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Sony Says That PlayStation 4 Is Already Profitable

 

According to Sony CEO Kaz Hirai, the PlayStation 4 is already a profit center for the company - unlike it's previous consoles.

Traditionally, Sony's hardware platforms have - in general - been "loss leaders." In basic terms, Sony either lost money or broke even on the hardware itself in order to drive a large installed base. Once the consumer base was there, the company made money on software and software licensing fees from third parties. Then, as Sony was able to make refinements in the hardware, it eventually made more affordable-to-produce hardware (think PSone, etc.).

According to Hirai, this philosophy has changed. Hirai told the site AV Watch: "The PS4 has already recorded a profit with hardware alone, and in that it's different from the business model of previous platforms."

 

[Source: AV Watch via DualShockers]

Our Take:
This is an interesting turn for Sony - and one that closely mimics Nintendo, which has always placed an emphasis on making profitable hardware. This money will definitely be welcome at Sony as a whole, which has suffered poor financials in recent years.

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