PS3 News: Sony Stock Surges On Strength Of Falling PS3 Production Costs - PS3 News

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Sony Stock Surges On Strength Of Falling PS3 Production Costs

When a BusinessWeek report issued the good news that Sony had dramatically cut production costs on the PlayStation 3 - down over 50% - everyone stood up and took notice. At first, we only thought about the consumer, who quickly anticipated a price cut.

But let's not forget about the all-important investor. According to EndSights and a new iSuppli report, the aforementioned news has resulted in a big surge in Sony's share price. The stock gained 2.7% in yesterday's trading session on the Tokyo Stock Exchange, which surpassed the average gain of the day by 2.4%. Sony's share price is now at its highest level in two weeks, and analysts may predict that it will continue to climb. The production costs of the PS3 can only continue to decrease at this point, and with major exclusive releases on the way, sales are primed to climb. We're also holding our breath, waiting for a possible price cut announcement, despite Sony's insistence that they won't drop the price any time soon. In multiple official statements, they say they're happy with the current retail tag, which is pretty self-explanatory. Besides, even though Sony is losing less with each PS3 sold, they're still losing...even though they're not far off from turning a profit.

We'll keep you updated but just remember, although there are plenty of rumors out there right now, Sony hasn't provided anyone with a statement regarding future pricing of the PS3 hardware. You can't deny the falling production costs, though, so it's not difficult to surmise the logical next step...

12/29/2008 John Shepard

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Comments (17 posts)

ec0li
Monday, December 29, 2008 @ 10:14:41 PM
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I hope this type of good news will continue for Sony.

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ps92117
Monday, December 29, 2008 @ 10:19:16 PM
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to be honest i would not drop price until production cost is safely low , like 66.66% of custumer price and also only drop in the middle of an epic game launch like kz2 or gow3 maybe even a bundle, the perfect scenario would b pre holiday drop like october along with gow3 and lots advertisements to go along , then stocks would rocket upwards

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Schmitty
Monday, December 29, 2008 @ 10:33:36 PM
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i actually own shares in sony

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WorldEndsWithMe
Tuesday, December 30, 2008 @ 12:18:57 AM

Me too :)

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N a S a H
Tuesday, December 30, 2008 @ 6:24:53 AM

Question: Those stocks you own are in SONY, but are there different stocks for Playstation or are the TV's DVD Blueray Vaio's and all their gaming things put together?

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jerocarson
Monday, December 29, 2008 @ 11:00:38 PM
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i concor

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WorldEndsWithMe
Tuesday, December 30, 2008 @ 12:20:28 AM
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If this does bring a price cut in '09 you can just say bye bye to the 630.

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Scarecrow
Tuesday, December 30, 2008 @ 2:01:30 AM
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Yay!

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Schmitty
Tuesday, December 30, 2008 @ 2:20:38 AM
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i know ffrulez already said it but can someone explain what second party and third party is? and also what IP means? im kinda stupid with these terms

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LCF
Tuesday, December 30, 2008 @ 3:36:01 AM

IP mean Intellectual Property(copyright term) and 1st party is the company's own game design team and 2nd party is a independent company that is published by the console company.

Those questions don't make you stupid. knowledge is power so always keep asking.

Last edited by LCF on 12/30/2008 3:41:52 AM

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LCF
Tuesday, December 30, 2008 @ 4:31:48 AM

Thx FF,sleep deprivation sux major ass =.=

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LCF
Tuesday, December 30, 2008 @ 2:31:35 AM
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All consoles lose money in their 1st 3 years from release,the profit comes from their software.This started back in the NES era when copyrights when into effect for game publishers.Yes I know Nintendo makes $6 with every wii sold.But they are not advancing the game technology further.Nintendo is still stuck in last gen tech.

Last edited by LCF on 12/30/2008 2:34:45 AM

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isaya85
Tuesday, December 30, 2008 @ 9:52:41 AM
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I would love to see them cut the price in time for KZ2 I know quite a few people that want to play the game but dont have a PS3 because of the price


PSN ID Biggest_GMoney

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FLYING_APE
Tuesday, December 30, 2008 @ 9:56:25 AM
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239 pounds MOTHA F**KING DO IT BI*CHES

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dveisalive
Tuesday, December 30, 2008 @ 12:40:58 PM
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WILL SELL LIKE PANCAKES!

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Wage SLAVES
Wednesday, December 31, 2008 @ 6:18:27 AM

hmm...just doesn't have the same ring as HOTCAKES but It'll work ;)

Last edited by Wage SLAVES on 12/31/2008 6:19:06 AM

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phade2blaq
Wednesday, December 31, 2008 @ 8:01:18 PM
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Sony is still lagging behind Nintendo and MS in terms of console sales. Until they reduce the price of the PS3 and get more games that appeal to gamers, the PS3 is in a losing battle in the console wars !

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