“Sacred Cow Slayings” Rumored at Sony… Is PlayStation In Jeopardy?

UK newspaper The Times reports today that radical corporate upheaval is coming to Sony.

Long-overdue cost-cutting moves will, according to company sources, result in "sacred cow-slaying measures" that will "will abolish or fundamentally alter many of Sony’s long-established business practices."

The reorganization will likely be made public following CES in Las Vegas. The massive trade show ends on January 11th.

Could the PlayStation hardware business get the chop?

That’s hard to say, but the PS3 has been bleeding money since it launched in November, 2006 and the PSP is struggling as well. One ominous sign: there is talk of a shift that would turn Sony from a manufacturing to a content-driven business model.

PS3 manufacturing costs have generated huge losses for Sony over the past two years. Content would include games, of course, but Sony also has a stake in movies and music. If the company judges its console business as too costly to continue, it could decide to pursue a system-agnostic approach like the one adopted by Sega after it abandoned the Dreamcast in 2001. Ironically, back then it was Sony’s PlayStation 2 which steamrolled the well-regared Sega console.

Alternately, the PlayStation business might be salvaged in whole or in part  and manufacturing cuts could be made on the consumer electronics side of Sony’s house.

In any case, we should know more next week. In the meantime, PlayStation 3 fanboys may suffer a few sleepless nights as they worry about the future of their system.


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  1. 0
    Sai says:

    Shame that, the Playstation 2 is still one of my absolute favorite gaming consoles. Sony just went crazy this generation: expensive machine, expensive and pretentious advertising, and a whole heap of arrogance.

    I’ve said before if they just came out with a cheap model sans Blu-ray player I’d probably buy one, but they can’t do that now can they? Because all the games are on Blu-ray. Blu-ray is not going to be the wave of the future because not enough people care. It’s like when Nintendo flopped with the Gamecube. Hey let’s put everything on MINI-DISCS! Wave of the future! Yeah that really worked out.

  2. 0
    V4nI114 Ic3 says:

    myabe they should nudge developers to let the PS2 finally die gracefully and start building a larger PS3 catalog.  3 years in and still there are just as many if not more PS2 games released per month?  let it go guys, and give the crowd that upgraded a little more incentive.

  3. 0
    Derovius says:

     Yeah, it does sound about right. Including the lowly serf whining about how abused he is. Quit and find a new job, if you can. If you can’t, suck it up and live with what you’ve done with your life.

  4. 0
    Kharne says:

    There’s a reson the PS3 looks like a big black tombstone…

    Well alright, I doubt it’s going to get the ax (Nintendo’s still here afterall) but still, when you have articles talking about how this could be the end? Owch!

  5. 0
    Lou says:

    I don’t know if any of you read a lot but Microsoft is not doing well either. Aside from the insane amount of money they have blown on marketing to sway people into buying their decrepit operating system (Vista) they have also spend gobs on money to get exclusive content and games too. (i.e. the 50 million dollar agreement between Take Two and Microsoft to get exclusive downloadable content for GTA4) without knowing if it’s gonna pay off.

    If sony is gonna do some cuts my best guess would be on the PC division since they don’t sell that good. And I’m sure other companies are gonna tighten their wallets too so don’t expect Microsoft or Sony fighting over exclusives this year (Horray for us gamers)

    This year is gonna be a tough year for all consoles due to the global economy crisis reguardless of the myth that gaming is recession-proof.

  6. 0
    Flamespeak says:

    most people need a jobb for money to support their family. to look down on them for being in such a position makes me want to punch you in the mouth.


  7. 0
    Flamespeak says:

    a 360 elite and an 80 gig PS3 are the same price.

    To get a standard 360 to do what a PS3 does out the box it costs like $650.

    So the expensive argument is moot at this point.

    Holding on to that is as silly as the ‘has no games’ argument now. Both true in the past but not now.

  8. 0
    Flamespeak says:

    Sony was also bitched at for using DVDs for the PS2 with their excuse being ‘It will be the big medium in a few years’.

    With games eating up more and more space on discs, I can see why they would believe Blu-ray would be the next logical choice.

  9. 0
    Flamespeak says:

    Yeah, bullshit claim about the fire with the PS3.

    I know how it got started though. The sony truck (a big rig with a trailer full of PS3s and Big Screen LCD tvs) over heated and damaged the TVs and and PS3s on board during one of its runs back when the PS3 was being showcased. The truck had no ventilation, all the PS3s were in the display setups like at Gamestops and such, but there was something like 30 of them on the rig. Shit was asking for heat problems from the TVs alone in that setup.


