Sony Posts Loss as Bravia TV, PlayStation Sales Slump

Discussion in 'Console Industry' started by Mboojigga, Jul 30, 2009.

  1. Mboojigga

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    So do we think a price drop is going to come this year or just bundles?
     
  2. Scott_Arm

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    That article said Stringer is cutting 16,000 jobs, but I'm not sure if that's new or old news. Is he cutting them because of this quarter, or was that announced previously and they're just mentioning it as part of the plan to profitability?

    Either way, I feel for the people at Sony. The dark cloud that hangs over your head when numbers like that get announced can make going to work miserable.
     
  3. Mboojigga

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    I think that was previous planned job cuts.
     
  4. Rangers

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    Up to date ships

    LTD:

    Wii 52.62
    360 31.4
    PS3 22.83

    Apr-Jun 2009
    2.23 Wii
    1.2 360
    1.1 PS3

    Sony chart>>http://a.imagehost.org/0716/Clipboard01.gif

    PSP sales took a huge tumble YoY.

    The software sales listed in these financial reports..are they first party published only, or all software? I assume the latter?
     
  5. deepbrown

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    360 only sold 100,000 more than the PS3 in those three months? Are you sure? Edit: yes, 360 had a bad quarter.

    http://www.itnewsonline.com/showprnstory.php?storyid=56778 Why do they call it the fourth quarter? I though quarter ending June was the FIRST quarter of fiscal 2009-10 ?
     
    #5 deepbrown, Jul 30, 2009
    Last edited by a moderator: Jul 30, 2009
  6. StefanS

    StefanS meandering Velosoph
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    All software
     
  7. silhouette

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    I wonder how they do a price cut w/o getting more losses... If overall sales are this close to that of 360s, I am not sure if they would do a price cut at all this year..
     
  8. Sonic

    Sonic Senior Member
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    Poor Sony. If they cut the price of PS3 they might lose more money. If they don't cut the price of PS3 they will lose money simply because nobody can afford to buy it. They've shot themselves in the foot repeatedly this generation.

    They should lower the price by $100 and offer some type of kick ass game in a bundle at the $300 price point. It might move some consumers to consider PS3 as a platform.
     
  9. Cornsnake

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    Could the announcement of the PSP Go be effecting the current PSP's sales? (on top of the recession that is) I know the PSP Go is more expensive, but it could hold people from buying any PSP until the PSP Go is released. All these PSP models, and now the PSP Go can really be confusing for anyone that doesn't follow the game industry closely.
     
  10. deepbrown

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    Wait isn't the PS3 one wrong...it was 22+ at the end of fiscal 2008-9. Have you added the 1.1 on top?

    Yeah look see: http://www.gamezine.co.uk/news/formats/playstation3/playstation-3-closing-in-on-23-million-units-$1295495.htm

    It was 22.79 at March 2009 (shipped) so it's 23.89 shipped now. All according to Sony reports.

    Now is the Microsoft number accurate?

    [edit] Yep, MS one is accurate. The PS3 one is definitely 23.89 - all based on shipped numbers reported by the companies themselves - that means a difference of 7.51 units (shipped)
     
    #10 deepbrown, Jul 30, 2009
    Last edited by a moderator: Jul 30, 2009
  11. Rangers

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    Oops my bad. But I believe it's 23.83 not 23.89. Sony shifted aound some units in there, cheating to make their FY 10+ goal last quarter. They therefore removed some sales from previous quarters, so some slightly wrong numbers are floating around (and annoyingly, apparently will the rest of the generation).

    The correct number I had at the end of March was 22.73 PS3's shipped. So that would make it 23.83 currently. Link here: http://news.vgchartz.com/news.php?id=3614 (scroll down a bit for relevant info about PS3 shipment revisions)
     
    #11 Rangers, Jul 31, 2009
    Last edited by a moderator: Jul 31, 2009
  12. Rangers

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    I dont know that 360 had a bad quarter..their NPD sales I think have been flat-ish or slightly higher YoY. However, when you're only selling 200k-ish a month in USA, you're not shipping a whole lot either.

