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Sony Job losses as PS3 continues to struggle.


CarMad
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Just read on engadget that Sony are to shed jobs in its gaming division after losses of $1.91Bn for the year.

However the figures below still show things aren't quite up to speed yet for the PS3. They need some killer titles pretty darn quick IMO. Gran Turismo for one can't come soon enough.

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The move comes as Sony struggles to keep up with Nintendo which again snagged top-honors for the 4th consecutive month in the US market: 360,000 Wiis sold to the PS3's 82,000 while Microsoft sold 174,000 Xbox 360s. The gap between the Wii and PS3 sales in Japan is just as bad, if not worse.

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The problem, as i see it, is that Sony have lost exclusivity on a lot of titles.

Previously you need to buy several consuls to play certain types of game. That is no longer the case..

I always said that the £500 price is a barrier.. I don't know many parents who are going to fork out £500 for a kid's play machine, (i realise that it isn't marketed as a kids console, but that's where 1000's end up).

This is also where the Wii got it absolutely spot on. A sub £200 machine that the whole family can use. Ok the graphics aren't cutting edge, but they are good enough for decent game play.

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Not quite true, Snail.

Sony posted very healthy profits, but not in the gaming arena due to dev costs of the PS3 unit. Their TV's and camcorders brought them a shed load of revenue.

The Wii is cheaper, but then it can't do as much - people seem to rate these two consoles against each other, and you just can't. They are aimed at totally different markets despite both being capable of playing games.

Don't forget that MS posted massive losses when the xbox launched and again when the 360 went live. They clawed it back easily enough, as will Sony.

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Very true.

It would be interesting in knowing how many units Sony need to sell to make break-even.

The reason i ask is that if development costs went sky high, then instead of selling 10 million to break even, they may have to sell 50 million.

I've no doubt the PS3 will sell, it's a top class machine. But i don't think it will sell in the numbers Sony is hopeing for due to missing out on the family market.(and by that i mean parents buying it for their kids)

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Not quite true, Snail.

Sony posted very healthy profits, but not in the gaming arena due to dev costs of the PS3 unit. Their TV's and camcorders brought them a shed load of revenue.

The Wii is cheaper, but then it can't do as much - people seem to rate these two consoles against each other, and you just can't. They are aimed at totally different markets despite both being capable of playing games.

Don't forget that MS posted massive losses when the xbox launched and again when the 360 went live. They clawed it back easily enough, as will Sony.

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Nah the problem Sparky is the PS3 is a games machine. All the other shite is gimmicks to convince people to buy the games machine.

Nintendo got it right. Sony didnt. Its no more complex than that. Blueray and all the other techno gimmicks works for selling things to a small minority of people. Depending on the market, we call them technology leaders (like you guys on this forum) or similar. you're about 10-15% of the gaming population.

The rest, dont really give a shite and just want fun and good games.

the other problem sony have is you make more money from license fees on the software than the console hardware - by far.

Really, the PS3 should have had less shite and been at the £200 price point...then it'd have a bigger user base - meaning more people buying more games.

I'd hate to be a PS3 developer right now. 169144-ok.gif

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