  10. 0
    Flamespeak says:


    Something like 40 million have been sold.

    It has a massive install base, however, many people use it for a lot of other functions other than gaming. Games like Dissidia and the new Kingdom Hearts have caused a huge spike for the tech in Japan and more developers have admitted to wanting to work with the tech some more.

    An interesting not though, Sony has said that they are thinking about moving away from all physical media with the handheld and pimping out large memory sticks for the system and dealing with digital distribution for the product soley.

  11. 0
    Faceless Clock says:

    There is no doubt Sony has failed. The entered this generation of the so-called console war with the same goal as Microsoft. They wanted to integrate their console into the home theatre experience, such that people would end up buying not just as a game machine, but as part of an overall media solution. In this they have failed. Yes, the console sales arn’t there, and the game sales arn’t there. But more importantly, there isn’t that much demand for Blu-Ray, and their infant online service pales in comparison to Xbox Live.

    That said, I don’t think Sony would ditch the PS3. It isn’t outside of the realm of possiblity. If Sony really did end up totally changing directions and turning into a pure-content entity, then yea, the PS3 is toast. But that seems somehow doubtful. At the very least, Sony seems to invested in the home theatre market, including everything from HDTVs to Blu-Ray to the PS3, to simply pack all of that up and go home. The only reason they would do that is if they were losing more money then they could keep track of. And I haven’t seen anything to indicate that is the case. They’re not going to just restructure for shits and giggles, because being a company, they like investors. And investors seeing a complete restructure in the middle of a global recession probably arn’t going to be happy. Its one thing to cut jobs – its another entirely to start cutting product lines that have long been the mainstay of the company.

    The Honest Game – http://www.thehonestgame.org

  12. 0
    Monte says:

     Where you get that caught on fire story, that’s the first time i’ve heard of such a thing… just taking a quick look around i can only see one story about such a thing happening… along with a story saying that story was just a hoax as admitted by the person…


    frankly it this was even remotely as big a problem as the 360 RRoD, god knows it would have been widely reported as it would be the kind of thing 360 fanboys would not shut up about as a method to counter the RRoD complaints from the Sony fanboys (all the while nintendo fanboys sit and laugh at both of them)… not to mention something as serious as a fire hazard is the kind of thing that would call for a recall of PS3’s

  13. 0
    JohnMidnight says:

    DVDs if I remember right, run somewhere between 480P and 720, or up to 1080. Though with each increase in resolution results in needing more dvds to cram data into. The same with Audio.

    Blu-Ray is simply a brand new mass media movable storage. The more you can store on a single disc the better. Makes it easier from cram two hours worth of 1080P content, or 720 and 1080 content together.


    (Thats simply my take)

    Anyway. damn… I had high hopes for the PS3. Maybe it’ll pull through. Maybe.

  14. 0
    Doomsong says:

    You forget the fact that Blu-ray magicaly gives all movies better plot and happier endings….

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety" – Benjamin Franklin

  15. 0
    Doomsong says:

    Manta… That is the best way anyone could have said it.

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety" – Benjamin Franklin

  16. 0
    Doomsong says:

    True… but then you count the fact that first Gen PS3s were catching on friggin fire 12 hours after launch. Some that had less problems simply had their game disks melted.

    Like someone said already, all hardware has it’s problems… I do agree that in a perfect world, Microsoft and Sony would get married and we could all have the best of both worlds (and maybe have a thing on the side with Nintendo…)

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety" – Benjamin Franklin

  17. 0
    Derovius says:

     Only sheeple ever get screwed over by stuff like this. If you have half a wit you never place yourself in such a position that losing your job will be the end of your life. God its great being bourgeoisie.

  18. 0
    TK n Happy Ness says:

    When you have 5 versions of something in 2 years, it’s a given you’re going to lose money. Sony’s had the 20, 40, 60, and 80 GB PS3s, and now a 160 GB. And Blu-Ray may be the future, but not now. Once Blu-Ray players become affordable for everyone, then it may replace DVD, but other than a better picture, don’t movies on both formats have the same exact content?


    When Jack Thompson runs his mouth, does anyone really care what he has to say anymore?

  19. 0
    black manta says:

    I never said the 360 was perfect, just that it’s better.  Whatever hardware issues it had have been pretty much ironed-out by now, I think.  As for backwards-compatibility, yes there are still a few games I wish they’d make available, but by and large I’d say 75% of the Xbox library is now playable on it.  And when it comes right down to it, 75% is better than none at all.

