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Editorial: PS3 Could Be Sony's Last Console

Things haven't been going over too well in the Sony camp since the launch of the PS3. While it sold faster than the PS2 in comparison to its launch, the PS3 has been a financial pain in Sony's side for the past two years. The added state of the rest of the economy have finally culminated in Sony seeing 10% of their market share value drop rapidly. So what does this mean for the PS3?

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cinemablend.com
ruibing6407d ago

Why do these editorials always forget the things the PS3 has done for Sony? It gave them the edge to win the next gen media format and it acts as the central hub for Sony to focus their internal developers for (such as the XMB, video/audio store, etc).

Finally, did these people even take economics? PS3 has been earning a profit with the learning curve (a rule that states costs decrease as cumulative production volume rises). The reason the profit forecast fell is because of the high yen (and the low dollar). Even a child knows that this will hurt export companies in Japan. The PS3 is just one product of one division (SCE) for Sony.

Hydrolex6407d ago

They forgot to mention that also !

barom6407d ago

@1.0
Couldn't agree more.

Also, they probably forgot to mention that over the last decade, Sony has bought up a bunch of studios (the most recent being Evolution Studios who makes Motorstorm). In fact of the big three, I bet Sony has most development studios. Sony has just invested way too much in the gaming industry and it would plain stupid to give it all up. Not to mention that they are actually gaining back their market share.

I do however think that the Playstation 3 and Xbox 360 are here to stay for a long long time. Sony's 10 year life cycle actually does make sense at this point. I mean we hear all the time how it's getting way too expensive to make a video game nowadayz (thus exclusives go multiplatform) and add to the fact that both Sony and Microsoft just started making money not too long ago. It totally make sense to keep the life cycle longer than the previous ones.

Jamie Foxx6407d ago (Edited 6407d ago )

this was said at the beginning of ps2s lifecycle,it wasnt selling well difficult to program for,sony made a mistake including dvd,could be their last console....and look what happened

dvd became dominant thus did the ps2,actual facts: bluray is selling quicker than dvd did at this stage when it was a new format and ps3 is selling quicker than ps2 at this stage, console lifecycle is a marathon not a 100m sprint

sony made some mistakes this gen but all this gloom predicting is ridiculous

uie4rhig6407d ago

that this has got '360 Fanboy' written all over it.. he's trying to make the wii look bad and the ps3 as well while at the time trying to make the 360 look good lol like 3 birds with one stone

but on a serious note

@ruibing
couldn't agree more

Tony P6407d ago

Until Sony gives an indication of shutting down its console development, which it hasn't, this kind of speculation is quite baseless.

SL1M DADDY6407d ago

Bubbles for you sir. Yes, I have taken econ and to my dismay, it is idiots like this that write articles with an agenda no deeper than for the purpose of spreading FUD. It's a sad state of affairs when journalists write articles based on a small snapshot of the economy and truly have no clue as to what they are talking about.

Again, thanks for posting the voice of reason.

cherrypie6407d ago

"It gave them the edge to win the next gen media format "

No, no it didnt. It made it necessary for them to give hundreds of millions of dollars to its MPAA partners in order for them to drop HD-DVD.

PS3 didnt end HD-DVD, Sony's many-hundreds-of-million-dolla rs payments did.

Had sony *not* done that, BR & PS3 would have been absolutely in the toilet.

It was a "in for a penny in for a pound" situation, and based on their current crisis, its still debateable if it worked out.

Genesis56407d ago

Markets go down, markets go back up again. Yen is up, yen will go back down again. It's a cycle that has been going on since a global economy was started.

When it's in it's low cycle all the near sighted fortune tellers come predicting doom.

Sony is not leaving the console market anytime soon. They still have lots of cards to play in this generation. Believe me when the time comes and Sony lowers the PS3 to the so called mass market price of under $200. HDTV will be prevalent BR will have will have a healthy market share. That is when the PS3 starts putting up heavy sales numbers. The PS3 is a console for the future and it's just getting started.

ravinash6407d ago

They seem to forget that Sony talks about PS3 having a 10 year life cycle.
That somewhat implys that there will be a PS4, otherwise its not really a cycle is it.
Plus Sony are making money on it, and it helped win the HD Media war.
I think all that will happen is they will learn the lessons from PS3 launch so the PS4 will come out fighting.
Question is, will Xbox try to come out a year earlier again or try and get more of a head start.

Real Gambler6407d ago

Ravinash: The next xbox is not only coming one year earlier than the PS4, it's likely coming very very soon(about two years max). Hopefully, they won't drop the 360 like they did it for the original xbox.

