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Sony Reports Q3 FY12 Results - $2 Billion Loss, 6.5 M PS3's Shipped [Shares up 13%]

DarkChild

Banned
Yes and no. They do sell fewer units than Samsung, but it does not mean they should lose money as a result. e.g., Vizio overtook Samsung in unit sales, but the latter could still make money:
http://www.lcdtv.net/news/samsung-loses-vizio-us-112410

And later Samsung's panel business also ran into difficulty because that industry is being commoditized (Price getting too low !), but their growing cellphone business covered up the slack:
http://www.businessweek.com/news/20...-as-phone-sales-mask-slump-in-lcd-panels.html

The causes for Sony's TV business losses are the expensive Yen, and quickly eroding TV price because it's commoditized.

Sony has no "TV platform income" like Blu-ray to collect tax from cheap TV makers, and not enough LCD panel volume. I think recently, the Japanese government got the industry to form a consolidated (small) panel making company to aggregate the volume. In addition, Sony's "next LCD" R&D didn't produce commercial results (No large OLED panels, banging on Crystal LED next). They can only package stuff from other component makers. Their TV is actually pretty good, but expensive partly because Sony has high cost (Yen and such).
I still stand by what I said, Sony's TVs are not as good as Samsung. Neither are their phones, which are even more depressing. Their entire strategy with phones is catastrophic.
 

Cheebo

Banned
I still stand by what I said, Sony's TVs are not as good as Samsung. Neither are their phones, which are even more depressing. Their entire strategy with phones is catastrophic.

Is there anyone who actually thinks Sony products are higher quality than Samsung anymore? They were like 10 years ago, even 5 years ago but that isn't the case anymore.
 

Satchel

Banned
I still stand by what I said, Sony's TVs are not as good as Samsung.

I own a Samsung LED, and 2 Panasonic Plasmas, and I can tell you this is highly debatable.

I also work part time in a Hifi retailer.

The build quality of Samsung TVs is actually quite low. I think they have one of, if not THE highest return/faulty rate of any TV manufacturer, at least in Australia anyway.
 

DarkChild

Banned
Is there anyone who actually thinks Sony products are higher quality than Samsung anymore? They were like 10 years ago, even 5 years ago but that isn't the case anymore.
Well, I don't think so, but if people are wondering why isn't Sony selling shit ton of their most profitable division, its because it is simply worse than competition. So is their phone division, which is marketing lunacy. They are trying to repair damage there to be honest...
 

DarkChild

Banned
I own a Samsung LED, and 2 Panasonic Plasmas, and I can tell you this is highly debatable.

I also work part time in a Hifi retailer.

The build quality of Samsung TVs is actually quite low. I think they have one of, if not THE highest return/faulty rate of any TV manufacturer, at least in Australia anyway.
I'm very into tech, especially TV's, and yes, it is debatable. But looking as whole, looking at price/performance ratio, Sony is just in much worse shape than their competition.

Panasonic has plasma market on the lock, they are the best there is. Philips has some of the best LCD's I have seen, but they are actually the one with worst faulty rates. Its still not bad since they don't break down like 360 used to, all of those TVs are of very good quality, its just that Sony's doesn't introduce anything new for their price, actually, they are noticeable worse from my experience. If you take a look at general consensus of best TV's in class, you will have to look hard to find one where Sony is top dog, and if you find it, look at the price.
 

Satchel

Banned
I'm very into tech, especially TV's, and yes, it is debatable. But looking as whole, looking at price/performance ratio, Sony is just in much worse shape than their competition.

Panasonic has plasma market on the lock, they are the best there is. Philips has some of the best LCD's I have seen, but they are actually the one with worst faulty rates. Its still not bad since they don't break down like 360 used to, all of those TVs are of very good quality, its just that Sony's doesn't introduce anything new for their price, actually, they are noticeable worse from my experience. If you take a look at general consensus of best TV's in class, you will have to look hard to find one where Sony is top dog, and if you find it, look at the price.

But what you're saying in the above post, isn't exactly the same as what you were saying in the first post I quoted.

Also, Panasonic actually might be getting out of TVs by the way, same way Pioneer did. Which is a shame given the quality of their Plasmas.