    There's two ways to spin the data PS3 vs 360 :grin:

    PS3 spin : "Wow twice (ish) the price and selling almost the same"
    360 spin : "Wow, middle of 2009 and the aged 360 is still beating PS3"

    I think with all the doom and gloom around PS3 lately, the focus has rightly been more on the former spin..
     
  13. tirminyl

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    Having the ability to cut the price is where is the slim comes into play. Cutting out parts, shrinking parts (say 45nm Cell), and using cheaper parts, will lower the overall production costs of the model. Not to mention their aim and goal in centralizing procurement offices.

    It was last speculated that the current model nets them a loss of $40 or so. Maybe with all the above, they will still make a loss but could the PSP Go allow them to eat that loss a little if it does well? Maybe they are hoping the push in software will allow some of those costs to be eaten.

    I'm not a numbers sort of guy but I certainly don't see that PS3 hardware estimate happening this fiscal year unless they cut price or revise their forecast.
     
  14. deepbrown

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    Hm...I wasn't aware of that. I just checked that GZ source by adding up the graph they provided. I guess .6 is quite a lot, but I can't find anything to back up this shifting of numbers :/

    Edit: Here's the source - rounded to the nearest 0.1 - so it's 23.8 total (so prob closer to your 23.83 :) ) http://www.scei.co.jp/corporate/data/bizdataps3_sale_e.html
     
    #14 deepbrown, Jul 31, 2009
    Last edited by a moderator: Jul 31, 2009
  15. mrcorbo

    mrcorbo Foo Fighter
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    I expect that this quarter is going to be the bottom for Sony. The combination of slowed software sales and the cost of ramping up production of the PSP Go and PS3 Slim were likely big components of the losses generated this quarter.

    The question is going to be what kind of sales increase will we see going forward for these two products. I see the PSP Go as the right product at the wrong price. I'm not very optomistic about its prospects at all. The PS3 Slim OTOH I'm very curious to see the response to relative to whatever price point they set. If it's lower, will it be low enough to result in more than a sales spike followed by only a minor sustained increase? Or will it be a major inflection point in the overall sales curve?
     
  16. RancidLunchmeat

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    If it's lower? Are you under the impression nobody is buying the PS3 because of its size? Or that they are waiting for new tech that is more reliable?

    Why would the PS3 slim increase sales at the current price point?
     
  17. dobwal

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    At the current price point, it would probably cause a short term increase in sales but unless the PS3 comes down in price that sudden surge in sales would likely become a spike over time.
     
  18. RancidLunchmeat

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    Why? Based on what reasoning?

    Why would releasing a smaller PS3 at the current price point increase sales to any measurable degree? I don't understand that at all.

    It's not like the PS3 is getting bashed globally for being too large like the original Xbox was.

    I haven't heard a single complaint about the PS3's size, nor about the need to wait for the 'next chipset' to be released that would be more reliable (like the 360).

    I don't think Joe Sixpack cares about the size of the console, they care about the price.

    Reducing the size might allow Sony to drip less red ink, but I don't see how or why it would increase sales.
     
  19. mrcorbo

    mrcorbo Foo Fighter
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    I am under no impression of anything. I have no idea where Sony's priorities lie at the moment. Maybe they want to make some money on unit sales for a change?

    I expect a price drop, but it's by no means a sure thing. Unlike a lot of message board posters (not directed at you, BTW) the console manufacturers don't look at their sales numbers like they are a scoreboard. They are trying to make money. Their determination of the best way to do that may not necessarily jibe with those of some random person on the internet.

    So, I try not to assume anything.
     
  20. Sonic

    Sonic Senior Member
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    I'm thinking hardware sales are looked at by console manufacturers as a certain benchmark. If console sales are consistently low it will mean 3rd parties will be cautious when considering porting a game to a certain platform especially when considering the costs involved. I know PS3 has a rather high attach rate right now but that could change with time either for the positive or negative. Now I do agree that console manufacturers don't look at it as a scoreboard/card except when it comes to PR that nobody on this board would really care about.

    A slim PS3 could cause sales of PS3 in general to spike simply because it's a new model and some might decide they like the look of it. I would guess that this increase in sales would be more of an impulse purchase. Now if Sony launched the slim PS3 with a price reduction then I would expect consistently higher sales.

    I honestly believe Sony should drop the price to $300 in September sometime and watch their holiday sales skyrocket.
     
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