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Sony official financial report (10/25),PS3 worldwide sales revealed

quetz67 said:
To some extent I blame MS and their early generation change for this situation. And all it gave them were another 2 billion losses and brand name damage because of defective units.

And the gratitude of third party publishers and developers world wide.
 

neptunes

Member
quetz67 said:
Actually if this Wii 'desaster' continues I dont see a future neither for Sony nor for MS. It is extremely unhealthy (for both) to fight for second place at rather bad than mediocre sales numbers.

To some extent I blame MS and their early generation change for this situation. And all it gave them were another 2 billion losses and brand name damage because of defective units.

Had MS and Sony both waited another year they had both next gen media, would have both have launched at a more acceptable price. Developers would have been better prepared for next gen and Wii would probably have rather been seen as an intermediate solution.

But they way it went they just sent customers into Nintendo's arms by releasing HD consoles to a not really HD Ready world (and even telling people they should not bother without a HD capable TV set).

Needless to say I am not happy with how this turned out.
The typical Wii and 360/PS3 consumer are totally different, and are not always intertwined.

I'd go as far as guessing a large majority of wii owners have another console that they play (ps2.360.ps3)

Wii would have sold regardless of when the ps3/360 was released, consumers aren't as fickle as you think they are.
If they see something fun an inviting at an affordable price, They'll buy it.
 

Jammy

Banned
I don't know how people can be see anything positive out of this at all.

If 5.5 million were shipped, knowing the differences between Sony's PSP shipped and sold figures, I'd probably think PS3 sales were closer to 4.5 million.

That's like 9 million behind Wii, and both systems came out in the same timeframe.

That's all that really needs to be said.
 

Koren

Member
neptunes said:
The typical Wii and 360/PS3 consumer are totally different, and are not always intertwined.
For most of them, I agree. But that doesn't mean that the future is brighter. I still think that most of Wii buyers are the casual people that were the ones that allowed PS and PS2 to reach 100 millions

PS3/360 may please the gamers that want more power/eyecandy, but that is only a small part of the buyers of a successful console. Can they translate this success into a wider success among more casual people, that is probably the real question.

It seems to me that Nintendo targeted the audience that allows a console to build the largest numbers.
 

neptunes

Member
Jammy said:
I don't know how people can be see anything positive out of this at all.

If 5.5 million were shipped, knowing the differences between Sony's PSP shipped and sold figures, I'd probably think PS3 sales were closer to 4.5 million.

That's like 9 million behind Wii, and both systems came out in the same timeframe.

That's all that really needs to be said.
wii launched in Europe 6 months before PS3

even with that considered, the gap is still deafening.
 

Thomper

Member
quetz67 said:
Actually if this Wii 'desaster' continues I dont see a future neither for Sony nor for MS. It is extremely unhealthy (for both) to fight for second place at rather bad than mediocre sales numbers.

To some extent I blame MS and their early generation change for this situation. And all it gave them were another 2 billion losses and brand name damage because of defective units.

Had MS and Sony both waited another year they had both next gen media, would have both have launched at a more acceptable price. Developers would have been better prepared for next gen and Wii would probably have rather been seen as an intermediate solution.

But they way it went they just sent customers into Nintendo's arms by releasing HD consoles to a not really HD Ready world (and even telling people they should not bother without a HD capable TV set).

Needless to say I am not happy with how this turned out.
Nah. Games like like Halo 3, The Orange Box, Final Fantasy, all those big names and genres will continue to have a fanbase. They're still selling great and will continue to do so.

Consumers don't see Wii as an 'intermediate' console. It's 250 dollars, comes packed with a game everybody can enjoy, has great marketing behind it, and appeals to the masses. It would have sold well regardless of the time it was released.
 

quetz67

Banned
sableholic said:
probably cause the software sales are insane on the 360?
software sales on xbox were just fine, I dont think 360 a year later would have made much difference for developers (besides many of them being more up to the task then)
 

Jammy

Banned
neptunes said:
wii launched in Europe 6 months before PS3

even with that considered, the gap is still deafening.

