Microsoft Paid $50 Million for GTA IV DLC

17
Jun
2007
By Chris | 17th Jun 2007 at 00:33 GMT in GTA IV | 55 Comments
If you're wondering why it seems that only the Xbox 360 version of Grand Theft Auto IV is getting downloadable content, the reason is possibly because Microsoft have paid a whopping fifty million dollars for it.

Stock analysis website SeekingAlpha have referenced last weeks press release from Take-Two regarding it's financial results and a conference call in relation to that, where it is revealed that the million "Deferred revenue" figure is actually coming from Microsoft, who will pay Take-Two million for one downloadable episode in March '08 and the other million later on in fiscal '08 for the second episode. We can assume from this that these are likely to be the dates when we will actually receive the content, although it's not certain.
It's a long article to read in full but this is the quote which confirms the above:

as it relates to the deferred revenue chunk associated with the episodic content on X-Box 360, you can see that million of that moved into short-term deferred. Could you give us any sense of when that’s going to hit the P&L? Will we see million at one time and then the second 25 or will it be a slow bleed?

The first 25 is for the first episodic content package that’s supposed to go out and that is in March of '08. That’s why it moved into current because it’s in the next 12 months. The second 25 will be for the second episodic, the episode, and that will be later in fiscal '08.

This screenshot below shows part of the financial results with the deferred revenue figure being talked about above: (in '000s)

Posted Image


What we're trying to work out is where exactly Microsoft are getting their money back and profiting from this. Clearly they are doing this to help sell consoles as well as copies of the game, but even then, not everybody is going to buy the content, and assuming it will be priced at 800 points (that's ) - 5 million people would have to download the content just for Microsoft to break even. The actual price is not yet known and it's very possible that it will cost more than this.
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vicsrealms 17th June, 2007 @ 00:44 - Permalink
Hmm, thats interesting. Since I don't have a XBox360 yet, can anyone explain to me what this point system is? 800 points means what?
Chris's photo
Chris 17th June, 2007 @ 00:52 - Permalink
points is the 'currency' used to buy stuff from the Xbox Live Marketplace, and it works out to .
chris82's photo
chris82 17th June, 2007 @ 01:05 - Permalink
Yes, good old Microsoft Points. Well, I'll be one of the people to download the episodes. 4,999,999 to go, MS! ^_^
tilly's photo
tilly 17th June, 2007 @ 03:25 - Permalink
I CALLED IT! i said that a while ago when nobody sed it was for ps3.
Jared's photo
Jared 17th June, 2007 @ 03:34 - Permalink
Ah, I had a feeling. So they haven't moved away from Sony and PlayStation at all. To be honest I can't see the downloadable content being anything amazing, for the simple fact that they are only supporting one console, but I guess it's really to early to say.
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bigpimpininda818 17th June, 2007 @ 05:40 - Permalink
to be 800 points it has got to be really really good otherwise it woulnt be that much points
surrealistic ArtSweet's photo
surrealistic ArtSweet 17th June, 2007 @ 05:52 - Permalink
wow, this is why microsoft is one of the biggest company in the world, they even concentrate on ONE game!

i bet Sony Playstation has another strategy to beat microsoft ;) , but lets face it, they are few points ahead than sony

i guess R* wouldn't have to worry about money for a while huh? :lol:
Jared's photo
Jared 17th June, 2007 @ 06:34 - Permalink
I dunno what the whole points thing is, but I would say Microsoft has control over how many points an item recieves, so it's at their discresion as to what an item is rated, it can't represent the actual quality of it. Try and remember MS is down 50 million, so they will be looking for extra cash to fix the investment.
Harwood Butcher's photo
Harwood Butcher 17th June, 2007 @ 07:30 - Permalink
Well with the PlayStation 3 you only have to pay for games and everything else is for free.
surrealistic ArtSweet's photo
surrealistic ArtSweet 17th June, 2007 @ 07:35 - Permalink

