PS4 development costs eats into PlayStation profit

4.7
Increased research and development expenses related to PS4 were a key cause for the PlayStation division's significant operating loss in Sony's first financial quarter, the company has told investors.

In the three months ended June 30, the games unit generated sales of 118 billion yen (£789m / 1.2bn) - essentially flat when compared to the same quarter last year.

Sony said this figure was reached by a mixture of slowing hardware sales and an uptake in software. Unit sales of PS3, PSP, and PS2 hardware all fell (Sony neglected to mention Vita here), but this loss was offset by the favourable impact of foreign exchange rates and increased game sales.

The company bundled together PS3 and PS2 in its home console sales figures, and Vita and PSP in its handheld numbers. Combined PS3 and PS2 hardware sales came in at 1.1 million for the quarter, compared to 2.8 million a year earlier, while combined Vita and PSP sales totalled 600,000, down from 1.4 million.

Software sales for all platforms hit 64 million units - up from 43 million a year earlier.

However, the PlayStation division's operating losses increased by 11 billion yen (£75m / $114m) to reach about 15 billion yen (£99m / $150m) - a significant rise that squeezed profit margins.

Sony said the increase was primarily due to research and development costs related to PS4.

The corporation's full-year forecast for PlayStation hardware and software sales remains unchanged from its May outlook. It expects to shift a combined total of ten million PS3 and PS2 units, five million portable systems, and 319 million games.

As a whole, the wider company's revenues were up 13 per cent year-on-year to 1712.7 billion yen (£11.5b / $17.3b), helping it swing from a loss of 24.6 billion yen (£165m / $250m) to a profit of 3.5 billion yen (£23m / $35m).

Posted:
Related Forum: PlayStation Forum

Source: http://www.computerandvideogames.com/421934/playstation-losses-jump-on-ps4-rd-costs/

Comments

"PS4 development costs eats into PlayStation profit" :: Login/Create an Account :: 73 comments

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FYIPosted:

That's what they get for doing such a low price

Dr-JPosted:

Their servers still suck I bet

BuxtyyyyPosted:

grunt987654
Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..




Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.


I don't have a PS3 so I can't say anything about how they got hacked because it didn't affect me. The problem I have is that Sony had to be hacked in order for peoples money to be stolen. Microsoft has been blatantly stealing from me for the past 6 years, and they did it without being hacked.


How? I'm genuinely intrigued as to how Microsoft has been stealing from you.

CokesPosted:

It will sell to make profit eventually.

grunt987654Posted:

Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..




Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.


I don't have a PS3 so I can't say anything about how they got hacked because it didn't affect me. The problem I have is that Sony had to be hacked in order for peoples money to be stolen. Microsoft has been blatantly stealing from me for the past 6 years, and they did it without being hacked.

OasisPosted:

darkowl1991
gtapro151
Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..


Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.

Ok let me explain in a professional way why microsoft dosent give a sht about any of there costumers.
sony is not jesus but Microsoft cares zero about the consumer EVERY action they do is based on if they are going to make money on it like removing xbox ones policy's. Not to mention banning consoles so you have to buy a new one but they dont ip ban you? if they really cared about you runineg gaming for others with mods why allow someone at the same ip address to re-access the network as long as they have bought a new xbox? Come one now think about it how many of the first crappy 360s have we all had to go through. Sony never once thought about forcing thoughs rediculas policy's on there costumers once again sony is not Jesus but im just a average consumer pointing out facts. Sony was hacked you said it yourself but live has been down SEVERAL times in the last cupple months (i have a 360 i know) for what reason? just because it can be they already got the money they can take there time with maintenance etc because the interruption in service dosent cost them a dime and they still get the 60 bucks we have to pay for live. I cant tell you how many times ive called in for help and the lady who barley speaks English just hangs up on me. I could go on all night but i hope this is enough to spark peoples minds.


They don't ip ban you because they a legally not allow too, why do you think console a only banned to the year 9999 because they a not allow to ban them forever. It's not that they don't care.


gtapro151... First of all learn to spell, how can you complain about not understanding someone on a phone call when you can bearly speak English yourself!

Secondly, Xbox live has been down a few times recently because of major updates to the beta dash in preparation mostly for the transition to the next gen, as well as maintenance.

Thirdly, if you knew anything about Sony and it's current financial trouble you would know that not only are they lossing money through R and D for the PS4 but also struggling in every area like TV's, mobiles cameras and so on.

