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?
In a story by rte (among many others) Sony’s operating profits are expected to drop by an inexcusable 65%. Competition has been stiff. And even though many reporters blame the Wii, it’s actually Microsoft’s Xbox 360 that has been eating into Sony’s gaming sales. It wasn’t the Wii that the PS3 lost Devil May Cry’s exclusivity to, nor was it the Wii that gave gamers an alternative for games like BioShock, Eternal Sonata, Unreal Tournament 3 and Fatal Inertia. Said games helped give Microsoft an edge in giving gamers a cheaper console option for the same gaming titles.
It also wasn’t the Nintendo Wii that stiffened sales for the PS3 so much as it was the Xbox 360 preventing the PS3 from selling the way it could have. This is not to say that Sony would have gained any ground against Nintendo’s ferocious little Wii had the 360 not been around. But it certainly would have afforded Sony far less competition in the hardcore gaming market, which they are fighting for in direct competition with Microsoft.
But at this rate – failing economy, cheaper competitor consoles, lesser third-party exclusivity – Sony could be heading the same route of Sega and simply hanging up the console fighting gloves altogether. Between less than stellar sales figures, extremely costly research and development, and the cost of production, the PS3's only saving grace for Sony, at the moment, is the PS2's strong selling power for the entire PlayStation brand. Besides, ending a console run with such a prestigious piece of equipment as the PS3 certainly isn’t a bad way to go out.
It’s an extreme long-shot to put one’s trust in cutting the price on the PS3 to turn things around, but it could help bring in some dominance in the market value of the Sony brand, once again. But even with a price-cut on the pricey console, it may not be enough to start turning profits in the entertainment [gaming] division for Sony unless manufacturing costs drop again. Software would also have to be used to propel gamers to further purchase the console, otherwise Sony will stay in a deadlock with Microsoft, competing for the undecided gamers.
Hands down, though, it’s not a pretty picture for Sony, and the economy is letting everyone know that this is going to be a very long haul. Things could always turn around for the company, and when they do Blend Games will be sure to let you know. Until then, be sure to stay tuned in with us, or drop by the Blend Games Forum for further discussions on the hottest games.
Comment on “Editorial: PS3 Could Be Sony’s Last Console”
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Every Sony fan boy didn't know that the Cell is a cheap streaming processor, Sony intend to put 2 Cell in PS3 to handle graphic, but they realise that the Cell even not compete with the GeForce 7800, so they urge to source the GPU, and reband GeForce 7800 to RSX processor.
I still remember in one of the Sony presentation show RSX double GeForce 6800 performance, what a joke.
The GPU in XB360 is another kind of animal, tailer for console design. Google and Wiki for details.
Oh look! Another website I've never heard of with an "editorial" that's based on pure speculation.
This is the problem I have with all of these gaming websites. A new one pops up every hour and the people who run them have little to now journalistic experience or credibility. They all seem to have one purpose, and that's to stir up controversy. Why? To direct people to their site.
It used to be that if you wanted to write an article in for a magazine you had to submit it to an editor and he or she had to think it was well written and worthy of publication. Now all you have to do is pay a webhosting fee or even sign up for a free domain. The only person who has to think it's any good is the person who wrote it.
Wow. The 360 desperately lowers it's price and starts outselling the ps3 again for a few weeks and here comes the doom and gloom reports from early 2007. Then if the ps3 sells extremely well at christmas or after a another price cut then it's OMG SONY'S T3H Greatest Now lol. Anything can happen. How is the whole gaming internet community in an uproar about one persons opinion?
Classic Fanboy flame bait, and everyone took it. This is the whole reason why websites, and bloogers like this need to be eradicated from the internet. This isnt even and _opinion_ piece, its actually written to sound like the author _knows_ something. Which he doesnt. As others pointed out, the PS3 part of Sony is actually now profitable - hrm, why would you ditch a profitable part of your business? Bravias are the main cause of Sony electronics posting losses - which is down to economic woes (ppl stop buying big TV's and cars first).