Gotta love CinemaBlend. They should stick to movies, but when they need hits for their web sites, there's nothing like a bad editorial against the PS3.

CrippleH6407d ago

Publicity stunt I swear.

Before the new 80 GB Sony was making near even on PS3 sold.

It's time for them to make profit now with the 65nm RSX and Cell.

They also stripped some unneeded parts to cut production cost like those Flash memory. They will just use part of the hard drive for that.

ultimolu6407d ago

...Another doom n' gloom article.
The same sh*t was said about the PS2.

1. Pain in the ass to develop for. Developers were annoyed.
2. Cost Sony money.
3. Etc, etc, etc.

http://www.forbes.com/2001/...

ReBurn6407d ago

If people stopped posting their thoughts and started only posting facts there wouldn't be many people capable of posting here.

Torch6407d ago

Read the last paragraph of your referenced article:

"Microsoft has proclaimed that it has learned from Sony's PlayStation 2 glitches..."

Oh, the irony!

(And this was back in 2001.)

ultimolu6407d ago (Edited 6407d ago )

Quite ironic indeed Torch but...that wasn't the point of my article. And I'm well aware of the date. The point is that they said the same thing about the PS2. It was hard to develop for, Sony was losing money, the PS2 may not be as successful as the PS1, etc, etc, etc.

Captain_Sony6407d ago

Yeah some similar things were said about the PS2 but the most obvious things the blind followers miss is that the PS2 was SELLING really good. PS3 isnt. PS2 had most games locked in as exclusive,PS3 doesnt. While I cant agee with the article, I also cant agree with fans who refuse to see reality. Let the disagrees begin but nothing can be shown to prove me wrong.

Xiru6407d ago (Edited 6407d ago )

@1.16:

PS3 is selling good. It is almost keeping up with 360 worldwide and the 360 is half the price. This weeks sales worldwide were,

360: 157,903
PS3: 137,256

So if you are going to say PS3 isn't selling well, than what about the $200 cheaper 360 with the "better" games out? While the PS3 is not doing as well as the PS2 was at this point in its life, the situation is different. Sony has three machines on the market making money. The PSP, PS2 and PS3. Also, the PS3 isn't the dominating seller like the PS2 was because of the competition. The point I'm trying to make here is that even though the Wii is winning the sales war, the PS3 is still doing good. You can't let the Wii sales skew your view. Take the Wii out of the picture and compare sales of the HD consoles to see.

BLuKhaos6407d ago

Apparently these people forgot about how Nintendo was in the same boat with the N64 and 2 gens later Ninty is Dominating.MS isn't going anywhere either,well I hope not.

NightVyper6407d ago

the thing that gets me is that people act like there is no room for 3 consoles. why is that people have need for there to be just one or two consoleS?? all 3 are going nowhere especially not sony as they are consumer electronics company (This is there bread and butter). As stated they are turning a profit and that is all that matters for any company. Apparently fan boys do not like competition. Well i have got bad news for you dudes there are lots companies out there selling similar products trying to turn profit from fast food to cars. This is called business.

Parapraxis6407d ago

Would you please post a link backing up your rediculous claim of sony payouts to it's MPAA partners.

LastDance6407d ago (Edited 6407d ago )

Jamie Foxx - anybody who disagree's with this statement can consider them the blindest and most unintelligent fanboy.

just....fyi...ya know.

+ Show (18) more repliesLast reply 6407d ago
xaphanze6407d ago

It will get better with time. It always does with Sony's consoles.

Ridrick6407d ago

Agree.
PlayStation is like wine, getting better with age.

Black_Jack6407d ago

exactly, the psp is moving forward with leaps and bounds, it had a slow start but the psp is a much better platform than it was. why anyone would say sce console devision is goin down the pan i don't know, they must be smoking something far stronger than iv ever smoked. sce stil has a larger market share then microsoft when it comes to the console market so why whould they jump out now. people forget that the ps2 and psp are still selling.

gumgum996407d ago

"why anyone would say sce console devision is goin down the pan i don't know, they must be smoking something far stronger than iv ever smoked. "

mega lolz on that one. bubbles

moparful996407d ago

I laugh because in 7 years we are all gonna look back and the ps2 will still be the highest selling console of all time and the ps3 will still be around and regarded as one of the best consoles of all time...

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tocrazed4you6407d ago

With all its dev studios I dont think so

Sir_Ken_Kutaragi6407d ago (Edited 6407d ago )

More like!!! ;-D
More Negative PS3 News i see??? Hmm
(the xBox 360 Fans on this and the Mod's are really ruining this site for people who just want to read normal GAMING News) :-/

+Poor Micro$ofts 'xBox 360' is in trouble really i.e it couldn't even out sell the more expensive 'Wii' last month in the U.S.of.A???
(Or any where in the World)
That's worrying for Micro$oft!!! ;-D Another Failed Console, what is it about 20 Million sold in 3 years now??? So 7'ish Million only every year??? PATHETIC!!! ;-D Maybe it's time to give up Micro$luts???

Sir_Ken_Kutaragi6407d ago

What this bit -

+Poor Micro$ofts 'xBox 360' is in trouble really i.e it couldn't even out sell the more expensive 'Wii' last month in the U.S.of.A???
(Or any where in the World)
That's worrying for Micro$oft!!! ;-D Another Failed Console, what is it about 20 Million sold in 3 years now??? So 7'ish Million only every year??? PATHETIC!!! ;-D Maybe it's time to give up Micro$luts???

OK, i just wanted to say it again!!! ;-D

GiantEnemyLobster6407d ago

As playstation dies, XBOX lives on. Sorry pstards, this world ain't big enough for you guys

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GWAVE6407d ago

PS3 is in its second year and people are already spelling disaster for it. I think some people are just too eager for Sony to fail. The sales on the system are continuing to pick up, and with Blu Ray rapidly becoming the standard, sales are going to improve.

Unfortunately, the game industry is plagued with impatient "let's base all of our predictions on the last 6 months of sales" journalists. That's why we saw so many "the Nintendo Revolution/Wii is going to fail" articles before the Wii came out. And that's why right now we have journalists saying that the 360 will sell like crazy in Japan (based on one month of strong sales) and the PS3 will die (based on a reduction of projected profits).

So sad. Fanboys believe this stuff, too.

Kleptic6407d ago

it really is crazy how this stuff bounces around...early 2008: "the King is back" plastered everywhere after the PS3 outsells the 360 for the first time in the US...now its back to 2007, as in the PS3 is doomed and so is Sony...

this is nothing like the DC...Sega made massive mistakes with 3rd party publishers by abondoning the Saturn...and the thing couldn't even match sales of the older PS1...then the PS2 came around and handed Sega their hat...that is nothing like what is happening now...the 360 is hardly doing anything negative to Sony...the Wii is also simply opening up the market to new users...there is room for all 3 currently...

plain and simple...the PS3 needs a price cut...that is the only thing holding it back...it has by far the best lineup for 2008 and 2009, at least for what has been announced...but its simply too expensive compared to the competition...but remember the 360 only topped the PS3 by 100k by being half the price for all of September...250K+ with only a $399 sku available still shows there is plenty of demand for the Ps3 going into this holiday season...

the more I read these crap articles from no name bloggers, the more I realize why they are crap no name bloggers...and not members of the actual industry...

pwnsause6407d ago

i think people are forgetting that they've been around for more than 15 years and won the last 2 Console Generations. People should stop taking Heroin and stop s**ting on sony, it doesnt get them anywhere.

Nicolator6407d ago

but u right now just coz sony won the last 2 gens... u cant base this gen results on those come on look at the figures. in this financial times when the economy is being rocked as hell ppl are not looking at brand names again, Electronic retail stores have been have stated that most customers are now more concentrated on affordable prices. Sony's business model is not working anymore right now.. i worked in the early times wen ppl had more money to spend and they were less competition to deal with but right now.. its not just the case so those hypothesis is no gonna work at all

TheExodus6407d ago

There was a time when Sony dominated the portable music player market, but that market now belongs to Apple because Sony stubbornly clung to their proprietary MiniDisc format while consumers were finding the convenience of MP3 irresistible. Past performance is no guarantee of future success.

ReBurn6407d ago

And in the last two generations Sony was dominant player after their first two years. But Nintendo has come back and brought their A game. After all, there are twice as many Wii's as PS3's and 30% more Wii's than 360's. With numbers like that you can't deny that Nintendo has been giving people what they want.

I know that people like to say that Nintendo's Wii isn't a "real" next-gen system. But there's more to next-gen than pretty graphics. A lot of people will say that they haven't played their Wii's because there are no good games, but if there were no good games then why did you buy them?

Xiru6407d ago

@3.3

People bought them because it was something new and original. I have a lot of family members who don't like video games who bought one and now they don't use it at all. People are not buying them for the games, just Wii sports.

LastDance6407d ago (Edited 6407d ago )

reburn...your an A$$hole...because my body disagree's with your comment thoroughly...but i have absolutely no retort.