Well with the PlayStation 3 you only have to pay for games and everything else is for free.


but still, there's no downloadable content on PS3, and those points are made for downladable, you play for nothing, no money down.
i think the advantage is for the Xbox 360
Artur's photo
Artur 17th June, 2007 @ 08:57 - Permalink
I was guessing that MS payed a shit load of money for the "exclusivity" of the content and I guess I was right. A big 50 million. :)
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Red_91 17th June, 2007 @ 08:59 - Permalink
Well I knew there was money involved but I think million is quite a bit, Chris said 5 million people would have to buy it to break even and theres only about 11 million 360 owners in the world. I think they could lose money on this
Gycu's photo
Gycu 17th June, 2007 @ 09:59 - Permalink
50 million doallars ? Who they kidnapped ? Chelsea Clinton ?
I knew that M$ has lots of money, but 50 mills for some DLC ... Still, M$ are the richest company ... Let`s not underestimate their way of making bussines, altough I doubt they`ll get some profit out of this ...

50 million doallars ? Who they kidnapped ? Chelsea Clinton ?
I knew that M$ has lots of money, but 50 mills for some DLC ... Still, M$ are the richest company ... Let`s not underestimate their way of making bussines, altough I doubt they`ll get some profit out of this ...
CroScorpion's photo
CroScorpion 17th June, 2007 @ 10:17 - Permalink
I never liked episodic games like Sam & Max, but this could be different maybe one episode can upload another with new vehicles and people, weapons and places.
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Ciaran 17th June, 2007 @ 10:58 - Permalink
Does anyone know how many people are on Xbox Live? According to VG Chartz they have sold around 10million consoles, So would more than half be signed up and would they want to pay for this extra content? I think they will loose some money on this.
But million just for downloadable content? They surely want this to sell well, but we are talking about MS here, million would be nothing to them :P
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Chris 17th June, 2007 @ 11:51 - Permalink

Well with the PlayStation 3 you only have to pay for games and everything else is for free.


but still, there's no downloadable content on PS3, and those points are made for downladable, you play for nothing, no money down.
i think the advantage is for the Xbox 360

Yeah there is, they have the PlayStation Store. But he's right, that is one advantage of the PS3 is that you don't have to pay a subscription fee for online gaming.

Does anyone know how many people are on Xbox Live? According to VG Chartz they have sold around 10million consoles, So would more than half be signed up and would they want to pay for this extra content? I think they will loose some money on this.
But million just for downloadable content? They surely want this to sell well, but we are talking about MS here, million would be nothing to them :P

Yeah well I was told that there are just over 2 million subscribers, a lot more than the PS3 apparently too (at the moment) obviously since they've been going for an extra year. I'll have to check up on that though.

I personally think MS are losing money on this, in the short term anyway. m is nothing to them though, if you take a look at their figures from their balance sheet for Operating Profit you'd see it is a LOT higher than m.


@Jared: I would imagine the price to download the DLC (in points) is agreed on between the publisher and Microsoft.
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Ciaran 17th June, 2007 @ 12:34 - Permalink

Well with the PlayStation 3 you only have to pay for games and everything else is for free.


but still, there's no downloadable content on PS3, and those points are made for downladable, you play for nothing, no money down.
i think the advantage is for the Xbox 360

Yeah there is, they have the PlayStation Store. But he's right, that is one advantage of the PS3 is that you don't have to pay a subscription fee for online gaming.

Does anyone know how many people are on Xbox Live? According to VG Chartz they have sold around 10million consoles, So would more than half be signed up and would they want to pay for this extra content? I think they will loose some money on this.
But million just for downloadable content? They surely want this to sell well, but we are talking about MS here, million would be nothing to them :P

Yeah well I was told that there are just over 2 million subscribers, a lot more than the PS3 apparently too (at the moment) obviously since they've been going for an extra year. I'll have to check up on that though.

I personally think MS are losing money on this, in the short term anyway. m is nothing to them though, if you take a look at their figures from their balance sheet for Operating Profit you'd see it is a LOT higher than m.


@Jared: I would imagine the price to download the DLC (in points) is agreed on between the publisher and Microsoft.


Well actually the PS3 has over 1.8m people signed up to the PlaystationNetwork, and they have only sold 3m consoles.

EDIT: Sorry, after doing some research the PSN has over 1.5m signed up (Not 1.8). But still, that's half of the people who own a PS3 have signed up!
Red_91's photo
Red_91 17th June, 2007 @ 13:19 - Permalink
1.5 million aint bad but I do expect more people to sign up. But I expect M$ have got robbed here, the m will make the next GTA better
Chris's photo
Chris 17th June, 2007 @ 13:48 - Permalink
OK I just checked Wikipedia and it turns out Xbox Live has over 6 million subscribers now, which is more than I thought... but there you go.
Red_91's photo
Red_91 17th June, 2007 @ 14:50 - Permalink
Still to expect 5 people out of 6 to pay for the DLC is a pretty bad plan, No wonder R* agreed
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Atticus 17th June, 2007 @ 15:03 - Permalink
Would it be wise to expect a pretty competitive price drop to comprehend the million, and tbh, if the eposodic content is much like the addons already out I can bet that they will charge 2200 MS points much like Shivering isles. GTA 4 is going to be a massive seller as we all know but Microsoft are riding a lot on this game. If the change from 'cartoony' visuals and gameplay to more realism doesn't work out and people reject the game (which is deffinitly a possibility that we can't rule out) then who the hell will even buy the content? Looky for Gatesy that he is a rich bitch and is stepping down in a year or so :P
Chris's photo
Chris 17th June, 2007 @ 15:06 - Permalink
Well I know I will get it. Most true GTA fans such as myself will do anything to get our hands on more content for GTA games. If it costs 2200 points then so what, I'm gonna get the content no matter what, I love GTA that much.
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Atticus 17th June, 2007 @ 15:11 - Permalink

Well I know I will get it. Most true GTA fans such as myself will do anything to get our hands on more content for GTA games. If it costs 2200 points then so what, I'm gonna get the content no matter what, I love GTA that much.


I love GTA too man but again, we can't rule out the possibility that the new approach may put some off, hope to god it doesn't *touching wood as i type*. To be fair and honest, I was actually going to buy the PS3 just for GTA4 because as we all know, there is something cool about reminissing the good old days of waiting in line at 12am, getting home and powering up the PS2 :P maybe it's just me...

Hope it works out for microsoft though, I know R* were questionning the abilities of both consoles, Hope they don't become biased towards the 360 because of the 5000G's Microsoft is shooving in their faces, that sort of money can put anyones concentration anywhere! who knows, R* may even port the 360 version!?! :o Crazy but possible!
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chris82 17th June, 2007 @ 15:17 - Permalink

Well I know I will get it. Most true GTA fans such as myself will do anything to get our hands on more content for GTA games. If it costs 2200 points then so what, I'm gonna get the content no matter what, I love GTA that much.


Roger that. If you really like GTA, and want to seem smart when talking about it on online message boards, then you'll buy the content.

Oh and there are strong rumors of a 360 price drop to 9 for the Core and 9 for the Premium.
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The Bossman 17th June, 2007 @ 16:03 - Permalink
I've been away for a few days due to work commitments, and I come back and see this frolicking news? If Sony get no downloadable content, that frolicking sucks, plain and simple. It's simply not fair on the other people who own, or plan to own, other consoles. I might have to buy a 360 just for GTA 4...
Red_91's photo
Red_91 17th June, 2007 @ 16:30 - Permalink
Buying the 360 solely for GTAIV is not good, imagine if the next GTA (the one after IV) gets PS3 exclusitivity.
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chris82 17th June, 2007 @ 18:41 - Permalink
Doubtful. This is because Sony's gaming division has lost so much money since 2005, I doubt they have the cash to compete with Microsoft if there were an exclusivity war. Besides, Rockstar has said in the past that they want to have the audience of both systems, and that releasing a game on only one is a huge risk. But the exclusive content is another story. This was announced so long ago, and if you didn't buy a 360, it's your fault.
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Harwood Butcher 17th June, 2007 @ 22:01 - Permalink

