Vita forecast to breathe new life into Sony
Friday, February 24, 2012 2:01 PM
Sony's latest console the Vita, which means 'life' in Latin, has been forecast to revitalise the company's flagging consumer products and services department.
Strategy Analytics predicts that, assuming a price cut is implemented sometime this year, Sony will sell 12.4 million units of the Vita globally in 2012, generating $2.2 billion (£1.39 billion).
This will generate annual revenues of $1.2 billion (£0.76 billion) per year for Sony, although due to low profit margins on hardware, this will not save the company entirely.
However, with a further $800 million (£506 million) coming from Vita-related software sales, the console's contribution will be significant.
Jia Wu, senior analyst for connected home devices at Strategy Analytics, said: "The real value of the PlayStation Vita is its drive for content revenue growth and its strategic position in Sony's entertainment ecosystem."
The Vita launched in Europe and North America this week and a sales boost is much needed after the console was comprehensively beaten in Japan by the Nintendo 3DS.