Sony’s Earnings Aren’t Too Good

Sony is expected to take a $6.4 Billion dollar loss for the past fiscal year.  That isn’t good for the Japanese tech giant that used to be the household name for technology in American households.

Most of the losses are coming from their TV division as competitors drive prices down causing margin compression.  Also they haven’t come out with anything innovative lately except the Playstation Vita.  The Japanese conglomerate is expected to shed an addition 10,000 jobs world wide.  That amounts to around 6% of its staff.

Now what does that mean for the PS4?  As we mentioned here, the new console codenamed Orbis, is expected sometime late 2013 or more probable 2014.  With the R&D for Vita, and the cost of marketing behind it, Sony can ill afford to produce a new console so quickly unless there is a competitive advantage.

But if they are trimming back to become a leaner and meander company, then I would expect delays in some of their product launches as they try to tidy their ship for efficiency and productivity.

We shall see, but I do know there are some painful times still to come for Sony.

 

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Is The New PS4 Codenamed Orbis?

playstation orbis

playstation concept rendering

The internet went wild with the latest rumor of the PS4.  Contrary to most reports, it does appear that Sony is trying to get itself back on track and the next gen project is reportedly codenamed Orbis or maybe will be the Playstation Orbis.

The reports are from inside sources who told Kotaku.com what the possible next gen console will be using the current specifications.  Here are the supposed details:

  • AMD will power the console with an x86 64 bit processor, but more importantly
    • rumored to be the quad-core A3 3850 APU
  • AMD would likely use its Southern Island GPU 
    • or possibly the HD7670 which is 1GHz and can us 1 Gb of VRAM
  • It will not support previous playstation console games so keep your PS3 and PS2

Supposedly, it is this GPU that is powering the high end graphics market.  With capabilities of rendering video way beyond the limitations of our HD sets, one has to wonder what they are planning.

The integration of Vita and Orbis could also take place as complimentary platforms as one would support the other.  The early specs means that there is always a chance that the hardware could change as two years is a lot of time.

Certain developers are rumored to have the next game developer kits as we reported months ago.  This could mean that Sony would be able to launch its next platform by the 4th quarter of 2013.

As I hear more, I will be sure to report to you what I know.

via: kotaku.com

 

No New Xbox

It looks like the Console Gods have saved Sony.  Contrary to earlier reports Sony will not have to sweat out the next gen Xbox at E3.

As many gamers have dubbed it, the Xbox 720 will not be announced at E3 as many had reported.  It looks like Microsoft enjoyed its best sales for the Xbox in 2011 with its kinect platform in tow.

Like Sony, Microsoft is going to squeeze as much life out of the Xbox 360 as margins are just now hitting the sweet spot for the platform and the kinect motion sensor doing extraordinarily well.

A 2012 announcement has been pushed back to at least 2013 if not 2014.  Bloomberg reports that the only way Microsoft will lose at this strategy is if one of the competitors launches its new platform.  That is unlikely as many of the heads at Sony are concentrating on Vita and new games.

The Wii U isn’t expected to set the world on fire so it seems we wait.

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Sony Is Too Busy For Playstation 4

The Wii U is about to be released and many are expecting Microsoft Xbox to announce the next generation at E3 this year.  What is Sony planning is the big question.

According to Sony Computer Entertainment America head honcho Jack Tretton, they are too busy with Sony Playstation Vita and other game releases to even think about Playstation 4.  This is inline with what other Sony leaders have been saying the past few months.  There is no imminent announcement going to be made at E3.

…right now, we’re focused on PlayStation 3, and I’ve got another platform (PlayStation Vita) to get out the door in seven days, so I don’t want to be thinking about trying to launch new technology anytime soon.

…I, quite frankly, would be very distracted if I had to be talking about next generation hardware this year.

Tony was quoted saying the above with an interview with IGN.

Sounds like to me that is definitive that there will be no PS4 this year.  I would say that Sony has a point in that the games so far released still don’t push their current Playstation 3 platform to its limitations.  Games are just starting to display the neat things that the platform is capable of.  Sony may not be ready with a next gen platform.

But that would open Microsoft and Nintendo to go after users looking for a new platform if they do launch this year with a quality gaming console.

We wonder if this will end up a marketing mistake or just the new norm that gaming consoles will actually make their 10 year life span.

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How Will Sony Deal With E3

So E3 for 2012 is just around the corner.  Nintendo will be there showing off their Wii U.  It seems that Microsoft will also be there talking up their next-gen Xbox, but I’m not quite sure if it will be an official product release, though rumors said it will be.

Sony is in a bit of a problematic situation.  They are finally getting good sales margins with the PS3.  They were well late to the game after the Xbox 360 alienating their fan base and possibly losing some market share to Microsoft and Nintendo.

In marketing, it is always better to be first.  In gaming though, hardcore gamers have a 3-6 month loyalty and are willing to wait for their favorite platform.  Here is where the problem lies.  As people are waiting, reviews of the other consoles come back and usually are good which propel more news to be written.  Talk and noise increase to the point a buyer will sacrifice and check out the competitors.  If they like what they see, Sony will lose out.  This happened with the PS3 and it is something that they should not do again.

So what is the strategy?  If Microsoft does indeed announce Xbox 720 at E3, than Sony will only have a few months to announce their Playstation 4.  With the holiday season shortly after Sony would have to time it right and get production correct as well as software titles and OS correct.

I would imagine that things are really hectic now that it appears the Xbox rumor may be true.  Sony was not expecting to release the next gen console for at least another year, if not longer.

What will they do and how will they approach E3 this year?

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Next Gen Xbox In 2013 Fall?

xbox concept

Xbox concept. Image credit: Joseph Dumary

Engadget is reporting that its sources at IGN are speculating that Microsoft wants the next gen Xbox by Fall 2013.

