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Kaz Hirai: PS3 Slim HW Will Sell for a Loss, Playstation Profits
The Times Online spoke to Sony's head honcho about all things Playstation. See what he has to say about PS3 sales and whether or not the system is profitable overall.
In a wide ranging interview with Sony, the Times Online got some interesting quotes out of Sony's Kaz Hirai. The full interview can be seen here, highlights are below.
Times Online: It’s well known that Sony loses money on every PS3 it sells. Will that still be the case with the new machine?
Kaz: If you're just talking about the hardware alone, the quick answer is yes. That makes good headlines, but I don't actually know that that's the true nature of the business that we're all in, whether it's PlayStation, Xbox or the Wii. I think the better indicator is to look at the business as a whole platform, to ask: are you profitable in terms of the hardware, software and peripherals. And the answer to that question is yes on a gross profit level since the last fiscal year.
Is the new machine really an admission that sales of the existing PS3 have been disappointing?
If you look at the growth of the installed base, it is slower than the PS2 was but it's pretty much on track with the growth that we had with the original PlayStation.
We also always look at our business as being a 10-year lifecycle for all of our platforms. It's kind of difficult to say whether a platform has been successful or not going into our third anniversary. The fifth anniversary and beyond is when we really start to say how's our trajectory looking? |
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