This week’s episode was delayed due to serious Windows issues this past week. The episode was saved, however, and is 90 minutes full of discussion. The podcast deals with a lot of console hardware rumors.
The news items include:
All this and Listener Feedback.
Every day we’re hearing of a company running through a round of layoffs or going out of business, it’s really not a happy time. Sony is not immune to the economic troubles either. Sony is talking restructuring and that involves a potential head count reduction of 16,000 jobs due to plant closings.
This leaves Sony with some hard decisions. Restructuring can mean drastic changes that effect all their product lines. The PlayStation 3 isn’t currently a shining example of high profit margins. The console needs time to reduce its overall cost, chip sizes and bring profitability. Is it in danger?
“Sony’s not in a position to halt all domestic production but it has to do something that drastic,” said Mitsushige Akino, chief fund manager at Ichiyoshi Investment Management. “If it announces plans to move production overseas while keeping only planning and development functions in Japan, that would be a positive.” (gamestooge)
The yen is losing value in our global economy making it more difficult to export the product and build any type of profitability plan. “A source said this month the company will likely suffer an annual operating loss of about $1.1 billion, its first such loss in 14 years” (news.yahoo.com) All this noise is making CEO Howard Stringer contemplate Sony’s involvement as a “software only” company, making us recall the changes at SEGA to this same result.
The Financial Times reported Sony will unveil details of its restructuring steps on Wednesday or Thursday. It said Chief Executive Howard Stringer was meeting with resistance from some executives to shifting the company’s focus to software from hardware and cutting jobs in Japan. (news.yahoo.com)
Is this just a case of a fearful executive trying to lay plans for a more stable future? Software is easier to develop, pays for itself quickly and becomes pure profit as it ages. Hardware requires constant upkeep at manufacturing facilities, chip reductions and a boat load of quality planning for first shipment. Would Sony go full software?
Let’s face it, Sony isn’t SEGA, they’ve been developing hardware for consumers since anyone can remember and they’ve been doing it with quality and market penetration. It seems absurd to think they’d forgo hardware designs in replacement of a full software solution to the problem. In addition, Sony has already invested a large amount of cash into seeing PS3 through it’s 10-year plan and letting that die now is realizing a huge loss on investment.
If Sony pushes through the economic and maintenance course, the PS3 will become highly profitable, much like the PS2 last generation (with a slower ramp up for sales). Even if they break even after ten years it seems a lot better than throwing all the effort away.
Perhaps Howard Stringer is talking “software” for the next generation home console? You think Sony will create a PlayStation 4?
The regular podcast is back, after the Dr. Who outtakes podcast last week. The show runs a little long but it’s full of insight and wonderfulness. Mostly. This week’s Gaming Flashback is the classic arcade motorcycle racer Hang-On.
The podcast also has two week’s worth of news items, including:
Plenty of Listener Feedback, but no Question of the Week – just ask us anything.
The TD Gaming Podcast reaches its big 700th episode milestone, but unfortunately it covers some boring industry news about Microsoft, Activision, Lies of P, and giantesses in Baldur’s Gate 3.
The news items include:
Let us know what you think.
[Music by Mr SoundX Studios]
I liked the auction house in Diablo 3 because it allowed for more gear homogenization; if my character got an item that did not help that specific class as much as another item, I could possibly auction that loot and buy a better suited one.
The 6 TFLOPS available on Scorpio make it comparable to an overclocked RX 480, so it might be capable of running Doom without dynamic resolution scaling, and consoles use low-level APIs similar to Vulkan, but we don’t know the CPU specifications.
Thank you for mentioning me!