What I would like to add here too. Is something people really fail to understand about the current generation at all. At this moment, the Wii, PS3 and X360 ALL COMBINED are selling about 15 million a year worldwide. For a perspective view of this, back in the 3rd yrs of the PS2, and the Xbox and GC, the total yearly unit sales were OVER 40 million units worldwide, with PS2 selling over 20 million for 4 yrs in succession. Now.. I dunno about the rest of you, but does that sound like the current market is 'dominating' _anything_? Let alone one console 'way' out in front than others.. even the Wii sales are LACKLUSTRE in comparison with last gens's GC!!!! See how WRONG these game bloggers are giving you information?
So before ANYONE starts spouting about this console.. or that console.. take note. The WHOLE games industry is in a pig-shit of a mess. And if you ask ANY publisher they know it too. Costs are soaring.. sales are pathetic, and people are turning away from gaming big-time.. there is NO winner this time around.. there are only losers.. and thats ALL of the consoles.. the only one that can claim _some_ happiness are Nintendo with DS and Sony with PSP.. since those markets have both grown substantially. The console market has shrunken to LESS THAN 30% of its original strength..
put that in yer pipe and smoke it fan-boy blogger...
sony will make a PS4. they all ready started to send out specs to game devs.
i think sony will make the PS4 cheaper and easier to dev for.
but this gen is a lot harder for sony. ny though
sony though the devs would flock to the PS3.
and haveing the 360 and wii cheaper and just as
good as the PS3 has sony in trouble
ummm duhh. of course microsoft has to bribe third parties. its called good business. there is no loyalty when it comes to this. people just dont stay on the system because of thats what the want. its called contracts. so come out of your bubblegum land and get real.
Reason, you are dead wrong on ps3 being the inferior machine by a large margin. I don't know where you pulled those spec's from and if any of it is actually true, but playing online is far more enjoyable on my ps3 than it is was my 360(which rrod'd this past summer). There are far more objects on screen on the ps3, gta4 undoubtedly prooves it. pretty much the only thing the 360 has up on the ps3 in the disc read speed. The 360 is not a pure HD media machine, the graphics are good but cartoonish, and while it does have many great games, it has nothing new and original. Basically, if you are between the ages 13 and 18 and are really really REALLY obsessed with first person shooters, then the 360 is for you. In the end, you get far more for the money with the ps3. Oh, and I've had my ps3 since the week after launch and it works just as well as it did right out of the box, I bet few people can say that about your xbox 360
SOny is going nowhere and is hear to stay. Stop hating on PS3 because it is the best console of all times. Look, Fist off, its a PS3- Great games, AMazing exclusives and great first party support.< HARDWARE is much better then the xbox and blu-ray is the best type disc ever though off. Downloading media wont beat blu-ray because most people want a phisical copy of their media and it wont even be possible unless they can creat hardrive with more then 10 terabytes of space. You people complain about the price and yet it costed 499 in canada and i think it costed 399 in USA. 399 Wasnt expensive for the xbox, why is it expensive for the PS3. Xbox had hardware issues, no biult in HD drive and didnt even have WIFI biult in comm'on, even the wii has that, and still the xbox didnt get any major games untill a year after it came out and PS3 had great games from the start. Sure halo and gears were better then all of them but still, for its first year it did give nice games like WARHAWK, ratchet, Heavenly sword, Uncharted, resistance, motarstorm and much more. 2008 PS3 just dominated with their games give a whole year of what halo did to XBOX an PS3 is still not done. While xbox owners player there old HALO, im playing my new little big planet MGS4,SOcom and other games. OVERAL PS3 was expensive but 399 is a good price. IT was the cheapest blu-ray player when it came out and no one said blu-ray players where 2 expesive, PS3 can do almost everything a PC could do, and It was reliable, IT is here to stay and when manufactoring cost go down and people relise what it can do in the next few years, It will sell even more then what the PS2 did. SONY knows what there doing and they are not in a rush to make money off the PS3 now, they know it will come in time.
Reason
u say 360 has better technology ha ha a ha ha ha haaaaaa
ps3 wasnt tooo good last yr,only sony games made the 360 look lik crap,but now thats ooold news to STFU u fan boy.ps3 is actually better this yr on graphicsa and crap like that so shhhhh
Stop pulling "facts" out of your asses. If you have solid numbers then post your link to them. Everything you say is speculation (in the comments, not the editorial) and your own opinion. Don't go toting your bullshit around.