    If Sony wants to salvage the PS3, I say do a price cut and reinstate the Emotion Engine emulator to make it possible to play PS2 titles once again.  That should at least put it on equal footing with the 360.

  20. 0
    Mr. Stodern says:

    Nice assumption there, that I have a favorite console. I don’t. I just simply find it funny that Sony’s immense hubris has come back to bite them in the ass.

    And get off your high-horse.

  21. 0
    ZippyDSMlee says:

    I dunno IMO the 360 is as botched the crap ass BWC, the horrid hardware design..the fail rate….. its a nightmare…..


    Game wise…. its still a joke and not worth the associated  costs…

    Shearing/Downloading will never be a mainstream market.

    Gore,Violence,Sexauilty,Fear,Emotion these are but modes
    of transportation of story and thought, to take them from
    society and you create a society of children and nannys

  22. 0
    TheMouse says:

    Yeah… take that you massive, faceless, multi-national, mega corporation who is suffering just as much as any other massive, faceless, multi-national, mega corporation during the global down turn in the economy..

    Good thing that all those employees you’ll never meet would be out of badly needed work if manufacturing would be shut down.. but hey! Atleast your favorite consol won the "War"


  23. 0
    ZippyDSMlee says:

    Sega was a mess, Sony should be ok,  the console game of spending billions on development and making that up over the long haul wont change in the comming generations however they should be buildign cheaper more efficient units…hopefully… since a console over 300$ will take to long to recoup those huge losses…

    Shearing/Downloading will never be a mainstream market.

    Gore,Violence,Sexauilty,Fear,Emotion these are but modes
    of transportation of story and thought, to take them from
    society and you create a society of children and nannys

  24. 0
    gamegod25 says:

    Well that’s just life I suppose. One minute your on top of the world, and the next your face down in the gutter. And vice versa too. Just look at Nintendo. They were in dire straights after the gamecube, and now theyre still selling Wii’s faster than they can crank them out.

    Life’s funny like that.

  25. 0
    zel says:

    If anything is gonna be cooked on a PS3 that damn thing better sprout arms and cook it for you, damn expensive >.<


    I am a signature virus, please copy and paste me into your signature to help me propagate.

  26. 0
    black manta says:

    I’m not surprised by this.  The PS3 launch was botched from the get-go.  It was, and still is, way overpriced.  There’s a dearth of quality titles for it.  And the current systems aren’t backwards-compatible with PS2 titles, alienating its installation base.  I’m a PC gamer, but I own both a 360 and a PS2 to play games I otherwise couldn’t on a PC. 

    I wasn’t sure what next gen system to invest in; both had their issues (RROD for 360.  Expense and lack of interesting games on the PS3).  I ultimately decided on the 360, and as time has gone by, I grow more and more confident I backed the right horse.  When Square Enix announced that Final Fantasy XIII would be released on the 360, the writing was on the wall, and I felt it would only be a matter of time till something like this happened.

    I’ll keep my PS2 around as there are still plenty of good games for it.  Too bad tho that I won’t get to play God of War 3 or Kingdom Hearts 3, but that’s how it goes, I guess.

  27. 0
    Monte says:

     No hardware is 100% perfect… if such a thing were possible then there would not be a need to have a warranty in the first place. Warranties are supposed to be a fail-safe, a saving grace should the highly unlikely happen. A few PS3’s breaking down does not speak of the millions of others that do not… generally, hardware failure is supposed to be an exception to the rule but not unimaginable

    However this is nothing compared to what the 360 went through; the failure rate of that console was far higher than normal (reported rate i think was about 30% failure)… so bad that MS had to extend the warranty to 3 years and take a sharp hit to their wallets just to make sure they could cover all the failures… Failure rates like this are inexcusable… it doesn’t matter if MS doesn’t have a lot of experience in hardware, because it doesn’t change the fact that they should have had the 360 throughly tested and worked out all the bugs BEFORE sending it out to market… They released their console a year earlier than the competition to get a head start, but with how high the failure rate was it only shows that they should have spent a few more months testing for bugs instead of trying to rush a flawed product. 


    really, when it comes down to it, the only reason those hardware failures didn’t kill the 360 is because the games, the software, was much better than what the competition had. if the 360 didn’t have such great games and the PS3 did have great games, the 360 would have fallen way behind because it’s hardware… however, the games were so good and the competition so non-existent, that people were not only willing to risk the failures, but keep standing by the console no matter how many times it fails (most who got RRoD only got it once, but it’s insane for the few who had multiple failures)… hence why i think it prefer MS to work in software while Sony sticks to hardware; best of both worlds

  28. 0
    Baruch_S says:

    I think the PSP would be doing better if Sony would release more games for it that people wanted to play. They get the ocassional excellent game like God of War or Crisis Core, but there’s not much released inbetween. Personally, I’d probably put a lot more money into PSP games if Sony got some of the Japanese RPGs translated and released over in the US.

