Well it appears all those battery recalls and and shoddy product launches is finally catching up with Sony Corp. It announced Thursday that it was cutting its net profit forecast by 38 percent to 80 billion yen (about $676 million).
Sony expects to rebound from this next spring as sales of the PS3 accelerate and user loyalty begins to march once again. I, however, am skeptical. It will be selling the PS3 at a deficit and the system has already shown poorly vs the Nintendo Wii. It seems that Sony is putting all of its eggs in a basket that is about to get stomped on.
Sony cuts outlook on battery recalls, games [Reuters]
Didn’t people say the same about the Gamecube vs. PS3? I think so many people underestimate the Sony Playstation.
I agree with Keith. PS3, even it doesn’t become the outright #1 next-gen platform, is certainly going to make a significant positive impact on the Sony books from all the third-party licensing, accessories, as well as the potential impact the platform could make on sales of Blu-Ray.
Sony has had a bad year…but it did recall millions of batteries (with only a dozen or so actual incidents which could be blamed on the OEM or Sony depending how you view the situation) and it still has some of the most stylish products in consumer electronics. This is definitely not the end of Sony.