I can't believe I'm even adding to this fan boy nonsense (the article and the comments) but whether you are a 360 or PS3 fan boy everyone just needs to be quiet and wait a few years. It is so incredibly early in both of these consoles life cycles that no one knows what will happen (not that it even matters). Many of Sony's best PS2 titles came out in the last couple of years, not there first 2-3 years. 360 is just a young buck with tons of tricks up it's sleeves. No one knows what either system will be turning out in terms of tricks, or games hear in another 5 years.
Everyone, please do the world a favor and end this fanboy BS. Just play the one you like and STFU in the meantime.
Your stupid, first of all, it was not Gears, it was Halo. Gears just turned out to be a big hit, and by the way Epic was gonna put that game on Sony too but they said no thanks, big mistake. Sony bribed the movie companies to go Blue Ray, I think your lights are on but no one is home, am I right tito? I still have not seen a game on PS3 to say “wow, PS3 is worth buying just for that game”. Resistance was not something I was impressed with. Seriously guys, Call of Duty is better than that game. its all about the Benjamin’s and if you need to bribe to get it, then you do it. See, Gears, Halo series are own by MS now, but Tekken, Devils May Cry, Final Fantasy, & MGS series are not own by Sony (wow, they are dumb). Since Sony did not keep part of there deal for them to stay exclusive, game companies switched. MGS is the only one left but they are looking into it as well. Konami has yet to make profit, so far they have not been pleased with the sales. So well see and I cant wait to shove that down all you PS3 freaks throat =o). l cant wait to see what other mistake Sony is gonna make!!
If it cost more money and takes more time to develop for the Cell, then that is not more power, it is just wasted energy.
The "power of the cell" is marketing babble people, the ps3 is not more powerful, it is equal to 360 at best, if it were more powerful, it would not require twice the time and manpower to get it to do the same things 360 does with half the amount. No matter how you spin it that does not equal greater power kids. What that equals is fewer games, at often lower quality, that take longer to produce. AKA PS3's legacy.
Look it up, most technical experts agree that PS3 and 360 are equal at best, only Sony, most of the gaming media, and PS3 fanboys believe in the "power of the cell" those who know technology however, know that is just marketing BS.
Yada yada bla bla power of the cell bla bla. Fact still remains that the thing has floped, it is not making Sony money, like the authur said, there will be no PS4.
Deal with it cry babies, Sony screwed up this gen, its not rocket science, everyone knows its over for the big black turd of a bluray player. This is not the first article to point it out, and will not be the last, no matter how loud you mindless morons cry.
i think at this present time sony are felling down because there not making as much money as they were expecting but the truth is ps3 is brilliant i love mine and im sure other ps3 owners think so too. i think that sony's ps3 is not going to be the last console because look how good it is, look at the online console wars... ps3 is going well and if ps3 is the last one sony will be making a huge mistake. the playstation brand have been going years they were all fantastic and the ps3 still is, playstation has more exsperiance than Microsoft, i mean look at the ps3 to the xbox 360, come on! how can sony let ametures take it down!
anyway i believe sony has more than a brand that make many electrical products they are geniuses with all there products. thanks for reading! oh and my psn id is: boycool13
LOL!!!! Sony and its playstation brand are just like Heavy Metal because everybody are talking of their end and this never happens, and actually they just get better and better with time, and the same goes for Nintendo, this is the same b.s. as always there its some good longstanding heavymetal bands and the king for a day`pop¨artists¨ , who buy a good AC/DC album vs an old New kids on the block album, and what can you tell me about nintendo virtualboy or game cube, Nintendo didnt quit making consoles, sega quit because they made at least 5 bad selling consoles in a row, Microlame (sorry), Microsoft its having only its second attempt to beat sony, and they have a bunch of problems too because of its unreliable console it look as it was made by Chrysler or Ford Or GM. So for me the reality its that we as Americans doesnt like to hear that something from the outside world its better than our products, so our american journalist are just like our companies PURE BLA BLA BLA, and where its the quality? where its the reliability? where its the old way of making good products?, our very american way of living now its just plain crap comapred with the old good american way of life, so
please take a look to the past and think a little before posting something that its useless, think about what your saying before you lost the credibility for me you just another 90`s pop song or another xbox 1, thanks. FOR THOSE ABOUT TO ROCK WE SALUTE YOU!!!!!! KEEP ROCKING PLAYSTATION!!!!!