Whether called the Xbox 720 or Loop or whatever, they really believe the release date could be around then if Microsoft does not run into production problems.

That would mean Sony would have to move its design and production up for the Playstation 4 for a release shortly thereafter.  Sony waited too long after the Xbox 360 was released for the PS3 and felt that they lost many gamers to the xbox 720. A year would be too long, but many people are willing to wait 3-6 months if they know the PS4 was coming.

Sony really wants to give the 10 year shelf life of the playstation 3 a chance, but strategically that would prove to be a mistake that Sony will not make twice.

So if Engadget is right, prepare for the coming of the next Playstation 4 console by spring of 2014.

 

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Max Payne 3

Max Payne is back, and he is going ballistic.  This man of men, is sporting a shaved head and a pistol in his grips. The third person shooter is back for some action-packed thrilling game-play.

The game play is very close to the trailer if you can believe that. There is lots of action that spans a couple of weeks for a variety of different shots and times. You will immediately notice the smoother movements and more realistic game play.

It is so realistic in the fact that you are not toting around an armory on your back.  True to life, you can only hold what you can carry in your hands, two pistols or one machine gun. So during the cut scenes and game, you see what you actually have on your person. Everything just seems more real is this third installment from Rockstar Games.

The danger is as real as it gets. You better make sure you enemy is down, because if he isn’t, he can still shoot you dead.  You know what they say, “a dead enemy is the best enemy.”

More Evidence

So here is some more evidence to dispell the launch of the Playstation 4 this year.

As some more evidence is unveiled, the Wall Street Journal got it straight from the horse’s mouth.  “‘Andy (House) is absolutely right in that we are not making any announcements at E3 (Ed. about the PS4). I’ve always said a 10-year life cycle for PS3, and there is no reason to go away from that,’ stated by Kaz Hirai, the Sony Entertainment President.

I mean you can’t get much clearer than that.  I know that it is a disappointment to all you Sony fans out there, but we’re only 6 years into a 10 year life cycle.

I am sure they are developing the next gen console, but they are in no way near a launch.  That 10-year life cycle will only get shorter if Microsoft decides to release what gamers are calling the Xbox 72o (great name right?).  No one knows what either next gen console is going to be named nor do we have a realistic launch date for you.

The next blockbuster to be released will be the Nintendo Wii U and so far the specs are not enough to scare Sony or Microsoft into changing their production plans.  I would expect most industry experts as well as Microsoft and Sony will just down play or even ignore the Wii U launch.

That could be a mistake if something innovative is launched.  But understanding that business cycles will be lost with a premature launch of any console right now.  There is margin to be lost with a new gaming cycle and the PS3 is just reaching its peak.

Let’s see what Sony can do with its Vita Platform.

Source: WSJ

No Playstation 4 At 2012 E3 Says Sony

The rumor mill was buzzing strong last week about the release of the next gen consoles from Sony and Microsoft last week.  I never published that rumor though because I had seen no reports of rumored production lines of manufacturing firing up at all.  When something as big as the playstation 4 begins production, it will be hard to hide.

“Loose lips sinks ships.”

You know even though there are threats of firings and worse, something is always leaked when production begins.  So I will let you know, as soon as I see or hear something in the air.

The rumors were getting so strong, it was addressed by Sony Computer Entertainment president, Andrew House.

He stated to CVG that Sony was “just entering into this great area for PS3.”

He also stated that, “I don’t think we’re contemplating talking about anything to do with future console iterations at this point.”

That doesn’t speak for Microsoft, but I think you can put the release of the Playstation 4 this year to rest. They are just now getting to PS3 potential and I know they probably do not want to mess up the PS Vita’s crucial launch this year.

But if I was Microsoft, I would strategically launch my console as soon as possible when ready to get a jump on Sony.  But we all know Microsoft is slow and uninspiring.

 

Playstation 4 Wishlist

If the PS4 is coming next year or the year after, what is it that we want to see out of it?  It is time to think big and outside of the box.  We have to justify the $300-$700 price figure somehow, right?

1.  All-in-one machine – games, music, movies, and internet surfing
Let’s think about where it is all heading.  What if Sony just put it all together into one device.  Maybe you could surf the web and watch movies whenever you want with this device.  It already has Netflix access.  Think about how iTunes or even cable integration could expand the functionality of this gaming device.
2.  Cloud computing and e-tail together
The playstation network has had its hiccups with hacking, but if they can fix their security concerns, cloud computing could become even larger with the Vita and Playstation talking to each other through the cloud.  No matter where we are and what device we are one we should be able to access our games and profiles from anywhere and buy anything directly.  We could sync all of our devices with all sorts of media and it would be available to us through the cloud.  Internet bandwidth would be its greatest foe.
3.  Better Motion Interface
The Move is a step in the right direction but what if we could make it all hands free with easier functionality.  Something that would pickup on finger gestures without wearing a device would be great.
4.  Voice Recognition
If our phones can understand voice commands now, it is time that we say “playstation on” and the device turns on.  “Load Modern Warfare 3 with user killer349 profile” could get us back on our game after dinner with no hassels.  I found the nearest mcdonalds the other day while traveling home using my phone, I can only think of the possibiliies of what my playstation could do.
5.  Apps other than games
Thinking about my smartphone, what about apps other than games?  We have plenty of exercise and yoga “games”, think about what a playstation could do if it was your daily newspaper or maybe your fantasy football tracker.  How about a stock trading platform with some motion technology?  How would that help your daytrading?  The possibilities are endless.  That would mean a Sony app store similar to Android and Apple.
6.  Backward Compatibility
I would still like to play some games from my old platforms.  I paid for the games.  I should be able to play  those classics because some of them are still very fun.