How much profit is Sony making off the PSP?

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Supernova_86

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#1 Supernova_86
Member since 2007 • 517 Posts

Well all know Sony loses money off the PS3, while gaining money off the PS2 and PSP. The PS2 allowed Sony to swim in pools of cash due to its massive market share and large games library. Can you say the same about the PSP? In terms of production cost, the PSP is smaller than the PS2, so there are less material costs involved with manufacturing. Last time I heard, Sony makes roughly $12 on every $130 PS2 sold. I don't know if its accurate or not, but please correct me if I am wrong. The PS2's true profits came from the games with massive third party support.

So anyways, how good are Sony's profits from the PSP? The hardware sales of PSP are okay. After all, the PSP stole 35% handheld market share from Nintendo, so its the most successful non-Nintendo handheld out there. However the software attachment rate for PSP is slightly lower than expected, so I am wondering if the PSP is making enough profit for Sony to warrant a PSP2. Your thoughts?

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coakroach

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#2 coakroach
Member since 2005 • 1356 Posts

Hope so

The whole ds touch screen thing really doesnt appeal to me

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PBSnipes

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#3 PBSnipes
Member since 2007 • 14621 Posts
Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much.
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Lazy_Boy88

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#4 Lazy_Boy88
Member since 2003 • 7418 Posts
Probably not much on the hardware. Maybe more with the slim but it's a pretty complicated little device. Probably getting about the same profits as PS2 per unit really.
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robonator3001

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#5 robonator3001
Member since 2007 • 210 Posts
I hope they did make profit. SO they make PSP2
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ReverseCycology

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#6 ReverseCycology
Member since 2006 • 9717 Posts

Probably just 5% profit a year.

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RedMarzBoy

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#7 RedMarzBoy
Member since 2004 • 1298 Posts
Only Sony knows for sure. But judging by what you get with the PSP I don't think they are breaking any records. The PSTwo on the other hand is a cash cow.
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fierro316

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#8 fierro316
Member since 2003 • 1727 Posts

I think they are doing well considering they have good third party support.

EDIT: About the hardware, well they didn't lowered the price for quite awhile and components' prices drop quite fast so.. it's possible that they made and still are making very good profit.

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user_nat

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#9 user_nat
Member since 2006 • 3130 Posts

Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much. PBSnipes

Last I checked, the PS2 didn't have a battery, speakers, WiFi, or a screen in it.

PSP is also more compact (not that the PS2 isn't).

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DeathIsARight

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#10 DeathIsARight
Member since 2007 • 947 Posts

Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much. PBSnipes

I believe the PSP is more powerful than the PS2.

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akuma303x

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#11 akuma303x
Member since 2004 • 3703 Posts
How much profit is sony making off MS?
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NeoGen85

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#12 NeoGen85
Member since 2003 • 4270 Posts

Sony needed a game that would sell the PSP, and Square Enix delivered on that in September. Crisis Core, Final fantasy VII has raised the handheld's sale count. Square Enix and Sony bundled Crisis Core with a limited edition FFVII 10th Anniversary PSP-Slim. There was only 77,777(some up to $500)of them and they all sold out in a day in Japan(along with imports). The PSP just recently spiked a unusual sales boost and is the #1 selling platform in Japan currently. Primarily due to the release of the new PSP and Crisis Core, Final Fantasy VII. Though all that could change, but seeing as how the Compilation of FFVII is advertised extremely well over in that country, and the game is quite good hopefully sales won't stop soon. Hell, even on TV I've seen commercials for the mobile game Before Crisis, Final Fantasy VII excluding the carrier of the game. :shock:

Currently I say the PSP is doing extremely well. I think today we need more games that sell platforms. :P

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Zerostatic0

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#13 Zerostatic0
Member since 2005 • 4263 Posts

[QUOTE="PBSnipes"]Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much. DeathIsARight

I believe the PSP is more powerful than the PS2.

Actually you're mistaken, the PSP has been widely quoted as being nearly as powerful as a PS2 but not more.
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Ork_Hero

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#14 Ork_Hero
Member since 2004 • 531 Posts
[QUOTE="DeathIsARight"]

[QUOTE="PBSnipes"]Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much. Zerostatic0

I believe the PSP is more powerful than the PS2.

Actually you're mistaken, the PSP has been widely quoted as being nearly as powerful as a PS2 but not more.

Really? I always thought of it as between a PSx and a PS2. But playing monster hunter makes it look like a mid release ps2 game :)
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Zerostatic0

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#15 Zerostatic0
Member since 2005 • 4263 Posts
[QUOTE="Zerostatic0"][QUOTE="DeathIsARight"]

[QUOTE="PBSnipes"]Chances are its a good chunk of money. Its basically awatered downPS2, so the components can't cost that much. Ork_Hero

I believe the PSP is more powerful than the PS2.

Actually you're mistaken, the PSP has been widely quoted as being nearly as powerful as a PS2 but not more.

Really? I always thought of it as between a PSx and a PS2. But playing monster hunter makes it look like a mid release ps2 game :)

Well keep in mind that a PSP runs at a much lower resolution then the PS2, the games still look fine because that lower resolution is coming out of a small screen. PSP games viewed on a TV (via the PSP-2000's video output) will show all the big blocky jaggies and visual imperfections that you don't see on the PSP's screen. But yeah, the PSP is between the PSX and PS2 but closer to the PS2.