Wednesday, May 9, 2007

Analyst predicts 15% growth in software sales for Sony

News Image
The PlayStation 3's production cost has been a hot subject this week, and for good reason considering the fact that many analysts have believe it is one of the console's biggest hurdles to market domination. Months after launch, analysts are still criticising the console's high production cost, and the latest firm to throw in its two cents is Lazard Capital Markets: “We continue to believe that a significant pre-holiday ramp in PS3 unit sales is unlikely without a more robust title line-up and/or a hardware price cut,” said the company's analyst, Colin Sebastian.

Just last week, iSuppli estimated that Sony loses about USD240 for each unit sold, although Sony is already taking steps to decrease production costs. With mass production to aid the Japanese giant, the cost of producing components such as the infamous blu-ray diode is expected to fall soon.

In his report, Sebastian also predicted strong software sales for Sony in North America, a 15% increase in fact. "We believe videogame sales remain generally healthy year-to-date despite tougher year-over-year comps for the remainder of 2007. We continue to expect solid 15 per cent plus growth in software sales in North America this year," he told investors.

No comments: