We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
78,802 News Articles

Sony profits slashed by PS3 price cuts

PlayStation 3 reduction hits electronics giant

Sony was hit by an an overall profit decline of just over 5 percent in the last quarter of 2006, despite its core electronics business enjoying a revival. The decline was due to price cuts to its PlayStation 3 game console, the company said today.

Sony said sales and operating revenue increased 9.8 percent to ¥2.6tr ($21.4bn) while net profit fell 5.3 percent to ¥159.9bn.

Sony Computer Entertainment, the division responsible for its PlayStation gaming consoles, was the only one of Sony's main business units that registered a loss in the quarter. It lost ¥54.2bn primarily due to the retail price of the more expensive of the two consoles being reduced from a planned ¥62,790 to ¥49,980 in Japan. The cut was made, Sony said, due to negative feedback from consumers.

Sony's electronics business saw profits more than double to ¥177.4bn on 16.9 percent higher sales of ¥1.9tr, the company said.


IDG UK Sites

Google Fit vs Apple Health Kit: What's the difference?

IDG UK Sites

How to join Apple's OS X Beta Seed Program: Get OS X Yosemite on your Mac before public release

IDG UK Sites

Introducing generation tech

IDG UK Sites

This animated film reveals the importance of designing for everyone