On a bigger scale, Sony rises to the level of fiasco - not because it lost business in every single division, but because it keeps doing so, and the division profits it makes are completely outweighed by the losses. Given how long the products have been out, the only term that applies is disaster. The division's $654 million loss was roughly 45 percent bigger than the loss in the same quarter last year. The company didn't say exactly how big a loss it had in VAIO sales, only noting that both unit prices and total units sold were down. The problems at Sony go way beyond gaming. At the time, the numbers showed that the move was simply dumb, as dropping PS3 prices then would have done far more good. Back in April of this year, the company dropped the price on the PS2 by $30 in North America because it noted that 80 percent of PS3 users had owned a PS2 and, presumably, it wanted to seed the market with potential new PS3 sales. The last shows just how inept Sony management has become. PSP unit sales were down by 20 percent, while the company sold nearly a quarter fewer PS2 units. In addition, the price drop may well have pushed the PS3 back into the lose-money-on-each-one category. But it's going to take more than a quarter of pumped sales to do anything for the trend, if you'll look at the following graph: Sony attributed the rise in PS3 units to the new, less expensive model. The dismal news held true across the entire company, which raises the question of how long Sony can keep going on like this. So were prices, with a net result of the division revenue being down by 24.2 percent. Short take: PlayStation 3 unit sales were up by a healthy 33 percent, PlayStation Portable and PlayStation 2 unit sales were down, and VAIO PC sales (now put together with games as "networked products & services") were also down. Sony just released its fiscal year second quarter numbers (third calendar quarter).
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January 2023
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