Doubtful. This is because Sony's gaming division has lost so much money since 2005, I doubt they have the cash to compete with Microsoft if there were an exclusivity war. Besides, Rockstar has said in the past that they want to have the audience of both systems, and that releasing a game on only one is a huge risk. But the exclusive content is another story. This was announced so long ago, and if you didn't buy a 360, it's your fault.


Sorry buddy, but having downloadable content on just one console is still a risk...not as large of a risk if they were to have the Grand Theft Auto series exclusive to one console, but a risk nonetheless.

SIDE NOTE: I'm not trying to start anything with you or anyone else about this whole thing. I'm simply debating your views, much like you've been debating mine.

No hard feelings...at least on this side.
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chris82 17th June, 2007 @ 23:30 - Permalink
It is a risk, but I think it will pay off for Rockstar in the end. I mean, ,000,000 is A LOT of development money.

I think they made a good decision.
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MrLlamaLlama 17th June, 2007 @ 23:45 - Permalink
50 million dollars... thats alot of cookies...that's alot of happy R* employees...
Wha?
Oh, right. I'm not gonna say i told you so, becaus i didn't. I thought this might happen, but good on MS, put the work in, get results out. But this doesn't change the fact i dont want an xbox.... or a PS3, because, we all (hope) it will come out on PC, and we can buy or DL the DLC, it'd work for MS, sice it'd need A windows oS to run it, so theres hope for the pC owners! w00t.
anyway, enough mass debating for today (geddit?) i'm going to bed.. Goodnight everybody!
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chris82 18th June, 2007 @ 11:06 - Permalink
You know, I'll quote PlanetGTA on this one.

I know I'll get backlash from the likes of other GTA site operators for saying this, but if you were a Sony fanboy in the past (search your feelings, you know it to be true) and were also a big, big fan of the GTA games, it is time to "switch teams." Yes yes, you'll get angry and I'll receive more angry e-mails, but it is something that needs to be said. The better experience is going to be on the 360 for GTA IV. Let me make it simple with my amazing chart creation skills:

Posted Image


Lol.
surrealistic ArtSweet's photo
surrealistic ArtSweet 18th June, 2007 @ 12:31 - Permalink
well, isn't the PS3 going to get an exclusive content too?

i mean we didn't know what it is, but arent they already confirmed it?

i prefer this episodic content! it's a good thing that i chose Xbox 360 :rolleyes:
chris82's photo
chris82 18th June, 2007 @ 13:55 - Permalink

well, isn't the PS3 going to get an exclusive content too?

i mean we didn't know what it is, but arent they already confirmed it?

i prefer this episodic content! it's a good thing that i chose Xbox 360 :rolleyes:


No, PS3 is not confirmed to get any extra content, exclusive or otherwise, at the moment.
Red_91's photo
Red_91 18th June, 2007 @ 17:40 - Permalink
Chris82 I dont understand why you think that paying million is a good deal for MS, most of there XBL users will have to buy the content to even make a prophit
Charger's photo
Charger 18th June, 2007 @ 18:09 - Permalink
That chart will be proven false, in about a year after IV's release.
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chris82 18th June, 2007 @ 19:37 - Permalink
Warned. Stop spreading mis-information. You don't know that, and by saying it, you could potentially confuse other members.
Charger's photo
Charger 18th June, 2007 @ 19:54 - Permalink
Its Obvious the content will come the PS3, and not listening to Moderators? Since when did anybody tell me anything?

