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Sony boss: PlayStation profitability is top priority

Friday, 20th June 2008 15:27 GMT By Patrick Garratt

Missed this yesterday, for some reason. According to this Bloomberg report, Sony boss Howard Stringer told investors yesterday that the company’s top management priority is “to restore profitability in our television and game businesses.”

Tons more through the link. This probably translates as “don’t expect a PS3 price cut this year, bucko.”

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12 Comments

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  1. Blerk

    Possibly. Although cutting the price and selling more machines (and hence more software) may be a faster route to profitability than hoping they can revise enough bits out of the hardware to make it cost effective.

    They might like to get their fucking hands out of their pockets and stop Microsoft from buying up the entire Japanese software market, too.

    #1 6 years ago
  2. patlike

    That RPG stuff’s only really just sinking in, you know. Those announcements would have been unthinkable until recently.

    #2 6 years ago
  3. Tiger Walts

    But it wouldn’t be a premium product if they discounted it! How will they justify over-charging for their other products?

    #3 6 years ago
  4. Psychotext

    Blerk: It’s all about the bean counters (MS too). They’ll sacrifice long term profitability for short term gain.

    #4 6 years ago
  5. Killerbee

    I don’t know about the TV side of things, but I reckon Sony will get there with the PS3. Market share is building pretty well now and the software is starting to deliver. Whilst it won’t be as stratospheric as the PS2 era, it should still be a nice little earner for them in the long term.

    The one thing that has annoyed me most is the decision to take functionality out of the original PS3 specification in order to deliver that profitability. I still maintain that if we’d been offered the chance to buy the same fully featured PS3 that we were promised – i.e. the US and Japan 60GB launch model – I’d have bought one by now.

    The big problem Sony had, imho, was that Blu-ray simply wasn’t ready for the mainstream release at the time they wanted to get the PS3 to market – thus the hardware was too expensive and blu-ray largely irrelevant to millions of gamers who hadn’t yet bought HD ready televisions.

    PS3 undoubtedly helped massively to see off HD-DVD as a format, but I hope Sony don’t forget that debt of gratitude now and that they do give a little something back to genuine gamers who are still waiting to get on board.

    A price cut and/or the return of some of those axed features (PS2 BC, basically) into a high end SKU would be great and really shouldn’t hurt profit margins, since they can easily charge a premium to cover that cost.

    #5 6 years ago
  6. Blerk

    To be honest, I don’t much care about them bringing BC back. A cheaper machine with a proper pad and maybe a bit more disc space would go a long way to making it more enticing for me.

    A general show of enthusiasm from them would go even further. I’m left wondering what the fuck they’re actually *doing* 90% of the time.

    #6 6 years ago
  7. Quiiick

    @ Killerbee

    Quote: “The big problem Sony had, imho, was that Blu-ray simply wasn’t ready for the mainstream release at the time they wanted to get the PS3 to market – thus the hardware was too expensive and blu-ray largely irrelevant to millions of gamers who hadn’t yet bought HD ready televisions.”

    Well, this is the classical “Egg/Chicken-Problem”, isn’t it?

    You can’t blame Sony for being to early with putting Blu-Ray into the PS3.
    They had to make a bold first step. And history so far tells they were right in doing so.

    #7 6 years ago
  8. Killerbee

    @Quiiick:

    I don’t disagree. I think history will probably show that they were right to include it because the PS3 will have a lot more in terms of longevity versus the 360.

    But I think they’d probably accept that it was the cause of most of the early problems the PS3 had – delayed launch (especially having to drop Europe from the original promised global date); the high price; mandatory HDD installs of several GB of data.

    The other real problem they’ve had has been the complete mismanagement of PR the world over; ostensibly favouring one region (the US) and sticking two fingers up at another (Europe) is the sort of thing that should so easily be avoided these days. Ironic really that Sony should be so guilty of this, considering they finally woke up to the benefits of making their console games region free!

    #8 6 years ago
  9. kasai

    BC is really a pointless feature if you look at it as a whole. I never use the 360′s BC feature nor do I ever care too. I don’t buy a new machine in order to play my old games I buy a new machine to play new games.

    Also the idea that sony themself should release a console with a bigger HDD I really don’t understand. Theres no point in doing so considering you can update the hdd yourself. It says in the manual upgrading your own hdd wont void the warranty so why not just get a cheaper bigger hdd later after you have gotten a ps3.

    I wouldn’t mind a price cut though as I don’t have the cash to splash out on a PS3 yet.

    #9 6 years ago
  10. Quiiick

    @ kasai
    Quote: “BC is really a pointless feature if you look at it as a whole. I never use the 360’s BC feature nor do I ever care too. I don’t buy a new machine in order to play my old games I buy a new machine to play new games.”

    Your milage may vary on BC!

    I use the BC on my 360 quite often (Halo, Halo 2, Splinter Cell CT, Burnout 3, Jade Empire) and thus enjoy not being forced to install my old Xbox.

    I would also play PS2 Games on my PS3 but I have the 40GB model so my old PS2 is still hocked up to my CRT-TV.

    #10 6 years ago
  11. kasai

    I don’t know I guess I just don’t see the need to play old games any more. Once I complete a game I tend to just move on. BC to me is a feature only a very small percentage ever use most people move on and play new games.

    #11 6 years ago
  12. Psychotext

    One way or another…it’s always been a part of the PS heritage and it should never have been removed.

    #12 6 years ago