• Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.
  • Hey Guest. Check out the NeoGAF 2.2 Update Thread for details on our new Giphy integration and other new features.

PS4 more profitable than any console in video game history!

Rolla

Report me for trolling MS/Xbox threads > 06/27
Jan 26, 2020
1,105
4,445
590
This was part of the recent Sony earnings report but a caveat that is so significant, I believe it deserves it's own dedicated thread as it is a moment in gaming history. Surpassing the profitability of PS2 is insane...

"PS4 is now the most profitable console in video game history," having amassed ¥1230 billion ($11.33 billion) in profit from its launch in Q3 2013 and Q2 2020, which ended last month, and for which Sony recently released its financial results.
That's around three times the profit generated by the PS1, and four times more than the PS2. It also puts the PS4 above some of Nintendo's famously successful efforts - ArmGunar says that adjusted for inflation, the DS brought in ¥1150 billion ($11.04 billion), while the Wii managed ¥1100 billion ($10.56 billion)."



Sony right now be like...

 
Last edited:

Aion002

Member
Nov 21, 2019
2,209
4,296
545
SP - BR
The fact that Sony did this with Nintendo being the Juggernaut that it is and XBOX on the market is something else.
It is incredible, because when Sony entered the market Nintendo was the top dog, with Sega fighting for their place. Playstation had no place in it, yet they won a large share of the market and mantained their position against Microsoft, that has basically infinite money.


They won against tradition and money. Indeed, Playstation has no limits.
 
Last edited:

Black_Stride

do not tempt fate do not contrain Wonder Woman's thighs do not do not
Mar 31, 2011
5,520
2,744
1,090
Games Radar
A thread from noted PlayStation analyst ArmGunar on Resetera claims that the machine has outperformed all of its competitors and predecessors.

ArmGunar says that "according to my calculations, PS4 is now the most profitable console in video game history," having amassed ¥1230 billion ($11.33 billion) in profit from its launch in Q3 2013 and Q2 2020, which ended last month, and for which Sony recently released its financial results.


We are literally posting articles based on posts made on forums now?

GamesRadar is an embarrassment.

On Topic

The Earnings report is also about Games & Network services, so PS+ and digital games revenue are included in that.
The PS2 and PS3 didnt have that so yeah the profits would be lower simply because PSN was mostly a cost and didnt bring in anywhere near the numbers PS+ and downloadable games bring in.


Im not saying the PS4 isnt the most profitable console of all time, im just saying different times are aiding the console.
If the PS2 had downloadable games and charged for PSN the sheer number of them out there would have put it on top......the fact that the PS2 is in the running without all those extra services is a true testament.



 
Last edited:

EverydayBeast

thinks Halo Infinite is a new graphical benchmark
Aug 18, 2017
9,916
7,103
895
Mount Olympus
www.neogaf.com
It's a "game minded" machine this tells me PS5 will sell 10x more than the PS1 20x more than the PS2 etc. everything Playstation related is measured by it's predecessor, SONY doesn't even look Microsoft or Steams way.
 
  • Like
Reactions: SynTha1 and kyoji

TBiddy

Member
Mar 16, 2015
4,635
6,306
830
Denmark
i'm sure if PS2 had a requirement of PS PLUS to play online it would have probably generated more

Also, the 30% cut that Sony and MS takes on digital sales certainly helps as well. But that said, the PS4 was still a juggernaut, and the succes it had/has was well deserved.
 
  • Like
Reactions: Shivvy24

mckmas8808

Ah. Peace and quiet. #ADayWithoutAWoman
May 24, 2005
46,221
11,953
2,000
Makes you wonder why so many in the video game press were so "concerned" with Sony's approach to the PS5.
 
  • Like
Reactions: SynTha1
Aug 28, 2019
5,911
11,235
530
People triggered by positive comments about a product will never not be hilarious to me.
I'm not triggered by anything. I'm a playstation fan. Since I don't invest in Sony I am not going to celebrate their profitability.
 
  • Triggered
Reactions: EDMIX
Feb 23, 2018
1,954
4,295
510
I thought the Wii would have been the most profitable since they were making a profit on each console from the start?
Sony said they were only barely selling for a loss at launch, so my guess is that it got much cheaper to produce real quick. They also had very few price reductions over the years.

I gotta think the Switch will overtake the PS4 though, Nintendo is still selling launch games for $60 and people are still buying them at a top 10 sales pace.
 
