Sony Gives More Info on PSN Investment and Online Revenues; PS4 Sales Timing in China Still Undecided

Sony Gives More Info on PSN Investment and Online Revenues; PS4 Sales Timing in China Still Undecided

This morning Sony published quite positive  results for the first quarter of the current fiscal year, and a briefing for overseas  investors Chief Financial Officer Kenichiro Yoshida, Corporate Executive Hiroki Totoki, Senior General Manager Kazuhiko Takeda and Sonyof America Chief Financial Oficer Steven Kober provided further color on the situation of the business.

First of all it was mentioned that Sony sees the trend of more than half PS4 users also subscribing to PlayStation Plus continuing for the foreseeable future.

Yoshida-san also gave more information about the investment which will be made for the PSN, that was mentioned in the briefing for Japanese investors this morning.

Our forecast included investment in networks. As you know, currently we have almost 52 million users and as you may know PS4 has social networking features that double or triple total traffic and sessions. That requires the network investment to handle those kind of sessions and traffic.

As for the progress of the investment, we have been investing, but we are forecasting significant increase in the later half of the year, during the year end season in November and December, so investment in the network services will be increased in the latter half of this fiscal year.

About of the order of magnitude of the investment, that has quite the magnitude, but at the same time the magnitude is almost at the same level as the payment fees level.

Interestingly, he mentioned that PlayStation Network  revenues are 1.5 times higher compared to the same period in fiscal year 2013.

As for the network revenue, we’re currently making 1.5 times the revenue compared to the last fiscal year

He also gave mentioned that upcoming debut of PS4 and the PlayStation brand in China is still up in the air timing-wise, even if a partnership has already been created:

I recognize that one of our competitors has begun business in China and we also recently made a join venture with a Chinese partner and we’re going to release a game business in China. As for the actual sales timing we haven’t  decided yet.

To the question if 2015 would be a possible forecast for the beginning of the PlayStation business in china, the response was simply “we haven’t announced a launch schedule yet.”