Thats why I said "That chart will be proven False". I never said " DLC is coming to the PS3" So I'm not misleading anyone.

Do your job the right way....... I'm giving my opinion, so I shouldn't receive any warning.
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chris82 18th June, 2007 @ 21:52 - Permalink
1. You don't know that. Ok. You can't possibly say that because it's not true, there is no confirmation, no nothing, stfu!

2. How else will the chart be proven false other than the second cell in the first column changing?

3. I am doing my job correctly, I told OGTAM to stop saying the content will come to PS3 in this topic, you do the same.

You're free to say that you think/it's likely/it might come to PS3, but don't say "it is."
tilly's photo
tilly 18th June, 2007 @ 22:00 - Permalink

You know, I'll quote PlanetGTA on this one.

I know I'll get backlash from the likes of other GTA site operators for saying this, but if you were a Sony fanboy in the past (search your feelings, you know it to be true) and were also a big, big fan of the GTA games, it is time to "switch teams." Yes yes, you'll get angry and I'll receive more angry e-mails, but it is something that needs to be said. The better experience is going to be on the 360 for GTA IV. Let me make it simple with my amazing chart creation skills:

Posted Image


Lol.

LOL

this is all reminding me of sega vs nintendo. two great systems. sega was a lil more expensive but better and nintendo just fucked them in the ass.
MrLlamaLlama's photo
MrLlamaLlama 18th June, 2007 @ 22:30 - Permalink

You know, I'll quote PlanetGTA on this one.

I know I'll get backlash from the likes of other GTA site operators for saying this, but if you were a Sony fanboy in the past (search your feelings, you know it to be true) and were also a big, big fan of the GTA games, it is time to "switch teams." Yes yes, you'll get angry and I'll receive more angry e-mails, but it is something that needs to be said. The better experience is going to be on the 360 for GTA IV. Let me make it simple with my amazing chart creation skills:

Posted Image


Lol.

Its all true. I, myself, once an avid hater of the Xbox, today succumbed.. and suddenly, i want a 360. If you can't beat 'em, join'em, and all that...

OT:And tilly, you're right to... hehe, i have my N64 and sega master system down from the attic, so a sweet 11 week break from working to rake in some good old nostalgia....it's a good old life, nuh?

But yeah, that guy who made that chart is a genius, give him a nobel peace prize for common sense!
tilly's photo
tilly 18th June, 2007 @ 22:32 - Permalink
yay. i never hated the xbox. i just favored the ps3. but i HATED the xbox fanboys. really annoying. im planning to wait for gta for pc so i dont have to pay for dl content, can get mods, has all the extras and new version/bug fixes in it. its like a whole better deal.

but still, other than gta. i like ps3s games just a little better than xbox. i only like a few games, like halo. i also dont like how fm2 is a total ripoff of gran tourismo.
Charger's photo
Charger 18th June, 2007 @ 23:29 - Permalink

1. You don't know that. Ok. You can't possibly say that because it's not true, there is no confirmation, no nothing, stfu!

2. How else will the chart be proven false other than the second cell in the first column changing?

3. I am doing my job correctly, I told OGTAM to stop saying the content will come to PS3 in this topic, you do the same.

You're free to say that you think/it's likely/it might come to PS3, but don't say "it is."

Like I said I can give Opinions, Giving Opinions is not against the rule, I don't need to stfu as well. If I'm giving my opinion, this has to be one of the most stupidest reasons to get warned for. I can understand if I said "Its confirmed" But by saying

"That chart will be proven false, in about a year after IV's release". its just passing the line. -_-

You just saw the sentence as another meaning.
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chris82 19th June, 2007 @ 00:03 - Permalink

Its Obvious the content will come the PS3...

...Thats why I said "That chart will be proven False".


Really? I saw it as a different meaning?