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60°

Final Fantasy X 25th Anniversary Website Launches With New Nomura Artwork and Merchandise

Square Enix launches Final Fantasy X 25th anniversary site, revealing new Nomura art, books, music releases, and merchandise.

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twistedvoxel.com
-Foxtrot12d ago

Look I know VIII has its issues and all that but how on earth can the do big anniversary events with new artwork and merchandise for VII, IX and X yet VIII got sweet f*** all.

They could have given it something during its 25th anniversary yet all it got was a single Happy Anniversary post on their social media.

solideagle12d ago

they should know that we are OG fans of VIII as it sold truckload as well. not as much as VII or X. I personally didn't like IX but X and VI are my personal fav.

Shadow Hearts 2 covenant is another game I love. I hope one day someone can make remake, I would be delighted

Relientk7712d ago

Final Fantasy VIII is great and you are always the first to defend it in the comments

40°

15 Years Ago, Mortal Kombat (2011) Saved Gaming’s Biggest Fighting Franchise

A brutal reset, a smarter story, and a return to what made it great—Mortal Kombat (2011) revived the series.

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fortressofsolitude.co.za
italiangamer21d ago

"Gaming’s Biggest Fighting Franchise"

Press X to (seriously) doubt.

DarXyde19d ago

Underrated comment. I used to hate that game so much that any time my siblings asked me to play it, I just picked Hom and shut myself down mid-match.

Soy19d ago

And then MK1 killed it again.

DivineHand12519d ago (Edited 19d ago )

15 years went by so fast. I remember playing through the story mode at launch.

90°

PlayStation legend Shuhei Yoshida says Jim Ryan fired him because he didn't listen to him

Why did Sony push Shuhei Yoshida out of his role leading PlayStation's first-party games? He'd overseen some huge successes. Well, apparently, he didn't listen.

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eurogamer.net
Relientk7720d ago

Yeah I can see that for sure. Shuhei Yoshida should have been in charge not Jim Ryan.

Cacabunga20d ago

It should be free highway for him now.. but Sony are too stupid to see this, especially that moron Hulst

S2Killinit20d ago (Edited 20d ago )

Wtf why all that anger. PlayStation is dominating on every level. Besides I think there is a little more to hiring a CEO than just who is available. Its not like its a athlete your team wants to buy.

neutralgamer199220d ago

S2Killinit

live service failures, chasing trends, closing studios. yes dominating

Cacabunga20d ago

Sony is Dominating because competition is not existing. Compared to previous gens this is the poorest in terms of software offerings.

Last gen we got Uncharted 4 Lost Legacy and TLOU2 from ND alone.

This is so far a remasters gen, with no competition to lift up the quality

1nsomniac20d ago (Edited 20d ago )

..."PlayStation is dominating on every level"....

...Really???

PlayStation are soon heading into a new generation in the not to distant future. They currently have the worst customer satisfaction they've ever sustained as a company. The company is heading for a huge crash while at the same time they'll need to be planning how they are going to try and win back that favour and the build up to their new releases.

Yes financially they're winning but they're going to have to ride out this complete public corporate disaster. No one has faith in the company or the product anymore. They've damaged their public image so much this generation. Greed can kill anyone.

medman20d ago

Hulst is a disaster......

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blacktiger20d ago

He would've done the same thing and fire Jim Ryan and Shuhei would be the villain. Why?
Because Elite creates the narrative and distraction for gamers, users and citizens.

Outside_ofthe_Box20d ago

More confirmation that Jim Ryan is the culprit for what has happened to Sony. Hulst needs to go too. What sucks is that a lot of the good top heads at Sony are no longer there. I wish that guys that were forced out prematurely by Dumbo Jimbo like Shuhei and Layden came back.

robtion19d ago

Yep. Yoshida was responsible for bringing one of the best games of this generation to playstation (Stellar Blade). He is an actual gamer and is in touch with what gamers want (creative, fun games, not GaaS and agenda pushing). He also seems like a genuinely nice guy if you watch some interviews. Of course they got rid of him.

darthv7220d ago

Makes you wonder if MS even thought about hiring him after Phil and Sarah were leaving. He certainly couldn't make their situation any worse.

Agent7520d ago

Microflop. After Windows XP and Xbox 360, it all went floppy.

S2Killinit20d ago

Floppy 😆
No pun intended

badz14920d ago

Yoshida for President! Jim Ryan was and always be a hack! Sony should get Shu back

Lightning7720d ago

All the gamer/consumer lead heads are gone across PS and Xbox. shuhei gone phil's gone (questionable) but gone. The future of gaming is somewhat uncertain across the board.

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