You're right, Sony isn't the market leader in anything, but that doesn't necessarily mean Samsung makes a better TV than Sony, because to be honest, they don't. If we're strictly talking qality of the panel, and the build quality of the TV (design is obviously subjective, I think the Samsungs look better from a design perspective) then Sony TVs are egenrally better than Samsungs.
 

DarkChild

Banned
But what you're saying in the above post, isn't exactly the same as what you were saying in the first post I quoted.

Also, Panasonic actually might be getting out of TVs by the way, same way Pioneer did. Which is a shame given the quality of their Plasmas.

You're right, Sony isn't the market leader in anything, but that doesn't necessarily mean Samsung makes a better TV than Sony, because to be honest, they don't. If we're strictly talking qality of the panel, and the build quality of the TV (design is obviously subjective, I think the Samsungs look better from a design perspective) then Sony TVs are egenrally better than Samsungs.
I was maybe to diplomatic in last post, but I'll have to get back on track, from my experience(watching mainly HD content on both TVs), Samsung was clearly the better TV of two. Both sucked hard with SD signal, while Philips and Panasonic were great at handling it.
 
Wanna know whats more hilarious?

Sony coming from the previous gen with a lead of over 100 million. Both Nintendo and Microsoft have done an amazing job turning around their results from last gen.

If someone told you, in 2004, that Nintendo would end the next gen 30 mill plus in front of Sony, and MS 4-5 mill in front of sony you would have laughed your ass off at them.

People keep bringing this shit up and completely disregarding that the PS3 launched at $300 more than the PS2 ever was. Both situations are completely the opposite.
 

Castef

Banned
Sony sacrificed PlayStation sales for the sake of getting Blu-ray out there. I see no reason for PS4 to come anywhere near the $600 price that the PS3 had at launch.

Also... as a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

The addition of a blu ray in PS3 has been just some kind of advantage for Sony, not so much for players. Period.
 
Also... as a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

The addition of a blu ray in PS3 has been just some kind of advantage for Sony, not so much for players. Period.

Well thank you for speaking for the rest of us gamers. You sure know what we wanted. /sarcasm
 

Glix

Member
Sorry. :(

Just a question. As a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

I was able to import the Advent Children Blu-Ray.

I didn't even get to enjoy no disc changing in FFXIII because my PS3 YLOD after 2 hours, and I returned the game and bought the XBOX rev while I waited for my PS3 to be fixed.
 
Sorry. :(

Just a question. As a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

MGS4 because Kojima's team is full of incompetent idiots who couldn't get the damn thing to fit on a smaller disk, or indeed run on the PS3 without ten minute installations every time you want to play a different part of the game.

Kojima is the man but he needs better staff.
 

Vinci

Danish
Sorry. :(

Just a question. As a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

Personally, its impact has been fairly marginal. I am obviously different from many other PS3 owners, but Blu Ray has never been a game-changer for me.
 

seanoff

Member
they're doing much better than Panasonic who are projected to be posting a loss of $8B.

makes Sony's loss look like a good result.
 

patsu

Member
I still stand by what I said, Sony's TVs are not as good as Samsung. Neither are their phones, which are even more depressing. Their entire strategy with phones is catastrophic.

I own a Samsung LED, and 2 Panasonic Plasmas, and I can tell you this is highly debatable.

I also work part time in a Hifi retailer.

The build quality of Samsung TVs is actually quite low. I think they have one of, if not THE highest return/faulty rate of any TV manufacturer, at least in Australia anyway.

Yes, you can google for a particular Samsung TV issue last year or 2010. I remember seeing some examples on Youtube. A few models were plagued by some flickering problems. But in general, their manufacturing business has pretty good standard.

Sony products also have high QA standards.

Then again, both are losing to low cost TVs in unit sales.


As for Sony Ericcson cellphones, I think we will have to see how future Sony phones compare. I think an FAQ would be where is VitaPhone ?
 

REK

Member
Guess who Sony buys their LCD panels from besides Sharp??? Sony does not make their own panels.
 

patsu

Member
Samsung makes panels for cheap and premium brands all over the world. They told another cheaper brand to not use Samsung's name in their advertisement too.
 

DarkChild

Banned
One thing I like about Samsung phones is the fact that when you buy their top of the line phone you get every-little-thing in it. Sony Erricson started going down with their stupid marketing (K series, W series etc.) and their top of line phones had good music and camera quality, but at the end they still had to put their stupid jack in the phone.

