Thread: roflcopter
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Old 09-15-07, 05:46 PM   #6
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Join Date: Aug 2003
Posts: 2,682
Default Re: roflcopter

Originally Posted by Mr. Hunt
I am sure in evilchris' little world this is a sign of Blu-ray costing Sony BILLIONS!@
Simply, as the Cell was a joint venture between Sony, Toshiba, and IBM, the only viable place to sell technology related to the Cell is to the other partners. Should Sony want to sell to someone else, there would be intellectual property concerns with the sale and use.

Now why exactly would Sony want to sell any of their businesses? The answer to that is simple as well, Sony as it stands has been loosing money in a number of their divisions. One of the big ones, as it is a cyclical affair, is gaming. Sony gaming = the Cell. I imagine investors do not like this.
Gaming had:
196.6 billion yen in gross earnings.
-29.2 billion yen in net earnings.

Compare this to the consolidated chart:
Sony made 66.5 billion yen in net earnings.

From this you can say that the gaming division ate near 1/3 of Sony's net profits.
As we all know in the 1st QTR 2007 the gaming division posted
to be competitive Sony dropped the price of the PS3 in QTR3 2007 and has yet to report their financial statement for that quarter.

Of course the most interesting stuff is buried deep in on page 18 which states at the end of QTR1 2007 that Sony has
3,551,852 Million yen in short term debt and 4,754,826 Million yen in long term debt, with only 799,899 million yen of cash on hand.

What all that basically means is that Sony still is working to restructure their business to reduce their debt, and selling parts that do not perform as well as they would like is a easy way to do so.
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