God, you ps3 fanboys are really in denial. If you cannot admit that 360 has done some great things for gaming then you are just blind. Alot of the good things about the PS3 came about BECAUSE Of the 360. Trophies, yeah started on 360. Voice chat in every game, yeah started by 360. Wireless controllers with rumble, yeah now the PS3 has a DS3. Gamercards, yeah now PS3 has them. Background downloading, yup again sony took that idea from 360. OH yeah, selling movies, tv shows and etc on a network. Yup, that was 360s idea. Just like 360 has got some good ideas from ps3 and other consoles. Both consoles are nice, I just play my 360 way more. I havent touched my ps3 since I beat MGS4 EXCEPT to play blurays.
You do realize that the doom and gloom cloud hung over Sony's head when they had the PS2, right? Unless Sony gives a sign that they're closing shop, your article is baseless and illogical.
The PS3 is not making Sony a dime, it is infact costing Sony a ton of cash. Companies do not keep doing things that cost them cash and make them none, there will be no PS4.
Proof? The PS3 will be sold until they can at least recoup some losses, that will take about a decade, by that time Game consoles as we know them will be obsolete, thus we will not see a PS4.
Sony is upside down folks, sorry to tell you, they lost way more money than planned on ps3 and it will take far too long to get any of it back, there will be no PS4, and if there is, it will be about as expensive as the wii was to develope, in other words, it will suck big time.
The authur is right, once again we have here a bunch of rabbid PS3 fanboys in denial. So you attack those who speak the truth because you can' t stand to read it.
You PS3 fans are some of the most vile disgusting, vulgar, bitter people in gaming, you literally worship Sony and HATE anyone who does not think just like you, you're like Nazis, I hope PS3 does fail just so you people will have no reason to exist.
@Reason, you're just about as comical as the guy that wrote the article. The PS3 is superior in terms of hardware. Everyone knows it. Everyone also knows that it's a tough platform for developers because of the complexity of THE ALMIGHTY CELL. The Cell was a risky move for Sony, and it may or may not pay off in the end, but the bottom line is this : MS is a company kept alive by morons. MS, for some strange reason, has been allowed by the public to make an inferior operating system standard on most home computers. On the console side, they show up with the XBOX. It wasn't a bad machine by any means, but I never liked the controller and there where no XBOX exclusive games I wanted enough to buy one. A few years went by, the 360 (slightly better controller) came out... and all support for the original XBOX stopped. Now look at Sony, who continues to support the PS2 almost three years after the launch of the PS3. When the 720 shows up, all 360s will be as useful as the ones afflicted by the RROD. Despite that lack of existing customer support, the Circle Jerk Nation will go for the new console in a heartbeat, never comprehending that they're getting hosed. I think, besides the obvious need for a price drop, that it's going to be up to Sony's in-house developers to show what the Cell is really capable of. Then maybe some third party devs will be inspired to show what they can do with it. Until then, most third parties are going to take the easy way out, making games for the 360/PC platforms because they're so similar, and porting to the PS3 with sometimes shaky results. As for the premise of the article... LOL !!!
I'll tell you what is killing the ps3.IGNORANCE,HATING,AND NEGATIVE PRESS.The ps3 when it first came out cost $599.99 for the 60gb.Parts and labor for assembling this magnificent piece of hardware added roughly to about $850.00.psone,ps2,ps3 w/cell,hardrive,bluray,support for all types of media,free online,wifi,and is upgradable through the internet inregards to capabilties.Not to mention that it does almost everything a computer does with bluetooth within the system.A system that is able to communicate with the psp so you can basically take it anywhere.Ignore all this and lets focus on price? GET REAL!!!!!All these capabilities and the ps2 was still selling better than it and the 360.Hate was born through jealousy in regards to the fact that ps3 did have a must have game when it first came out RESISTANCE.360s first must have was gears a whole year later afetr launch.So after saying all this why the negative press from the beginning?Microsoft has to basically bribe 3rd party companies for games to be exclusiv
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