Now they are changing thanks God, hope they start making better and simpler stuff with new approach(solely Sony). Because frankly, the fact that they comlicated everything didn't work out for them that well. I think they are about 4-5% of market share.
 

jcm

Member
Thank you.

So will Sony just add the $2 billion loss to their debt or use the cash to deal with it?

Much of it is a paper loss. They had to write off the value of the LCD joint venture they are leaving, as well as a tax benefit from Sony Ericsson they won't be able to use. Those two combined were ¥100B.
 
Sorry. :(

Just a question. As a gamer, what did you gain by having a blu ray reader in your PS3 during this generation?

I got to see a lot of movies in perfect 1080p on my HDTV. All the games come on one disc and are much more durable than DVD. I certainly didn't lose anything since blu ray games cost than same as DVD xbox 360 games.
 

patsu

Member
Which was ultimately an incredibly bad move from a business standpoint.

While Blu-ray may "only" enable higher game storage for PS3 and likely PS4, I don't think we know the extent of its business impact yet.

The Blu-ray movie industry is still growing and panning out in HD, 3D, UltraViolet and 4K. It plays a key role in rejuvenating the movie industry. Otherwise, besides their TV business, Kaz will also need to worry seriously about Sony's studios. It also fended off MS's HD-DVD plan on 360.

It is also being used in Kaz's Medical Imaging plan, his so called the next pillar of business Sony wants to explore.
 

Sothpaw

Member
Sony:

7.59B In Cash and equivalents.
13.22B In total debt.

Nintendo:

12.16B In cash and equivalents.
0.00B In total debt.

Microsoft:

50.69B In cash and equivalents.
12.8B In total debt.

Cash to total debt doesn't say too much about a company. But I realize you were just answering someone's question.
 
MGS4 because Kojima's team is full of incompetent idiots who couldn't get the damn thing to fit on a smaller disk, or indeed run on the PS3 without ten minute installations every time you want to play a different part of the game.

Kojima is the man but he needs better staff.

Kojima peaked with MGS1. He is just a bag of air inflated by the cries of desperate fanboys.
 

Opiate

Member
Cash to total debt doesn't say too much about a company. But I realize you were just answering someone's question.

You're right there are other important ones as well, but cash flow is most definitely a KPI (a quantity which can be derived from Cash/Debt changes). Sony, at least, is reaching a point where burn rate becomes a relevant consideration -- they've already liquified significant assets and reduced variable costs / headcount in anticipation of these problems.
 

Sothpaw

Member
Cash flow is most definitely a KPI, but you're right there are other important ones as well. Sony, at least, is reaching a point where burn rate becomes a relevant consideration -- they've already liquified significant assets and reduced variable costs / headcount.

Cash flow to debt is important.

Total cash to debt not so much.
 

teh_pwn

"Saturated fat causes heart disease as much as Brawndo is what plants crave."
I'd rather Sony do better. Now Microsoft has the opportunity to put in way higher end hardware and features, take a few billion loss and virtually take over the market. If that happens they'll turn around and screw with PC gamers more with Windows Live being mandatory or something.
 

mujun

Member
I certainly didn't lose anything since blu ray games cost than same as DVD xbox 360 games.

Not necessarily true. If Sony had held onto the dominant position they gained in the previous gen they might have had more first party software, given more original game ideas more chances, funded more JRPGs, etc.

The decision to use the PS3 as a trojan horse for blu-ray has its positive aspects and negative for both the company and the consumers.
 

Sothpaw

Member
Yes, agreed. Not without other variables considered.

Brofist.

I'd rather Sony do better. Now Microsoft has the opportunity to put in way higher end hardware and features, take a few billion loss and virtually take over the market. If that happens they'll turn around and screw with PC gamers more with Windows Live being mandatory or something.

I'm pretty sure Microsoft could have done that with both the XBOX and the 360 if they really wanted to and/or it made sense to do so.
 

jcm

Member
Why is there no Vita shipment numbers?

Most likely because they are very bad.

Masaru Kato: Now the company has not publicly announced the shipping unit – unit of shipping and sales, at the appropriate time, we would do so. But as far as the sell-through, three weeks have passed and sell-through is 500,000. This was announced on the 10th of January.
 
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