Xbox Division Doubles Profit

[Slayer]

Originally Posted by RedRedSuit

Sony has posted profits for SCE in a few quarters so far. But now they've changed the way their divisions are set up, so it's going to be harder to tell what's going on on that front.

I cant find a single article that says Sony has ever turned a profit on the PS3, however I can find a ton that talks about its losses. If you are counting things such as their online game division (EQ, EQ2 ect.) and other things.. well then maybe. However this article speaks specifically about the Xbox division turning a profit.

[Indy_aka_Rex]

Originally Posted by Chachi

I'm not sure how much a month's worth of sales helps (although this is Halo!), I assume that this title will continue to sell quite well through the holidays though.

You're not sure how a game that sold 1.5 million in 9 days helps their financials?

[CorruptedDragon]

Originally Posted by miDnIghtEr

excellent spin! nice new sig! i see you're completely rattled now.

Wait till the Sony report comes out and he spins the losses as a victory!

[Indy_aka_Rex]

Originally Posted by Slayer

I cant find a single article that says Sony has ever turned a profit on the PS3, however I can find a ton that talks about its losses. If you are counting things such as their online game division (EQ, EQ2 ect.) and other things.. well then maybe. However this article speaks specifically about the Xbox division turning a profit.

You didn't say anything about the PS3, you talked about their GAMES division, which encompasses PS2, PSP, PS3 and PSN.

[Slayer]

Originally Posted by Indy_aka_Rex

You didn't say anything about the PS3, you talked about their GAMES division, which encompasses PS2, PSP, PS3 and PSN.

Your right I did, however until Sony starts posting profit on PS3 its sucking the life out of the games division. There are plenty of articles that refer to that. In fact the PS3 has eaten up all the profit Sony has made on the PS2 and more. Xbox has never turned an overall profit, but its losses were all early in the life cycle has had several profitable quarters consecutively (ever since Halo 3) and is improving. Sony has got to get the PS3 to a point of profitability in order for its games division to be truly healthy.

http://www.joystiq.com/2008/08/19/th...s-ps2-profits/

That was from 2008 and PS3 has only lost more money since.

[murphjp]

Originally Posted by miDnIghtEr

excellent spin! nice new sig! i see you're completely rattled now.

what spin? MS's 1st ever quarterly gaming division's profit came on the heals of Halo 3. While this is an absolute failure compared to it it still sold 2 million + units in September.

And rattled? I think you need to find a new word, what some random internet person puts on the internet could never offend me. Unless your sig had a picture of Hitler punching a puppy.

[Indy_aka_Rex]

Originally Posted by Slayer

Your right I did, however until Sony starts posting profit on PS3 its sucking the life out of the games division. There are plenty of articles that refer to that. In fact the PS3 has eaten up all the profit Sony has made on the PS2 and more. Xbox has never turned an overall profit, but its losses were all early in the life cycle has had several profitable quarters consecutively (ever since Halo 3) and is improving. Sony has got to get the PS3 to a point of profitability in order for its games division to be truly healthy.

http://www.joystiq.com/2008/08/19/th...s-ps2-profits/

That was from 2008 and PS3 has only lost more money since.

All of that is completely speculative and not factual.

They posted profits in various quarters in 08:

http://www.engadget.com/2008/01/31/s...urns-a-profit/

http://news.softpedia.com/news/PlayS...it-91041.shtml

http://www.gamezine.co.uk/news/formats/psp/sony-posts-q3-profit-games-division-$1264596.htm

[Hunting Wabbits]

Originally Posted by hdinred

What's the problem?

One real problem (instead of quibbling over a few percent) is that operating income isn't the same thing as profit.. Not your fault, you were just using the title of the article you referenced.

http://en.wikipedia.org/wiki/Earning...rest_and_taxes

[Slayer]

Originally Posted by Indy_aka_Rex

All of that is completely speculative and not factual.

They posted profits in various quarters in 08:

http://www.engadget.com/2008/01/31/s...urns-a-profit/

http://news.softpedia.com/news/PlayS...it-91041.shtml

http://www.gamezine.co.uk/news/formats/psp/sony-posts-q3-profit-games-division-$1264596.htm

Actually thats the division posting the profit due to lesser losses on the PS3. This is from the article you posted:

Different Sony representatives have recently said that they expect the PlayStation 3 to be profitable as a product in 2009 and to sell more than 150 million units during its life time, so the good results of the last quarter are surely a sign of even better performance in the future.

