Does Tretton also know that when supply is abundant, like in a million units, compared to the demand, the prices drop? Economics 101 Jack...

Does Tretton know he's talking crap, ps3 is losing support every day as devs shift their focus to the Wii and 360. They're rumored to be losing something like $240 per console and even if they get their costs down by the end of the year, they will simply have to cut the price by the same amount to survive, so the $240 loss per unit will remain for some time. Are Sony worried, you bet they are!

"...we're into this for the next 10 years and beyond".
^^^^ 10 years? LOL

In 5 years you'll see the next generation of Nintendo & Microsoft game consoles. By the next 5 years you'll see the next generation after that. So if the PS3 can't even deal with the 360 and the Wii… what makes Sony think the PS3 can handle the consoles that will supersede the present ones that are kicking PS3's butt NOW?

And the PS2 NEVER had it this bad. Never. I'm tired of reading some apologists trying to compare the PS2 with the PS3 like if history was going to repeat itself... It's a totally different thing now. Oh! but history will repeat itself. But in a different way. Sony will experience what Nintendo went through since the Nintendo 64 days when it fell from the top spot in the hearts and minds of gamers. You guest it..it's Sony's turn!

Fact is Sony makes most of it's money through software sales. So they'll probably manage just fine. They do however need to make the public aware that the PS3 is so much more than just a games machine. their advertising is rubbish. I love my PS3, it's a great bit of kit and for an equally spec'd Xbox 360, I'd have to pay £500. So weirdly it's a bit of a bargain.

Even if they were all in Japan where it's the cheapest, and all the 20Gb model, that's nearly $500 million worth of goods just sitting there and they're making a loss on everyone of them anyway, so to them it's much more than half a billion.