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Sony Playstation boss Kazuo Hirari: “We are losing money with the Playstation”



Sony Playstation boss Kazuo Hirari: “We are losing money with the Playstation”


Despite the announced price reduction for the Playstation 3 (PS3), Sony is still calculating high losses in the hardware business. “It is correct that the production costs are higher than the sales price,” said Kazuo Hirai, President of Sony Computer Entertainment in an interview with WirtschaftsWoche.

But with the reduction of the price by a quarter to 299 euros (from September 2009), which Sony announced at the Gamescon games fair, sales of the games for the console are to be boosted. According to Hirai, Sony plans to sell 13 million copies of the PS3 this year, compared to 10 million in the previous year – an increase of around 30 percent.

“If retention remains the same and we increase the number of hardware sold as planned, it will also increase software sales by 30 percent,” said Hirai. Nevertheless, the head of games at Sony does not expect to come out of the red this year: “We want to be profitable again as soon as possible, but unfortunately that is a big challenge at the moment.”

The new game controller, which, like Nintendo’s successful Wii console, recognizes body movements, is due to hit the market next spring. Sony wants to open up new target groups with it. But the motion controller should not only be used for so-called “casual games”, but also for classic Playstation games.

“It is intended to be used in a wide variety of games, not just casual games,” said Hirai. “We are currently talking to game manufacturers and our own developers about how the new controls can also be used in games for our hardcore gamers.” The full interview can be found at www.wiwo.de/vorab.