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Sony has announced that its third quarter operating loss in its gaming division came in at a whopping $443 million. This was not unexpected as Sony is still losing money on each PlayStation 3 system sold, in addition to the declining sales of Sony's previous cash cow, the PlayStation 2.

The PlayStation 3 has yet to become profitable for Sony. Their plan is to reduce the cost of the internal components of the PS3 as soon as possible. The first major step in this direction lies within the implementation of a 65 nanometer CELL chip as opposed to the current 90 nm chip.

The startup costs of the PS3 were expected, so this should come as no great surprise to anybody following the gaming industry. The question that remains is how soon will Sony's black behemoth become profitable?

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I expected a loss but you don't realize just how much a loss it is until seeing this.

One word comes to mind: DAMN. Only if they were owned by bill gates and could compensate for that loss out of his personal bank account

i'm not sure Bill Gates could've saved Sony's hide on this disaster. makes me laugh so hard how much Sony bombed this release

Sony is a large company, and a multiple hundred million dolor loss isn't good, but don't count them out just yet.

btw Microsoft didn't have a great launch with the Xbox 360 did it? I mean weren't they overheating and being sent in for months after launch?

They are still being sent in for overheating... I think that is the main reason why the Elite is coming out, its supposed to be "cooler" (literally)

very very true, I'm glad you brought that up.

Wow that's huge, Sony must profit from the PS3 soon unless it's the end of their gaming division.

*drops jaw*

Holy hole in a doughnut!

I knew that Sony was losing money on each PS3 made, but woah, that is just insane! They should be thankful there weren't thr3ee more zeroes on there, so it would add up to $443 BILLION.

But still: -100 profit points

figures

yikes. That's a lot for one division to lose alone. But Sony's got it's TVs and other such electronics to keep it afloat.

with a couple million ps3's sold world-wide and sony losing a few hundred bucks a pop, this comes as no more than tiny sentence in the book called history. saw it coming from half a world and half a year away.

According to the article, Sony lost $443 million in the game division. This needs to be put into the proper context.

"Sony's consolidated sales in the U.S. for the fiscal year ended March 31, 2006 were $16.7 billion."

I think they'll be able to eat the video game division loss with little problem.

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