You will be redirected back to your article in seconds

Sony’s vidgame arm sees layoffs

PS3's slow sales spurs $1.9 bil operating loss

Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday.

The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the U.S. Sony’s handheld PSP device, while doing better, is also lagging behind Nintendo’s DS.

Last quarter, Sony’s videogame division had an operating loss of $1.9 billion.

However, sales of the PlayStation 2, which is still available and has a very broad library of games, remain healthy.

“In an effort to accurately align the company to meet the changing needs of our consumers and of our industry, Sony Computer Entertainment America has found it necessary to analyze our current business and to restructure the company as necessary to continue our standing as the market leader,” company said in a statement.

A spokesman wouldn’t specify the exact number of layoffs or which divisions were hit but said no games or projects that have already been announced would be effected.

News was first reported on videogame blog Kotaku.

More Scene

  • The Future She Built

    Inventor of the Inclusion Rider Discusses Why the Initiative Is Necessary at Panel

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

  • Independent School Alliance Awards

    Charles King, Nina Shaw Toast Tim and Vicky Mara Story at Independent School Gala

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

  • I Feel Pretty premiere

    ‘I Feel Pretty’ Directors Say They Were ‘Disappointed’ After Backlash From Trailer

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

  • Levis Coachella brunch

    Coachella 2018: The Biggest Celebrity Appearances and Surprise Performances of Weekend 1

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

  • Coachella Music and Arts Festival

    The Politics Behind Beyonce’s 2018 Coachella Performance

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

  • Salma HayekUnicef Ball, Show, Los Angeles,

    Salma Hayek Pinault Urges Attendees to Support Global Children at UNICEF Ball

    Slow sales for the PlayStation 3 are taking their toll on Sony’s U.S. vidgame division, which laid off almost 80 of its approximately 1,600 employees Wednesday. The high-powered and expensive PS3 is selling significantly fewer units than Nintendo’s lower-priced Wii in both the U.S. and Japan and is also behind Microsoft’s Xbox 360 in the […]

More From Our Brands

Access exclusive content