    The DS also has the novel touch-screen interface and has way more family-friendly games than the PSP does. The PSP doesn’t really have a PSP version of games like Pokemon and Animal Crossing, so it’s not likely to appeal to younger gamers or the parents that buy their games for them.

    That said, the PSP isn’t tanking; it just isn’t selling as amazingly well in the US as the DS. Ars Technica wrote about this back in November.

  29. 0
    HungryHungryHomer says:

    That would sadden me. I don’t have a PS3, nor do I really plan on getting one, but I’ve had a PSP for a year now, and I personally think it’s the best handheld system ever made. I still remember the first tme I loaded up Tekken:Dark Ressurection on it and thinking ‘Holy crap, this looks almost as good as the PS2 version…’

    It boggles my mind how the DS can be kicking the crap out of the PSP sales-wise.

  30. 0
    zel says:

    In all fairness PS3 have been failing, I had to send mine back to have the optical drive replaced, under warranty luckily. It was less than a year old kept in a nice cool living room with plenty of ventilation and dusted regularly. Although I’m sure the 360 fails more often from all the talk I hear about the nightmare that is the RRoD.


    I am a signature virus, please copy and paste me into your signature to help me propagate.

  31. 0
    insanejedi says:

    Theres simply no way Sony will cut off the playstaion brand… yet…


    They may have taken serious hits from manufacturing costs but one thing you have to take into account is Blu-ray. Sony owns a stake in Blu-ray manufacturing and licensing, and the purpose of the PS3 was not so much a game system as a trojan horse to get Blu-ray into doors mascerading as a blu-ray player. For that, in the future when the economy stablizes, everyone will have to use blu-ray eventually. THAT IS UNLESS. Micrsoft’s hand is forced and they simply make a set top box where you download games onto your systen with a terabyte hard drive. Microsoft has actually been planning this for sometime and it’s kind of their dream for everything to be downloaded straight into your box rather than buying boxed software. There have been two obsticles that have been preventing them from doing this, 1. is bandwith and brodband issues. 2. Not everyone plugs in their console to the internet

    With this, this might spark another format war between boxed software and downloaded software, and my bet is downloaded software will win, and it’s far more appeling to the 3rd parties, especially with all the heat from used games. You can’t sell a used download so… and the cost of manufacuring would be only limited by the licensing argreement with microsoft to use their download service. Possibly making games cheaper but don’t hold your breath. Also stock is no longer an issue. Ever try to find that one copy of a game across your city? So, only in that case I imagine the Playstation brand getting into trouble, but even that, I think Sony would just do the same as Microsoft.



  32. 0
    vellocet says:

    The hubris in this generation displayed by Sony was sickening.  Microsoft never really said anything to the degree that Sony did.  M$ knew that they’re still the new comer and had ground to make up.

    Sony this generation reminded me a lot of Nintendo in its third generation.  How they forced consumers and third party publishers on a proprietary format (cartridges). And just basically told gamers what they wanted instead of listening to what they wanted (blu-ray anyone?).

    Nobody probably remembers this, but one of the reasons the original playstation was so popular was that they didn’t want it to be confused with anything but a game machine.  In North America, there wasn’t even an RPG for a year because Sony execs were worried that there was too much reading and would be confused with novels.  I love RPGs, but it really showed they had a proper strategy.

    What’s the strategy now?  How often Jack Tretton can put his foot in his mouth?

    I’m no fanboy, although you might this so from this post.  I own all three current generation machines and actually currently use my PS3 the most.  I just think that the PS3 has been screwed by horrible strategy.

  33. 0
    Monte says:

     I’d rather Sony and Microsoft switch places…

    Sony’s is better when it comes to hardware and MS has always had a history developing software… things work out better when the companies stick to their strengths

    i mean, have all the 360 games on the PS3 and you have the same result minus the hardware failures… have the PS3 games out on the 360 however and you only add to the number of people needing to ship back their consoles

  34. 0
    lazyslothboy says:

    Although I would be surprised if Sony dropped their support of the PS3, is it possible that they will drop the PSP?  To my limited knowledge, the handheld has been tanking.

