Sony: PS3 Now Profitable

Sony: PS3 Now Profitable

Sony: PS3 Now Profitable

Sony is making money on PS3 hardware sales for the first time since the console launched in Japan in November 2006.

"This year is the first time that we are able to cover the cost of the PlayStation 3," Shuhei Yoshida, president of Sony’s Worldwide Studios, told IGN. "We aren’t making huge money from hardware, but we aren’t bleeding like we used to."

Sony most recently updated PS3 hardware earlier this year, shipping new consoles with smaller and more cost efficient graphics chips as part of its long-running bid to reduce manufacturing costs and boost profitability. And now that it’s making money on the hardware, the company isn’t thinking of cutting the PS3’s retail price in the near future.

"When we bring the cost of hardware down, we are looking at opportunities to adjust prices if we believe that will increase demand," Yoshida said. “We have lots of great games coming out and innovations with Move and 3DTV, so we don’t believe this is the time for us to think about a price drop.”