Well yes, but the point I'm trying to bring up is that there should be no excuses. No "no games" excuse, no "sells well for the price" excuse, etc.
 

M3Freak

Banned
GhaleonEB said:
Wow. How the times have changed. (Microsoft's financials come out tomorrow. Or rather, later today.)

Nothing has changed. It's the PS3's first year. Traditionally, console mfgs record losses well into the 2nd year of a new console (well, that's Sony's MO, for sure).
 

Kujo

Member
So now we have both Sony and Nintendo 'sold to retail' numbers, will we be getting Microsoft's numbers soon?
 

Thomper

Member
Mojo said:
So now we have both Sony and Nintendo 'sold to retail' numbers, will we be getting Microsoft's numbers soon?
It's been asked and answered a couple of times, even answered in the post above you: later today.
 
S

Shepherd

Unconfirmed Member
Mojo said:
So now we have both Sony and Nintendo 'sold to retail' numbers, will we be getting Microsoft's numbers soon?


Microsoft will report earnings after the market close on Thursday, October 25, 2007. A webcast of the earnings conference call will be available at 2:30 PM Pacific Time. I can not find the link to the webcast.
 

quetz67

Banned
Thomper said:
Nah. Games like like Halo 3, The Orange Box, Final Fantasy, all those big names and genres will continue to have a fanbase. They're still selling great and will continue to do so.
I dont really know what will happen to Sony if bad sales continue (dont hope it) but I still think MS will reconsider their motivation in the console business every generation. There target is being market leader and if they dont come close after 2 or 3 generations they'll quit.

They were just happy building a name last gen and coming first this gen having an advantage over their main competitor. And then out of nowhere comes Nintendo with a low blow to their multi-billion-dollar-losses strategy and with their early launch and unfinished harware they damaged their profits and brand name.

Thomper said:
Consumers don't see Wii as an 'intermediate' console. It's 250 dollars, comes packed with a game everybody can enjoy, has great marketing behind it, and appeals to the masses. It would have sold well regardless of the time it was released.
Wii sales would have been strong, but still MS and Sony's problem was that most people didnt see the higher price justified with the quality of graphics as the repective launches (would have been different a year later).
 

ThirdEye

Member
oo Kosma oo said:
Wouldn't the loss on producing them be already calculated in these numbers though?
No they are assets now. The loss appears only when you sold it to someone under its value.
 

Sharp

Member
The PS3 is not going to sell eleven million units this fiscal year. Hell, Sony even revised its statement to say that it probably wasn't going to meet its target. So all of you who are still defending it can relax.
 
quetz67 said:
I dont really know what will happen to Sony if bad sales continue (dont hope it) but I still think MS will reconsider their motivation in the console business every generation. There target is being market leader and if they dont come close after 2 or 3 generations they'll quit.

I thought they were just in it to keep Sony from taking over the living room? I never read that Takahashi book, though.
 
2007 Worldwide Sales (1 January -30 September 2007)

1- Wii

2-PS2

3-PS3

4-360 (*)

(*) inability to penetrate these markets:Japan,Germany,France,Italy and Spain

See you later
 

Sharp

Member
Parmenides said:
2007 Worldwide Sales (1 January -30 September 2007)

1- Wii

2-PS2

3-PS3

4-360 (*)

(*) inability to penetrate these markets:Japan,Germany,France,Italy and Spain

See you later
I see that you forgot DS and PSP, which is unfortunate because they've been so successful. I'm also not sure where you got your 360 numbers from, but okay!
 
quetz67 said:
Actually if this Wii 'desaster' continues I dont see a future neither for Sony nor for MS. It is extremely unhealthy (for both) to fight for second place at rather bad than mediocre sales numbers.

To some extent I blame MS and their early generation change for this situation. And all it gave them were another 2 billion losses and brand name damage because of defective units.

Had MS and Sony both waited another year they had both next gen media, would have both have launched at a more acceptable price. Developers would have been better prepared for next gen and Wii would probably have rather been seen as an intermediate solution.

But they way it went they just sent customers into Nintendo's arms by releasing HD consoles to a not really HD Ready world (and even telling people they should not bother without a HD capable TV set).

Needless to say I am not happy with how this turned out.

Sounds familiar...

http://cube.ign.com/articles/492/492253p1.html

Hiroshi Yamauchi Feb. 2004

"Only people who do not know the videogame business would advocate the release of next-generation machines when people are not interested in cutting-edge technologies."

That was actually also the same time he gave the infamous "If the DS succeeds, we will rise to heaven, but if it fails we will sink to hell" quote.

Of course he was mocked endlessly at the time. I guess hindsight is 20/20 but foresight adds $70 billion in market cap.
 

quetz67

Banned
BenjaminBirdie said:
I thought they were just in it to keep Sony from taking over the living room? I never read that Takahashi book, though.
yep, and now Nintendo has the living room :p

and if they cared about the non gaming components, why is the 360 without HD DVD or any DVR functionality? Because people dont care about the ominpotent entertainment center like MS hoped.
 
quetz67 said:
The new ones are completely separate from the old ones, even if the first two points look pretty similar. The first point matching is simple: I just stuck 0 at launch date to mark the beginning. The next one isn't so hard to believe; they were shipping out nearly as much as they were making at least through December, so we shouldn't expect a big gap there. It's at March where shipment caught up and passed demand that we notice they're very different.
Fafalada said:
They actually report both on their website - so you can now compare production shipments to retail shipments on quarterly basis if you enjoy that kind of thing :p
They've stopped updating the production shipments, though. They only go to March.
Parl said:
Yeah, but only because Sega ran out of money to support it.
Speaking of which, does anyone have similar old Sega shipping data? I looked at Sega's annual report from March 2000 on the Sega Sammy investor relations page, but I didn't find a chart of shipment data like we usually find in Nintendo's or Sony's; just sadness about the market not responding to their "killer" titles.
spwolf said:
fact that they have sold 1.3mil in 2007 Q2... And thats July, August, September....
Those are really good numbers for those months.

Unless you think that after slow start, retailers are stocking millions of PS3's in their warehouses, since they love Sony so much and dont like money
It could be places were stocking up on systems in anticipation of larger sales when the 60 GB price was dropped and the 80 GB introduced.
 

Ranger X

Member
What were the sales of the 360 after 10 months? Just curious to compare apples with apples. Comparing the PS3 with the Wii is a little off.
 

Arsenal

Member
I don't see much positive here either.

PSP sales are healthy and PS2 hardware sales are still holding up remarkably well.

PS2 software sales are plummeting despite the continues hardware sales however as Sony shifts to the PS3.

Loss of $840 mil in the latest quarter and nearly $1.1B in the past 6 months. Both Nintendo and MS are now selling their consoles at a profit while Sony's losses are accelerating. Another $100 price cut heading into the Christmas season says this is going to get worse before it gets better.


Inventory is another really dangerous story that doesn't show up as "bad" on the balance sheet right away but can really haunt a company down the road. It is up over 30% from this time last year. Last year I expected it to be fairly high as they ramped up production for the PS3 launch but now there are even more PS3s sitting around the warehouses. This type of inventory usually looses its value quite fast and results in write offs (which we will probably start seeing next quarter as a result of the PS3 price cuts).
 
Ranger X said:
What were the sales of the 360 after 10 months? Just curious to compare apples with apples. Comparing the PS3 with the Wii is a little off.

