT'S AFFECTING ALL COMPANIES. The economy isn't as strong as it used to be. It has nothing to do with competition, games, or how Sony is *losing* to Microsoft.

Get your head out of your damn ass...stupid fanboy twat.

[Bladestar]

Genius... check my first post on this article... lol! I gave 1 source from market watch... in case you didn't know a big name in the financial industry... and very.. very reliable... The source include forecast and opinion my huge companies like JPM... forget my opinion... why? because I am not giving it.. I gave you a link... that shows the rating for Sony... rating made by market leaders... not bladestar...

"They took a gamble, and it definitely paid off." how did it paid off? can you prove it loser? By having their stock on record low and the lowest is being in decades? by having to cut down the forecast? by being in 3rd in this console generation? please show us prove that the sources I provided are wrong.... that the entire market is wrong... that investors selling their shares with Sony are wrong...
How did it pay off?

you speak of bla bla bla 10 years... but if Sony keep losing 50% of their share value in less than 1 year... in less than 3 they will go belly up.... They took a gamble and it has not paid off... and it uncertain if it ever will... and they are sinking in red... and selling assets... and losing share value... and the economy is not helping... So, what the hell do you mean by "it paid off?" you ignorant little sony leg humper? Show links and prove that their gamble is helping the Playstation as a brand and the company to make money...

as I said, look at the links I provided under 4cough... though it's true that all companies are hurting... but look at the company ratings.. company Microsoft with Sony... Microsoft still profitable.. Sony is not as a company... RED RED RED... is more like a RROD financially Sony is experiencing...

You see... When a company like Microsoft is able to stay profitable and maintain AAA rating... and investor confident vs Sony which has SELL and C-D rating by all major financial rating orgs... it tells you a lot... Don't compare the 2 you mojones and uneducated in the arts of finance... stick to "uhhh... ahhh... PS3 rules leg humping"..

@ultimolu - "You need a foot shoved up your ass. Just unbelievable. -__- " The best you can come up with to counter the sources, links and facts I provided... you Sony leg humper?

"That's why they put blu ray in the console. 90% of all new films are released on blu ray as well as DVD, and in a year or two, that figure will rise to 100%." funny... even if you were right... and it rises by "100%".. it will not equal what it was before the whole blu-ray gamble... which translate to not even releasing blu-ray at all.

[ultimolu]

...You need a foot shoved up your ass.
Just unbelievable. -__-

Sh*t, look at all the 360 psychopathic fanboys coming out of the woodworks because they want to see Sony fail so damn bad! They ignore real-life issues and they aim for the throat!

Pathetic.

[NickIni]

You have the nerve to call me and ultimolu "Sony leg humpers"? We're not the ones throwing a hissy fit about Sony's stocks. You are a complete moron, and actually the most pathetic fanboy I've seen on this entire site.

I don't give a crap about Sony's sales. Blu ray has paid off, because with out it, games like LBP would not be possible, and that's what most gamers cares about, not companies freaking shares.

Stupid, stupid Xbot, and you still haven't answered my question on how blu ray has effected any of Sony's profits what so ever?

[pwnsause]

Bladestar, you are not an economist, you dont even know what those numbers mean, now shut the F**k up and get educated. Why dont you turn on the TV and see whats going on. it isnt just Sony who is feeling it, its every damn company who is feeling it.

[Bladestar]

@pwnsause - why don't you explain to be what the following means since you seems to think that these basic numbers are too hard for anyone to understand?

http://www.marketwatch.com/...

52W: $57.19
20.49 Change:-2.89 -12.36%

Analysts Recommendations:

BUY:6
HOLD:8
SELL:1

http://www.thestreet.com/qu...

Rating: C (Hold)

Year To Date: -56.94%

Please tell me what all this complicated numbers mean?

And while at it.. compare it to Microsoft stock and tell us why Microsoft still rated BUY?

Losers do not need to be an analyst to tell when a company is hurting because of their poor choices... even on this market... Companies are expected to profit less... but good companies may profit less but still profit... and know how to ride the economical situation...

Recession always happen... they have to... Recession are needed... and tend to consolidate the market and clean the poorly managed companies... Sony who had a nice history of right moves.. just happened to take a huge risk during a possible recession... too bad for them...

[NickIni]

Seriously, no body cares about Sony's stocks compared to Microsoft's. It's not we don't understand, it's just make makes no freaking difference to our gaming experience.

True, it may in the future, but it seems highly unlikely.

And yet again, you didn't answer my question: How does blu ray effect Sony's profits in a negative way? Maybe it's because it doesn't, and your just saying that because your a fanboy who wants to make the PS3 look bad, for no ones gain except your own satisfaction. Pathetic.

[Man_of_the_year]

@ Bladestar
Dude they have been backed into a wall and the only thing they can do is plug their ears and say they can't hear you...you have them beat with words, maturity, and sources...don't let the dirt of the earth bring you down to their level

@ THE MODS ON THIS SITE - HOW IS IT THAT NickIni & ultimolu CAN USE THAT TYPE OF IGNORANT LANGUAGE AND GET AWAY WITH IT AND IF WHEN I CALL SOMEONE AN IDIOT THE POST IS DELETED - YOU MODS SUCK (unless you delete their comments as well...then you're ok in my books)

[NickIni]

"Dude they have been backed into a wall and the only thing they can do is plug their ears and say they can't hear you...you have them beat with words, maturity, and sources"

Uhh. Whatever. You'll agree because your both fanboys. I don't care about sales. I care about playing my games, not Sony's stocks, as I have consistently said, but he seems to have plugged his ears to that as well as my question.