You can't claim "it's fact" when you don't even understand the basics of business. To be honest you just sound like every other lost little fan boy. But I hope you take something from this and learn to think for yourself and use your own words before posting.

Scared_of_WaterPosted:

gtapro151
Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..


Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.

Ok let me explain in a professional way why microsoft dosent give a sht about any of there costumers.
sony is not jesus but Microsoft cares zero about the consumer EVERY action they do is based on if they are going to make money on it like removing xbox ones policy's. Not to mention banning consoles so you have to buy a new one but they dont ip ban you? if they really cared about you runineg gaming for others with mods why allow someone at the same ip address to re-access the network as long as they have bought a new xbox? Come one now think about it how many of the first crappy 360s have we all had to go through. Sony never once thought about forcing thoughs rediculas policy's on there costumers once again sony is not Jesus but im just a average consumer pointing out facts. Sony was hacked you said it yourself but live has been down SEVERAL times in the last cupple months (i have a 360 i know) for what reason? just because it can be they already got the money they can take there time with maintenance etc because the interruption in service dosent cost them a dime and they still get the 60 bucks we have to pay for live. I cant tell you how many times ive called in for help and the lady who barley speaks English just hangs up on me. I could go on all night but i hope this is enough to spark peoples minds.


They don't ip ban you because they a legally not allow too, why do you think console a only banned to the year 9999 because they a not allow to ban them forever. It's not that they don't care.

D3FEKTPosted:

gtapro151
Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..


Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.

Ok let me explain in a professional way why microsoft dosent give a sht about any of there costumers.
sony is not jesus but Microsoft cares zero about the consumer EVERY action they do is based on if they are going to make money on it like removing xbox ones policy's. Not to mention banning consoles so you have to buy a new one but they dont ip ban you? if they really cared about you runineg gaming for others with mods why allow someone at the same ip address to re-access the network as long as they have bought a new xbox? Come one now think about it how many of the first crappy 360s have we all had to go through. Sony never once thought about forcing thoughs rediculas policy's on there costumers once again sony is not Jesus but im just a average consumer pointing out facts. Sony was hacked you said it yourself but live has been down SEVERAL times in the last cupple months (i have a 360 i know) for what reason? just because it can be they already got the money they can take there time with maintenance etc because the interruption in service dosent cost them a dime and they still get the 60 bucks we have to pay for live. I cant tell you how many times ive called in for help and the lady who barley speaks English just hangs up on me. I could go on all night but i hope this is enough to spark peoples minds.


So if microsoft doesn't care about you, then why did they put such a great security system? if they didn't care for the average consumer, everyones CC and info would of be stolen ages ago.

fifahackzPosted:

gtapro151
Kurumu
chris11854
G9H
-Examples Well at least we know they weren't planning on cheating us and stealing our money!


If you are trying to say that Microsoft cheat and steal then you are wrong. Saying stuff like this causes flame wars.


If you think for one second that Microsoft is not stealing your money then you're retarded..


Oh god another one of these uneducated people thinking that Microsoft is a crook and Sony is **** Jesus because they 100% didn't put my credit card information in jeopardy back when they got hacked a couple years ago, you know where people's personal info was being sold online.

Ok let me explain in a professional way why microsoft dosent give a sht about any of there costumers.
sony is not jesus but Microsoft cares zero about the consumer EVERY action they do is based on if they are going to make money on it like removing xbox ones policy's. Not to mention banning consoles so you have to buy a new one but they dont ip ban you? if they really cared about you runineg gaming for others with mods why allow someone at the same ip address to re-access the network as long as they have bought a new xbox? Come one now think about it how many of the first crappy 360s have we all had to go through. Sony never once thought about forcing thoughs rediculas policy's on there costumers once again sony is not Jesus but im just a average consumer pointing out facts. Sony was hacked you said it yourself but live has been down SEVERAL times in the last cupple months (i have a 360 i know) for what reason? just because it can be they already got the money they can take there time with maintenance etc because the interruption in service dosent cost them a dime and they still get the 60 bucks we have to pay for live. I cant tell you how many times ive called in for help and the lady who barley speaks English just hangs up on me. I could go on all night but i hope this is enough to spark peoples minds.


Fair enough Xbox has been down a few times last month but have you not realised how it was back up in less than a day when I had a ps3 a while back when it got hacked and at that that point after waiting a month just to get online I switched to Xbox and never looked back and it isn't the last time it's happened.

WeaksaucePosted:

Does this mean it will preform better?