Leaving aside the 'PS3 vs. Wii is invalid' argument, what does it matter what the sales of the 360 were after 10 months? What matters is the X360 sales up to the same date as this data.
 

davepoobond

you can't put a price on sparks
szaromir said:
SO why do people care so much about Microsoft Xbox division? If it's more than balanced by the rest of the company? :p

well, when was the last time Microsoft posted a loss as a whole? Sony is a lot smaller than MS.

we don't even know specifics about xbox division anymore anyway since its just consolidated into "Home and Entertainment" or whatever
 
IMO sony has nothing to worry about.. they took the gamble of making a highend product to push the market forward.. short term losses for a long term gain

Sony had a choice they dident have to add blu ray or the cell processor.. there visionaries.. building a console that would last.. looking at sonys history they never abandon there products prematurely.. in the last ten years there products have gotten the most first party and third party support.. i dont see that changing going forward into 2008.. 2007 was a transititional period...developers and publishers wont even think twice about abandoning PS3 development ;-))
 

Sharp

Member
Phoenix Down said:
IMO sony has nothing to worry about.. they took the gamble of making a highend product to push the market forward.. short term losses for a long term gain

Sony had a choice they dident have to add blu ray or the cell processor.. there visionaries.. building a console that would last.. looking at sonys history they never abandon there products prematurely.. in the last ten years there products have gotten the most first party and third party support.. i dont see that changing going forward into 2008.. 2007 was a transititional period...developers and publishers wont even think twice about abandoning PS3 development ;-))
Do you mean they won't think twice before proceeding to abandon it, or they won't dare think twice about the prospect of leaving a Sony platform?
 

Ranger X

Member
Pureauthor said:
Leaving aside the 'PS3 vs. Wii is invalid' argument, what does it matter what the sales of the 360 were after 10 months? What matters is the X360 sales up to the same date as this data.

Why wouldn't i be interested in checking how my console of choice is doing in the market?
If the PS3 sells almost as good as the 360 with the same time on the market + being in competition with the 360 and Wii + being 100$ more it tells me that the console isn't doomed at all. It tells me it performs decently.
Remember that 7 million is "great sales" for 360 but for PS3 it's very bad sales because the Wii sells more. That's what you can get of an idea if you read around.
I don't think the 360 or PS3 sells bad, it's the Wii that sells a awfull lot, abnormally alot.
If you compare everything with the Wii, all sales will look bad and it will not represent the real state of your console of choice in the market right now. So there, that's why i wanted to know about the 360 numbers since it's the closest thing to compare with the PS3 to get an idea if the console will fly or not.
 

[Nintex]

Member
I wonder how long they will continue to lose money. The Gamecube was a failure, but Nintendo only made a loss in one quarter during it's entire lifetime. Even when there was no Gamecube software available the GBA and Pokemon kept them afloat. Sony should focus on their more popular product, the PSP and push the PS3 once they can price it at $299 without a significant loss. Due to good software sales in Europe they won't lose key third party support. But they should put more resources towards the PSP instead of less like they are doing now. They can never beat the Xbox 360 in their current state, each pricedrop will make MS drop their prices as well. They just need to survive untill the time is right to strike back, instead of trying to sell the PS3 with their half assed attempts like Lair. This holiday season is going to be a disaster for Sony :(
 
[Nintex] said:
I wonder how long they will continue to lose money. The Gamecube was a failure, but Nintendo only made a loss in one quarter during it's entire lifetime. Even when there was no Gamecube software available the GBA and Pokemon kept them afloat. Sony should focus on their more popular product, the PSP and push the PS3 once they can price it at $299 without a significant loss. Due to good software sales in Europe they won't lose key third party support. But they should put more resources towards the PSP instead of less like they are doing now. They can never beat the Xbox 360 in their current state, each pricedrop will make MS drop their prices as well. They just need to survive untill the time is right to strike back, instead of trying to sell the PS3 with their half assed attempts like Lair. This holiday season is going to be a disaster for Sony :(

Damn in Europe too? :lol
 

Sharp

Member
[Nintex] said:
I wonder how long they will continue to lose money. The Gamecube was a failure, but Nintendo only made a loss in one quarter during it's entire lifetime. Even when there was no Gamecube software available the GBA and Pokemon kept them afloat. Sony should focus on their more popular product, the PSP and push the PS3 once they can price it at $299 without a significant loss. Due to good software sales in Europe they won't lose key third party support. But they should put more resources towards the PSP instead of less like they are doing now. They can never beat the Xbox 360 in their current state, each pricedrop will make MS drop their prices as well. They just need to survive untill the time is right to strike back, instead of trying to sell the PS3 with their half assed attempts like Lair. This holiday season is going to be a disaster for Sony :(
Sony's gaming division has had losses at the beginning of each generation so far; they're not inherently worrying. What's worrying is the fact that that the PS3 is both costing Sony a lot of money and not selling enough to make it easy to recuperate the losses.
 