"don't let the dirt of the earth bring you down to their level"

Not to sound arrogant, but he's way past that already.

"@ THE MODS ON THIS SITE - HOW IS IT THAT NickIni & ultimolu CAN USE THAT TYPE OF IGNORANT LANGUAGE AND GET AWAY WITH IT AND IF WHEN I CALL SOMEONE AN IDIOT THE POST IS DELETED - YOU MODS SUCK (unless you delete their comments as well...then you're ok in my books)"

Excuse me. A) The language I used wasn't strong. B) Bladestar used exactly the same level of language.

[dale1]

i exspect the same for most companys including ms,its called a recession for a reason.ps3 sales are up 30% more than exspected and doesn,t the 80gb come out 30/10/2008 is this the reason of the all time low

[power of Green]

PS3's competition is the cause.

You would see a slow down in sales of all platforms and altered forcasts for all companies regardless of console price.

[ultimolu]

Power of Green...THERE IS AN ECONOMICAL CRISIS GOING ON. This will not just affect Sony but other companies as well.

Are you kidding me?!

[power of Green]

That is why lol.

Hype of PS3 and future games no longer work you must deliver games, I'd be more worried about Sony's true upcoming lineup and offerings. If this change is due to Sony realizing hype and brand recognition no longer works this is even more alarming(for you guys that is)

[ultimolu]

...
...
...
I give up.

It makes no sense saying this stuff because it's going through one ear and going through the next.

[PistolPumptMonk]

If you will kindly follow me I will direct you to a comfortable new home which you may find suits your interests more accurately.

Ahhh yes, welcome to the open zone! Please refrain from ever bothering us again with your obnoxiously slanted chatter. Thanks!

*Slams and locks door to gamer zone*

[BrotherNick]

Somehow sony should try to lower the price of the ps3...it's too steep when you can get a 360 for 200 that relatively plays the same quality of games, and is a direct competitor.

[power of Green]

Lowering the price will help but you hit the nail on the head when you said that PS3 relatively plays the same quality of games, people don't wan't to pay more or the same for a product that relatively has the same quality/performance.

Sony's change of heart has more to do with offerings, competition and the fact people even in Europe and Japan are finally allowing themselfs to see the truth about PS3's real capabilities IMO.

[BrotherNick]

I think Sony went too high end to get enough mainstream appeal. Their 1st party stuff is nice, and it has a blu-ray player. But to get the full quality of a blu-ray player is a 1080p hdtv. When selling things you have to know how much people are willing to spend on such things. They obviously know 199 is the sweet spot for consoles, why go beyond that? I know they wanted blu-ray to win and it did, congrats, but now their gaming division is faltering. Maybe they should give like a 50 dollar rebate as some sort of incentive, that's how some companies give money back to the consumer that they can't give immediately.

[Teh Cell]

I'm sure that selling the garbage BS3's for a loss doesn't help. Also, developing flop software for said BS3 doesn't help either.

[Jeremy Gerard]

sure is getting hit with a lot of negative news lately. MS really played this gen well, I think Sony was completely out done this go round. MS outsmarted Sony on almost every level except hardware build quality.

As I and others have predicted, Sony is not likely to get out of 3rd place this gen, they just cannot afford to drop the price again, and MS just keeps dropping one bomb after another on them, and now the economy is making the 360 pricing look even better.

[user3915800]

Call it quits in the gaming division now, make a deal with the enemy (xbox360) to support blue ray internally and bring all their first party gaming to the 360 with 20% of earning to microsoft. It will take about 4 month to apply blue ray and start sending product to production, but the bottom line its that Sony will earned serious cash and gaming will never be the same, I mean Microsonysoft delivering unslaught to the gaming world. Ok, it will never happened mainly due to pride in their products and not, because of earning potentials.

[Zerodin]

Failure GET!

[Firstkn1ghT]

The ps3 as a gaming console is just a plain failure. Cancellations, delays, patches, etc... Thank God Sony has the ps2 and psp helping out their gaming division. The cheap bluray player is the main reason why the ps3 sells. I know the recent news of the ps3 being able to play burned bluray movies has spread like wildfire on all those hacker sites.

[kevin1112]

if the ps3 is a failure the 360 is a worse failure, going by your logic. so please give the fanboy bs a rest already.

[FailStation3]

haaaaaaaaaaaaaaaaaaaaaaaaaaaaa aaaaa

[air1]

hhhaaaaaahhahahhahahhaha.

well, i guess they have 10 years to fix that.. lmfao

[Death]

It looks like their revenues are actually up from this time last year.

http://news.moneycentral.ms...

-Death

[Death]

"REDMOND, Wash., Oct. 23 /PRNewswire-FirstCall/ -- Microsoft Corp. today announced revenue of $15.06 billion for the fiscal quarter ended Sept. 30, 2008, a 9% increase over the same period of the prior year."

There are fancy charts in the link I provided also. All kidding aside, a comment should be required for a disagree on N4G.

-Death