Kotaku writes: "Pricing the PlayStation 3 below its production cost caused Sony to lose $2.16 billion in 2007 and $1.16 billion in 2008, the company revealed today.
Sony's fiscal 2008 annual report delineated potential risk factors to its investors, outlining that "the large-scale investment required during the development and introductory period of a new gaming platform may not be fully recovered." The loss figures were provided as an example of the "significant negative impact" introducing a new platform can cause at first.
"In the past, large-scale investment relating to capital expenditures and research and development for the manufacture of key components, including semiconductors supplied for [PlayStation 3] was also recorded within the Electronics segment," the company said."
While many gaming layoffs are cruel, Tango Gameworks being culled after Hi-Fi Rush doesn't even make sense.
Good read. I think the point is important. Cuz the message it sends is, make a bad game? Well shut you down. Make a good game? We still might shut you down. How the fuck are you supposed to feel any sense of job security under those conditions. The level of core incompetence at play in the upper levels of this industry is staggering. This is common sense shit. You can’t chase trends on a 2 year cycle when games take fucking 6-8 years to make. Just let artists fucking art for gods sake. They don’t understand the basic principle that they’re all haggling for the same slice of fucking pie and the market will not bear it. Find a different fucking pie.
Interview with Stephen Russell, Actor for (Nick Valentine, Codsworth, My Handy) in Fallout 4 which is a vast open world role playing game set in the apocalyptic wastes of Boston, the Commonwealth. The career goes further with other Bethesda games from Starfield to Prey to The Elder Scrolls V: Skyrim.
This looks like a great way to play.
Rocksmith+, the award winning music-learning app that teaches you guitar and piano with thousands of hit songs, is coming to PlayStation and Steam on June 6, and is available to wishlist now on both platforms.
"The loss figures were provided as an example of the "significant negative impact" introducing a new platform can cause at first"
yeah, at first, but once there is an install base and games the profits begin to flow!!!
this is true regardless of console, it takes money to make money!
To me that sounds like Sony is about to close the doors on the ps3 all together. WOW, that' is bleak.
heck the 360 and xbox as a hole only started making money once Halo3 was released.
This stuff is to be expected, same with the ps1, same with the ps2.
it shouldnt matter to use anyway. when you drink milk you dont care how the Cow is doing
I can't believe you see this as good news. This means no matter what Sony is going to have a hard time pulling money from investors now. No marketing, no new IP, no obtaining exclusives, none of that. this is not good.
$5 billion over 2 years is NOTHING to big companys like sony
its not like this hasnt happened to every system ever made.... that isnt the wii.