They had hoped the PS3 would become profitable on its own in 2009, however that didnt materialize. The article is simply celebrating the fact that lighter PS3 losses at the time allowed the division as a whole to show profit. The PS3 has never been profitable to date on its own.

And that my friend, is factual. Spin it any way you want.. The Xbox 360 makes money, to date the PS3 does not.

[Indy_aka_Rex]

Originally Posted by Slayer

And that my friend, is factual. Spin it any way you want.. The Xbox 360 makes money, to date the PS3 does not.

And again, your claim wasn't about the PS3 turning a profit it was about the DIVISION - don't pull a Gizmo. The Division has been profitable and has turned a profit for Sony, it's shown profitable quarters (like the Xbox division) even after the PS3s release.

No actually, what's factual is that not counting the losses MS made from hardware manufacturing its 1st/2nd year of the 360s lifespan, plus the additional 4-5 billion lost on the original Xbox, the 360 still lost MS' a billion due to the RROD fiasco. MS hasn't made back what it's lost fully on the 360 based on the handful of profitable quarters the Xbox division has had. THAT is factual.

Speculation that Sony MAY have lost whatever profits they made on the PS2 (which I doubt is just 3 billion) doesn't change the fact that by the end of both Sony's and Microsoft's projected timeline Sony's games division could wind up breaking even if not be profitable (in the black) post-PS3 whereas Microsoft's Xbox division could very well still be in the red within their projected timeline due to them NEVER bringing in an actual profit to the company.

MS may make 300 million in a quarter from the Xbox division but that division is still 5-7 billion in the red. The same can't be said about SCE, they may have lost some 3 billion on the PS3 so far but they've been profitable for the majority of their existence and they still have a greater chance of earning back their losses than the Xbox division.

[Averry]

Originally Posted by murphjp

Don't forget halo 3:ODST released during this period. And they were only able to keep net revenue flat. In all honesty that isn't good news for MS's game division.

OH NO!


God forbid that Microsoft has to release high profile titles to keep sales up..

Afterall, isn't that the point, to release high profile titles to keep sales up...

Especially considering that both consoles genuinely release high profile titles here and there all year long every year.

You kind of have to release high profiles to meet last year's high profiles.

Your logic is dumb.

[Averry]

On a side note, they boosted revenue 2 fold, NOT profits...

Which means, that yes Murph, it is good news for Microsoft, and would have been better had they not been marketing and manufacturing Zune HD's apparently, at least according to them.

Profits were flat, but still profits.

[Slayer]

Originally Posted by Indy_aka_Rex

And again, your claim wasn't about the PS3 turning a profit it was about the DIVISION - don't pull a Gizmo. The Division has been profitable and has turned a profit for Sony, it's shown profitable quarters (like the Xbox division) even after the PS3s release.

No actually, what's factual is that not counting the losses MS made from hardware manufacturing its 1st/2nd year of the 360s lifespan, plus the additional 4-5 billion lost on the original Xbox, the 360 still lost MS' a billion due to the RROD fiasco. MS hasn't made back what it's lost fully on the 360 based on the handful of profitable quarters the Xbox division has had. THAT is factual.

Speculation that Sony MAY have lost whatever profits they made on the PS2 (which I doubt is just 3 billion) doesn't change the fact that by the end of both Sony's and Microsoft's projected timeline Sony's games division could wind up breaking even if not be profitable (in the black) post-PS3 whereas Microsoft's Xbox division could very well still be in the red within their projected timeline due to them NEVER bringing in an actual profit to the company.

MS may make 300 million in a quarter from the Xbox division but that division is still 5-7 billion in the red. The same can't be said about SCE, they may have lost some 3 billion on the PS3 so far but they've been profitable for the majority of their existence and they still have a greater chance of earning back their losses than the Xbox division.

I already made all these comments about either systems ability to get back into the black as a whole. However by losing money each and every quarter Sony is going to have a much harder time doing that than MS, who has made money on the 360 for a long time now.

Keep sticking to your guns about the division, its all you have to cling to.

[Hunting Wabbits]

Originally Posted by Averry

On a side note, they boosted revenue 2 fold, NOT profits...

No they didn't. The article specifically states : "Net revenues for the quarter were basically flat at $1.89 billion"

[Averry]

Originally Posted by Hunting Wabbits

No they didn't. The article specifically states : "Net revenues for the quarter were basically flat at $1.89 billion"

Sorry, I jumbled up Accounting terms.


Operating Income doubled, Revenue was flat, aka, profits.


That means their spending overtook last years spending.