Sony Feels the Burn

Well it appears all those battery recalls and and shoddy product launches is finally catching up with Sony Corp. It announced Thursday that it was cutting its net profit forecast by 38 percent to 80 billion yen (about $676 million).

Sony expects to rebound from this next spring as sales of the PS3 accelerate and user loyalty begins to march once again. I, however, am skeptical. It will be selling the PS3 at a deficit and the system has already shown poorly vs the Nintendo Wii. It seems that Sony is putting all of its eggs in a basket that is about to get stomped on.

Sony cuts outlook on battery recalls, games