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3-D in Home Theater
CEDIA Day 3: The Return of 3D
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PS3 Has Cost Sony a Boatload
The company has reported billions lost since the game console's launch.
Sony PlayStation 3

Sony says the PlayStation 3 has cost them $3.3 billion since its launch.

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June 27, 2008 | by Rachel Cericola

For those of you that think the PS3 is still too pricey, talk to Sony.

The company recently announced that they have lost $3.3 billion on the PlayStation 3 console since its launch.

Sony’s losses were approximately $2.15 billion in 2007, with another $1.15 billion this year. According to Gamasutra, the cost to manufacture the original incarnation of the console was too high. Sony had always hoped that software sales would cushion the blow. Despite those sales and other hardware adjustments, it will still take time before the company will recoup costs—if it does at all.

“Even if the platform is ultimately successful, it may take longer than expected to recoup the investment, resulting in a negative impact on Sony’s profitability,” reads Sony’s annual report to the Securities and Exchange Commission.

Sony originally offered the PS3 at a loss, in order to keep up with its main competitor, Microsoft’s Xbox 360.



About the Author:
Rachel Cericola - Contributing Writer
Over the past 15 years, Rachel Cericola has covered entertainment, web and technology trends. Check her out at www.rachelcericola.com.


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Comments (12) Most recent displayed first.
Posted by jFive  on  07/04/08  at  03:27 AM

I bought the PS3 SPECIFICALLY to play Blu-Ray discs and the home a/v networking options. And kinda-sorta to play Tiger Woods golf.

From the friends that I have that like to play video games, is that their selection of games pales in comparison to X-Box360.

Price does not matter. I use the Folding Home program and I write off the power consumption as a donation for taxes. So na-nah!!

Posted by VivaEspana  on  06/30/08  at  12:12 PM

Holy!  Complaining that you have to get up to switch to another game disc??!!  If I am not mistaken, you don’t have to change the disc until a specific point in the game.

Excuse me if I don’t buy the argument that having to change discs is a negative.

I suppose those of you who don’t want to get up to change game discs get their exercise with WiiFit....

Sony is simply paying the price required to be at the top nowadays.  They had to invest huge sums of money in the myriad of PS3 versions they had at launch and pay money to convice the HD-DVD backing-studios that Blu-Ray was the way to go.

I think they just reap what they sow...Sony loves pushing its proprietary tech on us (memory stick, Blu-Ray...).

Posted by Steve Harbor  on  06/30/08  at  09:52 AM

I started playing Lost Odyssey on my 360 the other day. It comes on 4 DVDs! Not to mention the fact that the system locks up constantly.

I really wish the game was out on the PS3 so it would fit on one blu-ray disk.

The level of ignorance in these comments is pretty astounding.

Posted by Mr. Audio  on  06/29/08  at  09:49 PM

Because PS3 is a GAME CONSOLE!  At least that was what is was supposed to be.  Blu-ray is Sony’s proprietary technology.  Proprietary meaning that you must buy Sony products to use Blu-ray discs.  The part where Sony didn’t fight their competition fairly was them sticking this technology in their game system to not just only corner the game console market, but also to corner the HD media market.  Well, they put HD-DVD out of business like they wanted to but thought that the gaming market would be theirs as well because they thought people would buy the PS3 because it was a next gen game console and a Blu-ray player.  It didn’t work like they thought it would because their game library isn’t nearly as good as the 360’s and their control isn’t as extensive as the Wii.  They thought hey, you can buy a 350 dollars 360 and a Blu-ray player for about 500 dollars or you can buy the PS3 for 500 to 600 dollars and have both a new console and HD format.  That still wasn’t a good enough deal for the masses so now their losing even more money by dropping the PS3 to 400 bucks.  It’s amazing how fast it came down from 600 bucks wasn’t it?  No, even billions of dollars lost won’t put Sony out of business, but I’m glad to see the masses stand up to them and not buy their crap.  If you’re gonna make a game system, make a game system, not a multimedia hub.  We have computers for that already with way bigger hard drives.

Posted by wally  on  06/29/08  at  10:26 AM

Microsoft chose to support HD DVD. Sony didn’t force them. How was Bluray proprietary? Unfair?


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