  35. 0
    Father Time says:

    I took the liberty of examining Sega and discovered that the only reason it had been standing up is because it had been nailed there.


    Debates are like merry go rounds Two people take their positions then they go through the same points over and over and over again. Then when it’s over they have the same positions they started in.

  36. 0
    Flamespeak says:

    Sorry, the amount of times I couldn’t find a game in Shadowrun and the server kicks and connection problems I have had with incalculable Live experiences speak against your statment of Live being superior. Live has a shit load of problems, don’t convince yourself that it is better because you are paying for it. Sorry, it isn’t.

    The PSN and Live are identical when it comes to online gaming performance. EYE-FUCKING_DENTICAL!

  37. 0
    halfcuban says:

    "To be honest, Microsoft has always given me the best support where consoles are concerned."

    Are we serious here? The Xbox 360’s Q/A problems are damn near legendary at this point for an example of contract manufacturing gone awry. The fact that Microsoft has only vaguely "made good" on the issue after dragging its feet for Goddamned ever, and still not offering legitimate support for non-RROD deaths (which are also frequent), indicates they are more afraid of class action lawsuits than anything else.

    This is not to suggest if the shoe was on the other foot it would be any different; Nintendo got caught blatantly lying about its knowledge of the wrist-straps for the Wii, telling the CPSC that they were being transparent with the volume and nature of complaints, when internal memos show hundreds of complaints went unreported to the authorities. The PS2 also had a rash of bricks early in its lifecycle.

    The reality is there needs to be tighter regulation of consumer electronics, or at the very least, a "lemon law" equivalent for hardware failures. We shouldn’t have to rely on the good graces of our munificent video game overlords to get a console we’ve paid for to work properly.

  38. 0
    Doomsong says:

    Free online is kinda like anything else you get free… it’s not nearly as reliable as a service where the fees collected go towards the upkeep of the service… but when it is down you always have the "well at least I’m not paying for it" excuse.

    The argument of games available also sort of defeats itself… since in essence the only GOOD games you can get for PS3 but not 360 are Uncharted and Little Big Planet (even MGS4 is comming to 360 in a couple months, and Square killed the exclusive for FFXIII unless you count the "spend $50 on the side story" game). GTA4, Assassins Creed, CoD4 and World at War are all available on both platforms. Not to mention the RPGs (as mentioned above) Blue Dragon and Lost Odysey that are exclusive to 360 now.

    Most people have bought a PS3 based on the fact that it still equates to the cheapest Blu-ray player on the market.

    I don’t get into the habbit of playing "fan-boy", there is not a Gen of console that comes around where I haven’t made the effort to own each platform (if for no other reason than they all put out good exclusives). To be honest, Microsoft has always given me the best support where consoles are concerned. They’ve gotten even better since the realization of the 360 critical failure. (Red ring of death within a three year period= free system, any other problem past a year and its $98. After paying this they either fix it or send you a new one, plus they give you a new warranty and it covers shipping both ways.)

    Saddly, it seems the only thing that could save Sony from tanking in the console market right now would be to expedite the release of God Of War 3. I would hope that they will find a way to stay in the fight, if for no other reason than the fact that no one system should be completely dominant in the game market (you really can’t count the Wii in this battle since it’s really just an improved Game Cube). Without competition, the winner stops trying to win people over.

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety" – Benjamin Franklin

  39. 0
    Father Time says:

    Yes but we only care about the really good ones. No one is buying a 360 so they can play the games that were sold at burger king.


    Debates are like merry go rounds Two people take their positions then they go through the same points over and over and over again. Then when it’s over they have the same positions they started in.

  40. 0
    MonkeyPeaches says:

    How is the 360’s online service cheaper? The PS3’s online service is free. And everything that’s on the 360 except Halo 3, gears of war, gears of war 2, mass effect, Ninja Gaiden II, Dead Rising, and Left 4 Dead is on the PS3.

  41. 0
    sheppy says:

    Hardware emu PS3s have a 99% standard across PSX and PS2.  That means PS3 can run a back catalog of over 2000 games.

    Software emulation has a 99% backwards compat on PSX and an 85% on PS2 which runs around 1700 games.

    The none backwards compat still have PSX compatibility which means over 1000 PSX games work fine on it.

