Sony Computer Entertainment CEO Kaz Hirai: PlayStation Network Still Not Profitable

Sony Corporation’s (NYSE:SNE) CEO Kaz Hirai recently spoke to Reuters Japan, where he slipped a bit of news that the PlayStation Network is still not turning a profit.

Part of the issue is that PSN is free, and dependent on user content purchases, while Microsoft charges for server use for anyone who wants to play online;  Marketplace content is available to anyone.

Sony recently added “PSN Plus” which charges $70 a year, but so far, there’s been little incentive to subscribe. Recently, Sony offered M.A.G. free for PSN Plus users, with the restriction that players could only get their characters to level 8 without purchasing the game. (Fortunately, all experience points earned while at level 8 would be added on purchase.)

Hirai said that sales on PSN topped 36 billion Yen this year, which translates to $430 million. In three years, Hirai expects PSN revenue to top 300 billion Yen.

Jonah Falcon is a blogger for TMRzoo and and covers all gaming consoles and platforms including Sony Playstation 3, Microsoft XBOX 360, Nintendo Wii, Sony PSP and computer games designed for Mac OS, Microsoft Windows and Linux operating systems. Jonah provides his readers with reviews, previews and up to date gaming industry news and rumors.

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