Sony: Their only good product is the PS3
Well, Sony, in the 1970s, used to be a company who produced high quality products which could be relied upon. Indeed, this was the case into the 1980s as well.
However, since the late 80s the quality plummeted. Two cases in point, a TV I bought in 1990 and a HiFi I bought at around the same time both died horribly within 5 years and the sound on the TV was terrible too. (This contrasts with the Pye (Philips) TV bought in 1984 which is still going strong.)
Sony stuff is basically tat now, it's not surprising that their profits are shrivelling.
As for the PS3, it's a good product... i.e. it's a great Bluray player which happens to play (a small selection of) games as well. ;-)
Seriously, though, they would have shifted a heck of a lot more units of the PS3 if they'd have kept hardware PS2 compatibility as the amount of PS2 software out there (and still being produced without PS3 versions) is large. Despite the extra costs per unit involved I'm sure they'd have been able to recoup the costs easily with a smaller margin but higher sales.