  • Like
Reactions: smorgasbird

Nakasan

Member
Sep 18, 2006
629
134
1,320
NeoGaf
That's really not how profitability works lol

I'm struggling to see your angle here... Even if you take on the fact that profits are calculated AFTER internal investment - don't profits reassure investors and inner management to do more of what has been generating their profit? Like more / better games?

I don't see where it's super obvious to the point of condescension that profitability won't lead to more/better games?
 
Aug 28, 2019
5,911
11,235
530
I'm struggling to see your angle here... Even if you take on the fact that profits are calculated AFTER internal investment - don't profits reassure investors and inner management to do more of what has been generating their profit? Like more / better games?

I don't see where it's super obvious to the point of condescension that profitability won't lead to more/better games?
It's far more complicated than that, particularly for a large company.

I'm not suggesting that Sony won't invest further and continue to make better shit for consumers. But profitability numbers are not how you know that to be true. That is not how running a large corporation works or even a division.

For instance.. if a lot of that profitability is coming from 3rd party MTX... Sony might decide that to grow profits they need to add a lot of MTX to their games. Is that something people would celebrate here?

So I digress; it's silly to celebrate profitability. Celebrate the actions a company takes that benefit you, and there's a lot to celebrate for Sony fans. Their profitability is really not something to celebrate on it's own.
 
Last edited:

AJUMP23

Member
Sep 29, 2020
2,506
2,683
425
The gaming division being so profitable was why Kaz was promoted to the head of Sony. Pretty amazing they were able to create such good margins on their product.
 

mckmas8808

Ah. Peace and quiet. #ADayWithoutAWoman
May 24, 2005
46,221
11,953
2,000
It's definitely not how profitability works. If McDonalds has announced they are more profitable is it evidence they are definitely going to provide better hamburgers in the future?

It'll mean that'll more than likely continue providing the same level of burgers, fries, and awesome sweet tea that they've had so far. And that's what people are expecting out of Sony. A continuation of what they played on the PS4.
 
Aug 28, 2019
5,911
11,235
530
It'll mean that'll more than likely continue providing the same level of burgers, fries, and awesome sweet tea that they've had so far. And that's what people are expecting out of Sony. A continuation of what they played on the PS4.

See my last post; it's way more complicated than "yay profitability means better stuff for me as a consumer!"
 
  • Like
Reactions: Shaqazooloo

SCB3

Member
Nov 24, 2014
1,681
1,570
685
Really? Thats impressive considering the backlash of the PS3, the PSN Hacks, the slow adaptation of crossplay and compared to the Sheer success of the Switch and Wii

Congrats to them I suppose
 

yurinka

Member
Jan 19, 2007
11,891
2,864
1,685
Barcelona, Spain
www.capcom-town.es
Consumers celebrating profit will never not be hilarious to me.
This is a videogames forum, so we talk about videogames, the companies who make them and how things go with them since it affects their future games and consoles. Record profits means that very likely they will invest more here, so we'll get more and better games/consoles/services from them.

But hey, nobody forces you to read this forum or thread, or to post here if you aren't interested on it. You can always ignore it or leave it too.
 
Last edited:

Clear

Deer/Dur
Feb 2, 2009
12,368
7,130
1,365
Kinda puts into perspective the sort of long-term deficit that buying Zenimax has put on the Xbox division.
 
Aug 28, 2019
5,911
11,235
530
This is a videogames forum, so we talk about videogames, the companies who make them and how things go with them since it affects their future games and consoles. Record profits means that very likely they will invest more here, so we'll get more and better games/consoles/services from them.
Again; not how profitability works.

It just means Sony figured out how to profit off of us better this generation than in past generations. Only they know internally how that profit happened and what it is encouraging them to do in the future. They'll reveal some of that on investor calls but it's far more complicated than "wow we should do more of the same!"

Celebrate the decisions that benefit you, not the profit. Some of this profit compared to past generations came from the cheap jaguar CPU this generation started with... PS4 was a great system compared to Xbox, but being more profit minded on hardware was not a benefit to consumers this generation or something for us to celebrate.

I'm not saying profit = bad for us either. It's just not that simple; and I still find it kind of hilarious either way because more profit literally means they figured out how to make more money off of you lol, it's not even at face value something people should be cheering.
 
Last edited: