Thursday, November 30, 2006

PS3

Sony announced Thursday that their will be a new chairman. Ken Kutaragi (Sony's game unit President) will take over December 1 as the new chairman. The reasoning behind this is to make more money. Ken took sony to the top of the gaming world with the Playstation and they have been there even since. Sony hopes for the same with their whole company. Just released November 17 was Sony's newest version of Playstation the PS3, which is estimated to actually lose the company money. 1.7 billion dollars to be exact. So why would a company sell a product that loses money. I don' t know maybe it is a long run type deal.

2 comments:

EBO said...

My guess would be that Sony is looking at long term market share. While the product apparently is going to cost them money now, they should maintain at least a foothold in that market allowing them to get back into the market at a later point in time whereas if they don’t maintain that foothold, then the chance of regaining part of that market becomes more difficult as fans of their products have moved on to other companies.

chris carter said...

I think that for the first year or two, PS3 will not be a top seller for Sony but after time when prices drop, PS3 should give the company some profit.