Analysts sceptical Sony's PS3 gamble will pay off

 

Company expected to lose US$3.29bn over two years.

Sony is expected to lose an estimated US$3.29 billion on the PS3 over the next two years according to analysts.

Paul Jackson, of Forrester Research, told The New Zealand Herald: "Sony is playing a long-term game for consumers' living rooms and future entertainment beyond gaming."

Sony's decision to include Blu-Ray technology is believed to have delayed the launch of the console.

"Sony is pushing the envelope of innovation here. In terms of production it has made a rod for its own back. The newness of the technology makes the console expensive to assemble and means that components are in short supply," Jaskson said.

Critics claim Blu-Ray isn't necessary, but Sony is sticking by its decision to include it.

"Including Blu-Ray is an indication of our determination to make PS3 future-proof," Phil Harrison, president of Worldwide Studios at Sony Computer Entertainment Europe told the paper.

"We need Blu-Ray as game designers to feed the hunger of PS3's powerful Cell and RSX processors [the graphic chip of the PS3]. Adding support for Blu-Ray movie discs makes it even more attractive to consumers."

Copyright ©v3.co.uk


Analysts sceptical Sony's PS3 gamble will pay off
 
 
 
Top Stories
The iTnews Benchmark Awards
Meet the best of the best.
 
Telstra hands over copper, HFC in new $11bn NBN deal
Value of 2011 deal remains intact.
 
Photos: iTnews Benchmark 2015 finalists revealed
Awards alumni gather to celebrate.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest Comments
Polls
Who do you trust most to protect your private data?







   |   View results
Your bank
  39%
 
Your insurance company
  4%
 
A technology company (Google, Facebook et al)
  8%
 
Your telco, ISP or utility
  7%
 
A retailer (Coles, Woolworths et al)
  2%
 
A Federal Government agency (ATO, Centrelink etc)
  20%
 
An Australian law enforcement agency (AFP, ASIO et al)
  14%
 
A State Government agency (Health dept, etc)
  6%
TOTAL VOTES: 1747

Vote
Do you support the abolition of the Office of the Information Commissioner?