    So I have to ask, in what universe is 465>1000?  I’m just curious.  Way the American Dollar is going, that might be a great place to live for a while.

    Wall of Text Simulation- Insert coin to continue.

  42. 0
    PeterWDAwson says:

    I got a PS3 a few weeks back and it was backwards compatable, and the PSN is free. In terms of exclusives there’s only a hardful for the 360 actually, about the same as the PS3 as many 360 exclusives are actually ‘Microsoft’ exclusives as they tend to get turned into ‘games for Windows.’ The big advantages the 360 has in my book are XBox Live is much better supported and the console is usually cheaper. Plus if you’re a big first person shooter guy overall the 360 controller better suited for that genre of games, at least that’s how I feel. Still, going from a PS controller to an XBox controller can be rough do to the size differences.

  43. 0
    Flamespeak says:

    Actually, developers wanting to focus on the 360 for programming because it has a larger install base and is easier to program for hurt Sony like mad. Now that the PS3 has a decent install base internationally more publishers are looking to the machine.

  44. 0
    Flamespeak says:

    That plus Sony has even said themselve that the Playstation brand has been one of the only things to keep their company alive on many points.

    You know what I bet gets the axe and gets it hard? VAIO.

    VAIO computers are pricey and don’t get sells for crap. I can easily see them dying off.

    Walkman might take a bullet too.


  45. 0
    GameTrades says:

    Ummmm….because they are not Sony owned studios perhaps?  Sony has some amazing content for the PS3, but it is not wholy owned by Sony.  Even LBP, which is seeing more play time in our house than anything else, is not owned by Sony.

    So, if they were to go 3rd party and publish across other platforms, they would be a standard publisher.  Worse than some in that they don’t have any internally developed IP that they completely control.  That is precisely why it does not make sense for them to abandon their hardware platform.

  46. 0
    Doomsong says:

    The only 3DO titles I ever owned were Star Control 2 and Way of the Warrior (because the soundtrack was all White Zombie). I still lament never having owned a Neo Geo… but then again who can afford $200 a game?

    "Those who would give up essential Liberty, to purchase a little temporary Safety, deserve neither Liberty nor Safety" – Benjamin Franklin

  47. 0
    vellocet says:

    Did you own a 3DO? I did. It was awesome.  Ridiculously expensive, I had to stop short of selling my right arm to get one.  But it had some great games.  The original Need for Speed came out on it, FIFA was amazing, Star Control II, just to name a few.

    Please don’t bash a system you have no idea about.  There’s a ton of misinformation about that sysyem.

  48. 0
    -Jes- says:

    Which is ironic, seeing the PS3 version of GTA IV runs at a LOWER NATIVE RESOLUTION (640p) in order to keep up with the 360 (720p). Both upscale of course to your tv (720/1080).

  49. 0
    PeterWDAwson says:

    Yeah, the PS3 is only surviving as the technology is good, unlike stuff like the 3DO which died because they were too expensive and were pieces of junk. Price is the big thing, plus few companies have supposedly actually harnessed the true power of the PS3. You know Uncharted, that hit PS3 action adventure game? Apparently the sequel’s going to use at least double the amount of power the PS3 supposedly has. But another problem is that a lot of companies are going multiplatform, so a bunch of games are being tailored to the 360’s limits so any possiblity of proving the PS3 is, in fact, superior or not cannot be achieved.

  50. 0
    Dark Sovereign says:

    I think all three did, actually. I just remember Sony so distinctly because they were doing it while all the talk of how poorly the PS3 was doing was going around.

  51. 0
    DarkSaber says:

    Again, I remember Microsoft stating similar sentiments.


    I LIKE the fence. I get 2 groups to laugh at then.

  52. 0
    Dark Sovereign says:

    I don’t remember either of those. What I DO remember is Sony bragging about how awesome their hardware was and how the dirty peasants that are the game developers would never be able to scratch the surface of its glory.

  53. 0
    kagirinai says:

    I’m not so sure that the ‘bleeding money’ issue is dashed simply by reduing manufacturing costs. They still have to be more competitive with their pricing, which means further cost reduction. Additionally, they need to determine how much profit can be expected from the remaining potential market, and if that market is still willing to buy their machine given the state of the economy.

    If the PS3 hasn’t been selling all that well up to now, and we can primarily determine that it is because of the price over all other factors, then the machine is pretty screwed. I don’t know that they’d be able to drop the price enough to be competitive while still making a profit QUICKLY enough to make it bring in dollars during an economic lull. It just seems very unlikely.

