Sony's recent redressing of the PS3's production problems has made it profitable according to Richard Doherty, an analyst at the US research firm Envisioneering Group.
The analyst told Bloomberg that thanks to Sony's resolution of its production issues the PS3 has actually been profitable for several months, while he reckons that Microsoft loses money on every Xbox 360 it sells.
"Any price cut they try to make puts them more into the red,'' says Doherty of the 360.
Companies, particularly public companies like Microsoft, need to grow.
i mean its pretty simple, they spent close to 30 billion in acquiring activision, they thought they'd make it bk no problem, and that didnt happen.
its just shit that because of MS's miscalculation alot of people lost their jobs.
This is exactly what many people said would happen including the CMA and FTC. Lies lies and more lies and they allowed a $69 billion buy out to happen.
gold,
You can't be serious, right?
Do you think that MS thought they would make 80bill in a year & Half? They haven't even released titles under MS yet, lol.
But in fact, that A/B revenue is already paying off, look at the last earnings call. That $80 billion is long-term money, my guy, no sane person/company would think they would make that back in any short-term situation, it's a long-term investment.
Let's play silly then. If MS's reason for laying off staff and closing studios was due(which it really was not) to the A/B deal, tell me what Sony's reason was for past studio closures, the recent 900-person layoffs, closing Sony London, shutting down Dreams, and closing Japan Studio? Zipper? Psygnosis? cuts at all their internal studios.
Keep in mind, you are claiming MS's reason is because of the A/B deal; please explain Sony's reason.
this is not a sony vs MS debate. dont make it something it isnt.
and of course not, but im pretty sure they thought they'd make more money after the deal. they didnt, and closed off some studios.
its pretty insane to think there is any other reason for the closure of studios in this case.
(It really was) due to the Activision Blizzard deal and the loss of physical sales due to gamepass. You keep bringing up Sony in all your posts about this, stop deflecting and trying to change the topic, this is about MS and what they are doing.
once in a while you see someone too invested in their make-believe console war that everything happened has to be connected to said war…
a bit of banter between fans is normal, this crusade you’re doing now isn’t.
Wow idiotic. You bring up very old closures not that there haven't been recent ones from Playstations, but, seriously stop deflecting. This has NOTHING to do with Playstation.
Does Playstation got $3 trillion behind them and daddies wallet? No they don't so stop making a fool of yourself.
Xbox has never been profitable really and they just keep losing money so between their worst hardware sales, terrible 3rd party sales and now terrible 1st party sales.
Gamepass numbers that are no longer being announced shows their numbers after 3 years of missed targets has flatlined. Plus their recent gains up to 34 million were ONLY because they folded Gold members in too. Absolutely take your idiotic rhetoric out of here. Keep on topic without deflecting.
They are going to use AI for a large portion of the game development process. Upper management need bonuses and the shareholders need more money. So, people will lose their jobs.
Maybe they were already using AI to make business decisions, which would explain why they closed Hi-Fi Rush's studio, then said they need more games like Hi-Fi Rush not long after that announcement.
They shouldn't have bought any studios. Some is okay...but they went on a shopping spree...stupid
The better question is why did Microsoft buy publishers for a service they were subsidizing they knew couldn't support.
And why are so many websites trying to make people feel sorry for Microsoft instead of truly criticizing the fact they are closing studios and killing jobs that would have been fine if Microsoft themselves hadn't gotten involved.
Quit feeling sorry for Microsoft and start feeling sorry for the industry and the all the gamers who are actually losing out.
THIS IS MICROSOFTS FAULT.
The first thing that happens after any major acquisition or merger is a consolidation of the whole new portfolio, which includes cutting any excess, bloat or portfolios that don't fit the larger MO of the big boy. So far, it's been par for the course with Microsoft and that's why gamers have been so against this acquisition. Tango Gameworks is the beginning. You think Microsoft wants to pay to keep small timers like Ninja Theory in business?
There is absolutely zero evidence to suggest that Microsoft will improve any of these studios, but plenty to suggest that they will get rid of what they don't need and hold onto the IP. The real agenda of the acquisition was always to acquire The Elder Scrolls, Diablo, Fallout, Call of Duty, Candy Crush etc. that will create millions in passive revenue stream for Microsoft regardless of where the games release. Microsoft simply wants their cut.
Because of Games Pass Microsoft has no interest in investing in new IP which is risky and requires creative talent they can neither nurture nor manage. Game Pass has also not grown in the way Microsoft expected it to, even post acquisitions. Therefore the logical thing to do, without serious money makers to release, is to cut as much cost as possible.
Backward compatibility works for many games on newer consoles, but titles such as The Simpsons: Hit and Run have been left out.
From base building to swinging willies, here are the best survival games around, which include a couple of less than obvious picks.
not bad, took them about 8 months to get that small (haha) issue out of the way...
A standalone bluray player cost more to manufacture?, yeah right well that's a joke....well like the articles author I will like to know where this analyst got this info from becuase not even sony will say something like this and they love to admit to this stuff. 360 will never be profitable so they keep selling games
Could be possible with the Blu-Ray factor, Sony was a big investor into the format and it's took off really well compared to HD DVD, weve already seen confirmation of price reductions to mass produce PS3's...
well thats a shocker for ya lol, how would the fanboy spin that?
don't know about it being profitable already but its not impossible. The ps3 alone cannot be profitable yet. They do however sell at a profit in europe and they managed to shave off about 100 dollars off that extra 200 and sumthin earlier in the yr. They could have also shaved off an additional 50. This combined with blu ray sales and maybe european ps3 sales maybe... just maybe they did it already