You're proclaiming your thought that the content will come to PS3 as a fact. And you shouldn't be doing that. Stop it. Please see this announcement.
Charger's photo
Charger 19th June, 2007 @ 00:09 - Permalink
Yes you did.


I'm not a fanboy, why would I be playing Halo 1, 2?

I have never said "I hate 360, Wii, PS3 is the best"

And like I said It was my opinion. My opinion of DLC coming can't be heard? Who said just saying "PS3 will get DLC means your a fanboy"? Me as a PS3 owner can say it because I will be glad for it become true. I think this warning you gave is way-off

If I remember correctly that Announcement was just made.
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chris82 19th June, 2007 @ 00:12 - Permalink
Yeah, but you can't say "PS3 will get DLC," because you don't know that. It's not a fact, and by saying that something will happen, you're saying that it's a fact. It's not, and no matter how many PS3s you own will make it true.

So in the future, please refrain from saying that the PS3 will get exclusive content. As far as right now, it wont.
Kitsune Inferno's photo
Kitsune Inferno 19th June, 2007 @ 02:19 - Permalink

yay. i never hated the xbox. i just favored the ps3. but i HATED the xbox fanboys. really annoying. im planning to wait for gta for pc so i dont have to pay for dl content, can get mods, has all the extras and new version/bug fixes in it. its like a whole better deal.

but still, other than gta. i like ps3s games just a little better than xbox. i only like a few games, like halo. i also dont like how fm2 is a total ripoff of gran tourismo.


I'll agree with you on everything you said except for FM2. Forza 2 has damage modeling, realistic handling, and online play NOW. Just because it's a racing simulator doesn't mean it's a rip-off of GT.
tilly's photo
tilly 19th June, 2007 @ 03:27 - Permalink

yay. i never hated the xbox. i just favored the ps3. but i HATED the xbox fanboys. really annoying. im planning to wait for gta for pc so i dont have to pay for dl content, can get mods, has all the extras and new version/bug fixes in it. its like a whole better deal.

but still, other than gta. i like ps3s games just a little better than xbox. i only like a few games, like halo. i also dont like how fm2 is a total ripoff of gran tourismo.


I'll agree with you on everything you said except for FM2. Forza 2 has damage modeling, realistic handling, and online play NOW. Just because it's a racing simulator doesn't mean it's a rip-off of GT.

everything but the graphics is exactly like gt4. exactly. my friend has it and i have 4 for ps2. he brought it over to my house cuz we had 2 other people there and we played games. fm2 is very very much like it in the tuning, the racing, the levels and also the AI that is totally perfect that never ever makes mistakes. they even copied the speed and turn director.
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Mpilk901 19th June, 2007 @ 17:40 - Permalink
Why not just screw the content and hurry up with IV! Im pissed at R* and I despise MS. Used to love Sony but they got crappy, still get there stuff though =]
Gycu's photo
Gycu 19th June, 2007 @ 18:06 - Permalink
If Sony pays to R* 50 mills, PS 3 will get DLC in no time :) ...
chris82's photo
chris82 19th June, 2007 @ 18:53 - Permalink
Sony doesn't have the assets to do that right now, their gaming division is losing so much money...
MrLlamaLlama's photo
MrLlamaLlama 19th June, 2007 @ 18:59 - Permalink

Sony doesn't have the assets to do that right now, their gaming division is losing so much money...

Yeah,. but i doubt they would anyway, they are in no postion to satart a moneyfight with MS....
Mpilk901's photo
Mpilk901 20th June, 2007 @ 14:56 - Permalink

Sony doesn't have the assets to do that right now, their gaming division is losing so much money...

Yeah,. but i doubt they would anyway, they are in no postion to satart a moneyfight with MS....

