Sony Losses and Nintendo Profits Both Huge

I wasn’t particularly surprised when I read about the financial reports for the last fiscal year from Sony and Nintendo. It’s quite obvious since over six months after their release dates, I still can’t find a Wii anywhere in Vancouver and there is dust about half an inch thick covering every PS3 I come across. Jack Tretton freakin’ owes me $8400, by the way.

While there are no official numbers as of right now but most say that Sony looks to be losing close to $650 million dollars for the last fiscal year and much of this has to do with the lackluster sales of the PS3. The actual cost of producing a Playstation 3 unit is rumored to actually cost more than its retail price so poor sales numbers in comparison to the Nintendo Wii are not helping an already bleak looking situation.

Nintendo profits are at an all time high with the very successful Nintendo Wii console as well as good sales numbers for the Nintendo DS handheld system. Their financial statements (found here) report increases in all areas and even higher forecasts for 2008.

Nintendo will probably continue to rake in the money next year but what about Sony? For one thing, the PS3 is not a “bad” system as some opposing fanboys would have you believe. The poor sales are a result of even poorer games available at launch. Seriously, for months, the only game worth purchasing was Resistance: Fall of Man and even that wasn’t a spectacular title. The next fiscal year will see the launch of plenty of new titles including the next in the Grand Theft Auto series as well as (maybe) games from Playstation exclusive francises, Metal Gear and Final Fantasy.

You also have to factor in the massive pile of money Sony will be receiving for the Spider-Man 3, which despite terrible reviews (it’s really a horrible, horrible movie) is breaking all kinds of box office records. Whether or not the Playstation 3 will turn a profit remains to be seen but 2008 should be a better year overall for Sony.