
SCE boss Kaz Hirai admits that platform holder is still making a loss on its hardware
Kaz Hirai, the boss of Sony Computer Entertainment, has admitted that the platform holder will make a loss on every PS3 Slim it sells.
When asked if that was the case, Hirai told The Times Online: “If you’re just talking about the hardware alone, the quick answer is yes.
“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.”
Hardware redesigns are often a vehicle to allow manufacturers to lower costs and increase hardware profit margins. But despite the fact that PS3 has been on the market for over two years it still packs some impressive tech – most notably its Blu-ray drive and Cell processor.
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Comments
some facts missing...
But despite the fact that the PS3 has been on the market for nearly three years, we have still to see the 120 frames per second, 1080p gaming they promised us. They keep telling us about the "impressive tech" but as a gamer, what has it given me that is "impressive"?
When games like Flower, Pixel Junk, SSHD, WipeoutHD and other PSN games are left to showcase the machine, what has Blu-Ray done to make those games any better? The answer of course is nothing, because none of them are on BR, yet none of them have suffered because of it.
Great games don't need 50GB, maybe if some of the devs gave their game something to be proud about, other than "filling the disk", then we might start to appreciate them more.
They can't escape the fact that the PS3 is now a more expensive BR player (compared to others out there) for those wanting just a BR player, and it's a more expensive games console, for those just wanting to play games.
I think the PS3's problem is that it has failed to define itself in one market or the other and as a result, is finding either of the markets hard to keep hold of.
Multi-function machines are great, as long as the whole family wants to do the same function. If one person wants to watch a BR movie, while someone else wants to play games, what happens? As the PSX proved, families don't particularly want a "do-everything" machine because ultimately, they are restricted by the sum of their parts. You can't put half a PS3 in one room and leave the other where it is, but you can with 2 devices that perform individual functions.
geeQ
Sony never said PS3 games would render at 120fps. They did hype up the 1080p angle though and certainly alluded to the notion that games would be released in 1080p resolution. And guess what "some" games do indeed render at that resolution. And so Sony weren't lying, it just comes down to your own interpretation of what they said. For instance if your conclusions were that every game released on PS3 would be 1080p then obviously your going to be disappointed.
The bottom line is all 3 console manufacturers are guilty of 'talking up' there own product and perhaps giving the impression of more than is strictly true. For instance I'm quite surprised many have not jumped on Nintendo for promising ground breaking motion controls, only to release an add-on a couple of years later that finally provides the kind of sensitivity that many were expecting from the outset.
Cuh, you kids, and your frames.
"Sony never said PS3 games would render at 120fps"
Yes, they did. Kutaragi did, at the Tokyo International Digital Conference in October 2005. The thing that sticks stickily in my otherwise non-stick craw is the *constant* Sony lie machine. Ok, the Wii wasn't as jaw-droppingly incredible as you might have liked, but it did have motion controls, which Nintendo promised.
Facts, indeed. You can prove anything with facts.
Amazing success of PS3
What I find amazing is that PS3 has almost the same number of owners as xbox 360 even though the 360 came out a year earlier. Even with a much higher price point the PS3 has sold faster than the 360(if you don't count the almost 7 million 360's that were sold as a replacement to broken ones). What is even more amazing is that people don't seem to realize how much the 360 sales numbers are inflated because of the 15% of owners who bought a second one when their first one broke. Owners buy games and peripherals. Broken consoles do not buy anything.
Re: Amazing success of PS3
Karl, just to point out that 360 sales where not driven by replacements. Sure the failure rate of the 360 was high, but Microsoft replaced every RROD unit for free. Microsoft's RMA process was surprisingly smooth, it had to be.
Whatever
>>.Sure the failure rate of the 360 was high, but Microsoft replaced every RROD unit for free
haha whatever.. They most certainly did not replace *ALL* for free..
and many most certainly bought a new one instead of paying to get a broken one fixed.
And what is this 'Replaced' in past tense bs? haha.. you meant to say 'is replacing' as in still doing so right? :)
idiot
oh my god, your a moron.
Microsoft did replace the units, they extended the warranty due to the large amount of failed units.
Do you really think people bought £250 of console, it breaks and they don't go through warranty but instead go out and spend another £250?????
Re: idiot
Jack you are forgetting the fact that many of those 360s RROD after their warranty period and were not replaced for free. And anyway those figures do include replacements - its standard (although questionable) practice that all suppliers adopt, including as it happens Sony. Not all those 120m PS2s were new owners, many again were replacements, especially given the PS2s tendency to sotp reading discs after a few years
lol
They were all replaced even if they were out of the warranty and experiencing a rrod on their 360..
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