Yeh they really would lose badly. I mean the fact that Microsoft just throw 50 million for exclusive content on there console is crazy. I think it's stupid because there not going to get any money back by doing that. Oh well another sign of Microsofts stupidity.
Urbanoutlaw's photo
Urbanoutlaw 20th June, 2007 @ 15:31 - Permalink
I think Sony shot themselves in the ass w/ the release of the PS3, specifically not putting enough units out to cover the initial demand. I don't think of myself as a fanboy but i always preferred the PS until the PS3 release. The prices they were getting on e-bay were beyond insane. Enough said on that, back to topic.

For a company as big as MS, mil isn't such a big deal, especially if they spend it to corner a market. They buy an exclusive
on a hot title & they know people will buy their console to get the exclusive content. In turn, the sales of their consoles go up.
Now a lot of people have a console they spent a bunch of money on so they buy other games for it. On top of that, they claim
the original mil as advertising & write it off on taxes.

In the end they get it all back + more.

As Homer Simpson said, "Just because I don't care, doesn't mean I don't understand."

Either way, I'd hate to see MS get control of R*.
MisterHIan's photo
MisterHIan 24th June, 2007 @ 04:10 - Permalink

If Sony pays to R* 50 mills, PS 3 will get DLC in no time :) ...


Screw that Sony should suddenly make a payment of 0 mill in September to get it released immediately, to make the market explode.

Sony doesn't have the assets to do that right now, their gaming division is losing so much money...


Are you joking me, two years ago in their financial report they released it said the majority of their profits came from their blockbuster Spiderman 2, and with Spiderman 3 earning even more than that I think Sony couldn't possibly have more money right now, as long as they keep pumping out blockbusters Like Casino Royale and The Da Vinci code.

Besides that even if Sony's gaming division went down, like Square Pictures, the parent company would come back and make FF7: Advent Children, having said that many forget when they draw comparisons, between the Dreamcast or the Saturn and the PS3 that Sega was only a Gaming company just as Nintendo is only a Gaming company, they don't make consumer electronics or own large record companies, or Movie Studios.

So in REALITY Sony or the Playstation will never go the way the Dreamcast or Sega went, also it took Sega two failures to stop making consoles (not including the Sega 32X), so anyone drawing comparisons and saying Sony is gonna go down is a fool.
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chris82 24th June, 2007 @ 04:58 - Permalink

If Sony pays to R* 50 mills, PS 3 will get DLC in no time :) ...


Screw that Sony should suddenly make a payment of 0 mill in September to get it released immediately, to make the market explode.

Sony doesn't have the assets to do that right now, their gaming division is losing so much money...


Are you joking me, two years ago in their financial report they released it said the majority of their profits came from their blockbuster Spiderman 2, and with Spiderman 3 earning even more than that I think Sony couldn't possibly have more money right now, as long as they keep pumping out blockbusters Like Casino Royale and The Da Vinci code.

Besides that even if Sony's gaming division went down, like Square Pictures, the parent company would come back and make FF7: Advent Children, having said that many forget when they draw comparisons, between the Dreamcast or the Saturn and the PS3 that Sega was only a Gaming company just as Nintendo is only a Gaming company, they don't make consumer electronics or own large record companies, or Movie Studios.

So in REALITY Sony or the Playstation will never go the way the Dreamcast or Sega went, also it took Sega two failures to stop making consoles (not including the Sega 32X), so anyone drawing comparisons and saying Sony is gonna go down is a fool.



Hmm...okay, yeah...

Sony had a net income of about billion in 2006.
Microsoft had a net income of billion in 2006.

So, Sony is probably NOT going to pay Rockstar 1/10th of it's income to have the content.

1. Sony is a fucking shady company, friggin putting DRM on people's computers, having racist PSP ads, shitty batteries, fake movie reviewers, etc...they keep that kind of thing up and they'll be gone in no time

2. Well, gee, George, billion vs. billion, I think I'll take the company with a ton of more money.

3. Sony lost 0 million on the PS3 launch. The PS3 is killing Sony.

4. The Dreamcast died because it didn't play DVDs. If it did, I bet you that Sega would still be making consoles today.

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