Damian Thong, a Macquarie Research analyst shared his ‘intel’ and expects the PS5 will be released in the second half of 2018, which will ‘’capitalize on it expanding software sales’’ according to Damian Thong.
Although just last week, we’ve seen the successful launch of Horizon: Zero Dawn, (which is the number 1 game right now) Nio, Nier: Automata and more, Sony still wants to push the gaming industry. Of course, Sony's main competitor Microsoft will be releasing Project Scorpio at some point during 2018. It's enitrely likely that Sony will want to push the boundries of console releases and de-throne Microsoft for releasing the world's most powerful console.
Thong said that we’ll be seeing a profit increase of 13% for Sony in 2018, which means it’ll be at an all-time high of ‘’JPY 565,6 billion for the fiscal year, which ends in march 2019. There’s a big chance this profit will even get bigger after the fiscal year if the PS5 becomes the main console. Thong identified three ´´catalysts´´ which will ensure a 13% profit in 2018. These three catalysts are:
o Image Sensors
o Gaming And Network Services
o Fewer Write Downs
Thong said the Gaming and Network Services will ensure the biggest part of the 13% profit of 2018 and that the Playstation 5 (PS5) is set to release to release during the second half of 2018. Sony also invested $1 billion on their pictures division in January but the picture division definitely isn’t the biggest and most important catalyst. Here’s what Damian Thong had to say about the PS5/Sony profit:
“We see sustained profit growth in Game & Network Services. We forecast OP growth from ¥140bn in FY3/17 to ¥180bn in FY3/18, driven by expanding software sales and profits. A rising digital ratio and a higher mix of first-party titles will help margins – Horizon Zero Dawn, which launched on 28 Feb, looks to have had a good start with a Metacritic score of 88. While we have tempered expectations to account for rivalry with Microsoft/Xbox and PC gaming, we note that the success of PS VR (which has reached 915K units sold) highlights the health of the ecosystem. We expect Sony to launch a >10 TFLOPS ‘PS5’ in 2H18 to secure the installed base.”
This shows that Sony wants to spend more money and time on their Playstation because they expect they will be selling more in the future, especially with the release of the PS5 in 2018. Currently, we’re waiting for games like Days Gone, God of War 4, The last of Us 2 and more to release on the PS4 but with the great games like Horizon: Zero Dawn and plenty more do we really need these huge titles or would it be a good decision to delay these games till next year so that Sony can create hype for the PS5, just like Nintendo did with Zelda and the Nintendo Switch. We believe so
Let us know down below what you think about this news!