That would be -$286m.
One thing's for sure, currently Sony (gaming) is putting microsoft's (gaming) losses to shame. I dont want that to get lost here.
It dependes on what timeframe you have in mind. Overall, Sony gaming division is about 5 billion on the plus, whereas MS gaming division is 5 billion in red.
If Sony will be posting losses one year from now from the gaming division - like MS still does one year after launch - then they will be in trouble.
MS doesn't have a gaming division, it has an entertainment division. And profit/losses aren't broken down on a per business basis.
MS XBox losses are compounded by the Zune fiasco.
Sony PS3 losses are offset by PS2 profits.
Cheers
MS doesn't have a gaming division, it has an entertainment division. And profit/losses aren't broken down on a per business basis.
MS XBox losses are compounded by the Zune fiasco.
How can you tell if they don't have the numbers broken down per business basis ?.
It dependes on what timeframe you have in mind. Overall, Sony gaming division is about 5 billion on the plus, whereas MS gaming division is 5 billion in red.
This point stands on its own though Gubbi
That's accountacy for you!
However, I really dont see how Zune ca make such a hole in the budget - it's just an MP3 player. In China they make a new model every hour.
Not to mention it's not even an original design is it? They tweaked a Toshiba MP3 player, so most of the money went into marketing. This has got to be a drop in the bucket compared to a console.
I alos read MS went from a $10 license with the Xbox to a $5 one in the 360. This may make devs happy, but it's not going to help profits. Sony will have game and Blu-ray license to cash in on if things go their way.
Not to mention it's not even an original design is it? They tweaked a Toshiba MP3 player, so most of the money went into marketing. This has got to be a drop in the bucket compared to a console.
I alos read MS went from a $10 license with the Xbox to a $5 one in the 360. This may make devs happy, but it's not going to help profits. Sony will have game and Blu-ray license to cash in on if things go their way.
Why would a company as large as and with plenty of resources as MS allocate "drops in the buckets" to try to establish a competitive product against the Ipod.
Why would a company as large as and with plenty of resources as MS allocate "drops in the buckets" to try to establish a competitive product against the Ipod.
Pricing is among the factors Sony Corp. is studying as it expects to break even in its money-losing gaming business next fiscal year, said Senior Vice President Takao Yuhara, while stressing that no additional price cut has been decided.
"We may look at the price as part of our strategy to expand the market when the timing is right," he told a small group of reporters at Sony's Tokyo headquarters.
"Such factors, including price cuts to some extent, are factored in," under our plan to break even in fiscal 2007, Yuhara said.
Price cut coming this year? And they could possibly break even by next March?
I meant investment wise. I think the 360 cost orders of magnitude to develop and market than the Zune, hence any losses would be mostly from the 360. I also doubt they sell an MP3 player at a loss.
My numbers about the license fee came from some history of consoles article, but I can't find the link ATM, sorry. Can anyone else confirm this or is it under NDA?
I would tend to agree with you, but the absence of any flash-based models at launch to compete with the Nano makes me doubt how much muscle MS put behind the Zune project.
Price cut coming this year? And they could possibly break even by next March?
What? Can anyone confirm this?
BTW what are the current ps3 and Wii royalties/licenses?
Bravia is high margin; so is SXRD.
Margins are just as important to the final sales figures as total units moved. Does the public consider Bravia to be "better" than Samsung LCD's? If so, that's what brand power is all about, and what will enable Sony to compete at higher price points on lower volumes.
Its core electronics sector reported a an 11.6 percent jump in sales on the back of demand for digital still cameras, flat-panel televisions and digital video cameras. Operating income jumped 77.3 percent mainly because of higher profits from Cybershot cameras, Handycam video cameras and semiconductor chips. The Bravia LCD (liquid crystal display) TV business saw losses widen in the quarter.
Well now a little more time has passed and it seems BRAVIA isn't performing well for Sony.
http://www.pcworld.com/article/id,135103/article.html
Brimstone, you should realize that thread necromancy is frowned upon - this thread is like seven months old. Normally, what I would do is delete this post, but since it was addressed to me, all I will say is... I'm well aware of the present negative margins on the Bravia line of TVs. (Were you aware that they still expect Bravia operations to be profitable for the year?)
IMO this article is more informative than the PCWorld one anyway:
http://www.beyond3d.com/content/news/375
Samsung held on to the top spot among global television brands in the first quarter of 2007, accounting for nearly 12 percent of global television sales, according to a new report from iSuppli Corp.
LG followed with 11 percent, TCL Corp with 8 percent, Philips with 7 percent and Sony with 5 percent
