sony has lost money on every console sold. they make their money in software sales. as most "normal" people only buy one console and many, many games over the life span of their console. the only console that i am aware of that didn't cost the company a considerable amount when it was sold is the wii. but then again, the wii uses left over gamecube parts repackaged in a white box instead of a purple box, so that makes sense. even m$ has lost money on the 360s sold. it's just how the game industry works.