  54. 0
    DarkSaber says:

    I’m sure I read a story covering this a couple of weeks ago where it was reported Sony would be doing this and had stated their Playstation division was not going to be affected. I’d find the link if I wasn’t so lazy.

    Also not taken into consideration was the fact that the PS3 has just about reached it’s break-even point thanks to the refinement of the manufacturing process, so the ‘bleeding money’ issue is very soon going to be a non-issue.


    I LIKE the fence. I get 2 groups to laugh at then.

  55. 0
    koichan says:

    Being a JRPG fan as well, i’d reccomend the 360

    Completely bizzarrely, for a console thats doing fairly badly in Japan, the 360 seems to actually have more JRPGs than the PS3

    Particually, i found Lost Odyssey to be absolutely amazing, worth buying the console for this game alone IMHO

  56. 0
    Dark Sovereign says:

    None of the new PS3 models are backwards compatible. You’ll need to find an older one for that. In terms of gaming, the 360 has more exclusives and the online service is better, plus it’s cheaper. The PS3 has argueably better hardware, and plays blu-ray movies by default. I recommend the 360 if your going to be using it for gaming. I recommend the PS3 if you love movies and intend to watch a lot of blu-ray, and you have a TV that can handle them. Keep your PS2, though.

  57. 0
    Arell says:

    Interesting news for me.  Now that the Holiday dust is settling, I’ve been thinking of upgrading to either a PS3 or an XBox 360.  I own a PS2, but I’m a PC gamer at heart.  I only use consoles to fuel my love of JRPGs (and the occasional action game like God of War).  Now, I had thought that Valkyria Chronicles and backwards compatability was making me favor the PS3.  On the other hand, the PS3 hasn’t been doing well, they lost their golden goose of exclusivity (Final Fantasy series going multiplatform), and many RPGs are showing up on the XBox anymore.

    I may have to wait a little bit longer before making a decision.  That’s all right.  I still have to pick up Persona 4 and Ar Tonelico 2 for the PS2.

  58. 0
    PeterWDAwson says:

    If it wasn’t for MystWalker though and whoever makes the Tales series (I forget) the 360 might of been screwed. I mean, Lost Odyssey and Tales of Vesperia think their most notable JPRG was Enchanted Arms, which was western RPG designed to be like JRPG to help the 360 enter japanese markets and just felt like some kind of giant sack of racism. THIS IS WHAT WE THINK OF YOU!

    One thing Microsoft still needs to exploit is Gundam. For a while the two biggest selling titles for the PS3 were Gundam games, holding 2nd and 3rd with Rdige Racer holding first.

  59. 0
    Larington says:

    Yeah, I heard about the whole JRPG problem that Sony has been having, essentially that Microsoft realised that in order to sell good numbers of the 360 in the far east it’d need to get some must have JRPGs on board, so they did, and the PS3 is loosing at least some of their market share out there as a result. Of course, I’m not sure how significant the impact of that is being a westerner.

  60. 0
    KayleL says:

    I was thinking that too.

    Anyway, I think this is going to be the longest console generation yet, so Playstation has plenty of time to make a profit.

  61. 0
    sheppy says:

    With 45 studios churning out among the highest rated of first and second party projects, I’m curious why people still believe Sony can’t make games.  This isn’t the "good old days" when franchises were shuffled off to 989 once a dev got tired of making them, you know.

    Wall of Text Simulation- Insert coin to continue.

  62. 0
    GameTrades says:

    Never say never, but it is HIGHLY unlikely that Sony will ditch the PS hardware.  Sony is, at the end of the day, a manufacturing business.  While they have divisions that produce music, movies, etc., they are not large enough in and of themselves to stand alone.  The PS hardware gives Sony a physical footprint into the home that is extremely important.  I would see the VAIO and Sony Ericsson divisions  shuttering before SCEI gives up the hardware.

    As well, the manufacturing loss has been squeezed down to roughly $50 per unit according to some research firms.  The bigger question is, can a price drop be built into their business model at this point in time?  I don’t think so, unless they shuttered a few other pieces.  One now has to question the road they took with PSP.  Blu-ray futures will also play into this. (And for those that think the whole future is in downloaded content while physical media will disappear, think again.  Compression, bit rates and new formats like 4K means that physical media will be around for a long time.  Don’t forget those caps your ISP’s will start putting in place when you are doing multi-gig streams into your home.)

