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
Meet FABACUS, Westpac's first computer
GE225 operators celebrate gold anniversary.
 
NSW Govt gets ready to throw out the floppy disks
[Opinion] Dominic Perrottet says its time for government to catch up.
 
iiNet facing new copyright battle with Hollywood
Fighting to protect customer details.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest Comments
Polls
In which area is your IT shop hiring the most staff?




   |   View results
IT security and risk
  25%
 
Sourcing and strategy
  12%
 
IT infrastructure (servers, storage, networking)
  22%
 
End user computing (desktops, mobiles, apps)
  15%
 
Software development
  26%
TOTAL VOTES: 331

Vote
Would your InfoSec team be prepared to share threat data with the Australian Government?

   |   View results
Yes
  56%
 
No
  44%
TOTAL VOTES: 137

Vote