IHS is also optimistic about the
PS4's overall profitability saying that «lower research and development costs for PlayStation 4 hardware, additional revenue streams from online service subscriptions and a more aggressive transition
to higher margin digital content
sales are combining
to strengthen Sony's games business outlook even in the face of increased competition from cheap Android consoles and alternative devices eating into
consumers» gaming time, including smartphones and tablets.»
This analysis CAN NOT account for
PS4 sales, which will obviously bring the company back as they are poised
to win this generation based on pricing and overall
consumer preference towards their system.