    It is a shame that Sony has arrived to where they currently are.  If you read into the history of the Playstation platform and understand it’s intent, is it, again, sad.  Too many people forcing too many expansion decisions out of trying to control this business at Sony have led to it’s downturn.  At one point, the Playstation brand accounted for 60% of Sony’s operating revenue.

    I don’t know if the PS group can build to those levels again, but I see many other divisions of Sony shuttering before Sony gives up the hardware footprint.  Afterall, thy don’t have the franchise strength of 1st party content that Sega did, or Nintendo has, to go platform-agnostic.  Playstation will be a foundation platform for Sony moving forward.

  63. 0
    sheppy says:

    Popular Myth =/= Fact

    Fact: Sega of Japan was poorly ran and constantly at odds with it’s US and Europe branches
    Fact: Dreamcast was turning a profit.  A hefty one in fact.  But not enough of a profit to offset the spending Sega of Japan was doing with new arcade hardware and the real Sega killer….
    Fact: Shenmue killed Sega.  Period.  No other game could compare in costs at the time and had no chance in hell of recovering that money.  Shenmue was to Sega was Final Fantasy: Spirits Within was to Square.  Only thing time, daddy Sony wasn’t there to take up some of the slack.

    The fact that Dreamcast was running a successful and profitable business model despite PS2 hitting the scene is evidence of this enough.  Did PS2 impact Dreamcast?  No doubt.  But blaming Sony is like blaming the casino when your uncle gambles away all his possessions.  Sega was poorly ran.  Sega died.

    Wall of Text Simulation- Insert coin to continue.

  64. 0
    MaskedPixelante says:

    This would have made me jump for joy about 2 years ago, as it would have meant that Nintendo has avenged Sega, and that Sony would never take down another beloved game company that meant so much to so many. (I had a Sega growing up.)

    Now, I just spent 400 bucks on one of these things, so they better pull something out of their butts to fix this.

    —You are likely to be eaten by a Grue.

  65. 0
    DarkSaber says:

    THat’s weird, because I remember Microsoft saying this about the 360.


    I LIKE the fence. I get 2 groups to laugh at then.

  66. 0
    Derovius says:

     I have no pity for Sony; these are the people who proclaimed that the PS3 would destroy the concept of the home computer, and made you pay through the nose for the "pleasure" of experiencing their dream.

     Oh look Sony, I’m still gaming with my computer. Say hi to Enron for me when you get to business hell, thx.

  67. 0
    Neeneko says:

    Some strategy adjustment will be needed yeah.  The PS3 was far too driven by the movie division and thus caused the game division to suffer.

    Maybe they will learn to decouple thier buisness a little better? Using strenghts to help eachother is one thing, but huring one product in order to boost another is a differnt matter.

  68. 0
    Larington says:

    In general, I think if Sony were going to do anything in terms of another console in the future, I think they’d rather just adjust their strategy. Theres a lot of money to be made selling games and game consoles, especially if you follow Nintendos example and do away with the idea of ‘loss leader’ console development where you lose money for each console sold and become reliant on game sales to make your money back.

    Heh, it’d also help a great deal if executives stopped having shouting matches at eachother across online & print media and concentrated on making their products worth the price.

  69. 0
    Larington says:

    Well, probably, there are two likely possibilities – The newspaper is exagerating or using bad info (Not like that hasn’t happened to a newspaper before) or Sony is saying that no further cuts are happening to assuage fears about the companies stability whilst they decide whether or not they really will be going ahead with further cuts. I think its more likely that the newspaper saw a potential story that seemed not unreasonable considering the way companies across the world seem to either be tightening belts for safety or are using the downturn as an excuse for shedding staff they would otherwise have to justify in some other way.

  70. 0
    zel says:

    Crisis averted, everyone go back to playing whatever it is you were playing :)


    I am a signature virus, please copy and paste me into your signature to help me propagate.

  71. 0
    Larington says:


    No new ‘drastic’ cost-cutting, says Sony

    Christopher Dring – Today
    Previously-announced $1.1bn savings are the extent of restructuring plans, asserts the firm

    Electronics giant Sony has denied reports that it is set to embark on drastic cost-cutting measures, Reuters has revealed.

    The Times reported this morning that Sony is set to transform its business by closing factories and ‘major’ divisions. However, a Sony spokesperson insisted there is no new restructuring plans bar the previously announced $1.1 billion savings measures revealed last month.

    "We do not plan to announce additional restructuring measures at this time," said Sony spokesman Atsuo Omagari. "We don’t have any such plan."


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