127

Sony's future price cuts influenced by the um... unhealthy USD

StarJet | April 05, 2008 | Industry News | Playstation 3 Playstation Portable 
So, the dollar is not doing quite well these days. It's slowly going down and the Yen is slowly picking up. This means that Sony has somewhat lower production costs, and as a result they gain more profits. This in turn gives them the ability to do further reductions on their products (Mainly the PS3).
"As to the situation of the US dollar's weakness in the medium to long term, we already have a strategy to deal with it," said Ryoji Chubachi, Sony president, according to MSN Money.

"We will lower our production costs as possible as we can and we will choose production sites to cope with the industry's weakness, and in the short term, we will try to accept more orders."

For every JPY 1 gain versus the US dollar, Sony loses around JPY 6 billion (USD 58.3 million / EUR 37.5 million). In the past year the yen has moved from an exchange rate of 111 to the US dollar, to 102.5 - representing a loss of around JPY 51 billion (USD 496 million / EUR 318 million) for Sony.

News Story attached to:
6 comments | go to source (www.gamesindustry.biz) | Add to favorites! favourite this article | send to friend
Related Articles
77 Details about Sony's future PSN video service (1)comments June 26, 2008
157 Looking ahead from E3: What does this year's show tell us about the future fortunes of Sony, Microsoft, and Nintendo? (13)comments July 18, 2008
116 Sony has no plans for a PS3 price cut (23)comments July 13, 2008
62 Sony says no PS3 price drop at Leipzig GC (7)comments August 18, 2008
129 Sony lost $3bn on PS3 price reduction (14)comments June 23, 2008
Register as a member to subscribe comments.

Comments with -10 or lower "thumbs" are removed from display.

  • 1 thumbs!
    Guticb | April 06, 2008
    Haha, I love the picture.
  • 0 thumbs!
    theundertakergonzo | April 06, 2008
    This is interesting to say the least. But i see there method to lower the prices to gain profit as they will do more sales. It's a good idea for them to say the least.
  • 1 thumbs!
    Fusion | April 06, 2008
    I will admit the dollar is weak, but hey, if that means we get price-cuts on video game systems, I'm all for it.
    • 1 thumbs!
      StarJet | April 06, 2008
      You're parents aren't gonna be happy.
    • 1 thumbs!
      slumpy monkey | April 06, 2008
      Trust me.. You wont be saying that when your savings are worth jack.
  • 0 thumbs!
    Chris7689 | April 06, 2008
    when exactly will these price cuts go into effect??

This news story is archived and is closed to comments now.

Submit Newshelp

Recent Forum Threads

Sep 07, 08 by Gothic Girl
Sep 07, 08 by tekmosis
Sep 06, 08 by Donnelly
Sep 06, 08 by lord monkey
Sep 06, 08 by Gothic Girl
Sep 06, 08 by Dark Arcanine

Recently Approved

Chrono Trigger - Marie, Lucca and Chrono Trailers
1 hours 34 mins ago
Game Center CX 2 Announced
3 hours 32 mins ago
Weekend note: Can you play games when you're upset?
4 hours 41 mins ago
Sneak peeks into the PS3, 360, and Wii versions of Star Wars: The Force Unleashed
4 hours 43 mins ago
The Aberrant Gamer - What Women Want
5 hours 36 mins ago
The start of the Xbox 360 problems
5 hours 45 mins ago

Last Commented

Sneak peeks into the PS3, 360, and Wii versions of Star Wars: The Force Unleashed
19 mins ago
Weekend note: Can you play games when you're upset?
25 mins ago
The start of the Xbox 360 problems
26 mins ago
Sarcastic Gamer parodies Wii Music
1 hours 14 mins ago
The Aberrant Gamer - What Women Want
1 hours 24 mins ago
Dead Space banned in three countries? Game Politics doesn't buy it
1 hours 27 mins ago

Top Games

Halo 3
Halo 2
Halo Wars
Halo 2 Multiplayer Map Pack
Halo
Mercenaries 2: World In Flames
BioShock 2
Dead Space

Top Contributors

This Month
Twisted 370 pts
Tyranitar24 349 pts
Silver Mir.. 306 pts
chautemoc 260 pts
Gothic Girl 228 pts
Cruxis Mana 209 pts
Dark Arcan.. 198 pts
Akira_EX 187 pts
Linkin Par.. 161 pts
Deathsythe 137 pts
All-Time
Gothic Girl 18460 pts
Krunal 12319 pts
Linkin Par.. 10405 pts
chautemoc 9791 pts
Final Blade 9293 pts
Silver Mir.. 9076 pts
xsynergyx 7909 pts
Akira_EX 7828 pts
mistermostyn 7668 pts
Tyranitar24 7142 pts

Stats

Today
Published News: 1
Comments: 15
Points Given: 44
Users Registered: 0
This Month
Published News: 159
Comments: 1035
Points Given: 2286
Users Registered: 25
All Time
Published News: 11166
Comments: 76362
Points Given: 180572
Users Registered: 595

Latest Images

Weekend note: Can you play games when you're upset?
The Aberrant Gamer - What Women Want
The start of the Xbox 360 problems
Dead Space banned in three countries? Game Politics doesn't buy it
Top 5 game sales per system on Amazon in week 36, 2008
September 5th 2008 - PS3 Video Update
Call of Duty: World at War Release Date Revealed
Dante to make a appearence in MotorStorm: Pacific Rift?
New Screenshots of Need for Speed Undercover
Nintendo Planning New Widescreen DS?

Videos

Chrono Trigger - Marie, Lucca and Chrono Trailers
Sneak peeks into the PS3, 360, and Wii versions of Star Wars: The Force Unleashed
2 New Motorstorm videos: watch out for racers and lava
Wii Music Commercial - So Are The Drums Any Better?
Sonic Chronicles 'The Vision' Trailer
LittleBigPlanet iPod Style Commercial
New Resistance 2 Video Gives You Cabin Fever
Tales of Hearts; CG Version vs Anime Version
Dissidia Final Fantasy DKS3713 Promotional Video; Kefka Unveiled
Wii Music guitar commercial ... Let's face it, it's just an expensive air guitar!

Conventions / Trade Shows

(0.0829/d/aeon)