taconinja

Member
Phoenix Down said:
IMO sony has nothing to worry about.. they took the gamble of making a highend product to push the market forward.. short term losses for a long term gain

Sony had a choice they dident have to add blu ray or the cell processor.. there visionaries.. building a console that would last.. looking at sonys history they never abandon there products prematurely.. in the last ten years there products have gotten the most first party and third party support.. i dont see that changing going forward into 2008.. 2007 was a transititional period...developers and publishers wont even think twice about abandoning PS3 development ;-))
Monster Hunter 3
 
Ranger X said:
Why wouldn't i be interested in checking how my console of choice is doing in the market?

Because you're not comparing it to something 'on the market', you're comparing it a status from last year.

If the PS3 sells almost as good as the 360 with the same time on the market + being in competition with the 360 and Wii + being 100$ more it tells me that the console isn't doomed at all. It tells me it performs decently.

The 360's hardware sales are middling at best. And who's saying the PS3 is 'doomed'?

Remember that 7 million is "great sales" for 360 but for PS3 it's very bad sales because the Wii sells more. That's what you can get of an idea if you read around.

No - X360 hardware sales are not 'good' sales. And neither are the PS3's hardware sales. The reason the X360 gets a 'pass' is because the software sales are phenomenal - and the PS3 cannot claim that.

I don't think the 360 or PS3 sells bad, it's the Wii that sells a awfull lot, abnormally alot.
If you compare everything with the Wii, all sales will look bad and it will not represent the real state of your console of choice in the market right now. So there, that's why i wanted to know about the 360 numbers since it's the closest thing to compare with the PS3 to get an idea if the console will fly or not.

Fine, let's compare them to the PS2's sales - more your fancy? After all, if we can pull up a specific timeframe instead of using current market realities, then we can use just about any prior system as a base of comparison, can't we?
 

Gaborn

Member
Ranger X said:
Why wouldn't i be interested in checking how my console of choice is doing in the market?
If the PS3 sells almost as good as the 360 with the same time on the market + being in competition with the 360 and Wii + being 100$ more it tells me that the console isn't doomed at all. It tells me it performs decently.

This is the main reason comparisons to the 360's history is somewhat irrelevant in this context. Say you're running a 400 yard dash. you turn your head for a moment to talk to a friend at the start of the race, look up and see that people have around a 50 yard head start. Now lets say you reach the 50 yard point .5 seconds quicker than the other racers did going the same distance. Does that really matter if you're still ultimately behind and unlikely to catch up before the finish line?
 

sakuragi

Banned
Sony loosing money in this case is a good indication that people are buying PS3s and Sony is loosing money on every PS3 sold. Do not confuse this situation with Microsoft's situation where they lost billions on Xbox 360 repairs.

The more profit lost = more PS3 sales, which is a good thing since that will boost its userbase and regain those loses from software sales and advertisements on Home, microtransactions and so forth. But I guess some people cant take this news as a positive and must spin it the other way around :lol
 
Maybe they want to seem like they're pausing to sort their thoughts out before they 'speak'. Maybe they think it makes 'em look thoughtful.
 
sakuragi said:
The more profit lost = more PS3 sales, which is a good thing since that will boost its userbase and regain those loses from software sales and advertisements on Home, microtransactions and so forth. But I guess some people cant take this news as a positive and must spin it the other way around :lol

Um, have you paid any attention to PS3 software sales recently?
 

Gaborn

Member
Segata Sanshiro said:
What the hell...is with you people...and....ellipses...are you like...that kid...from Malcolm...in the Middle...?

frankie-muniz-16th-annual-nickelodeon-kids-choice-awards-0ahVpA.jpg
and yes, I know you mean the kid in the wheelchair.
 
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