Sony CEO Howard Stringer is adamant the the Wii "isn't hurting us". He adds that the console has found a new target group, one which Sony once held with SingStar.

Stringer though was happy with the way that Sony was tackling the market now, stating that the company was happy to focus effort more on the hardcore gaming audience.

"PlayStation games are rather designed for those who play a lot. Although it's a different strategy, it pays off. We currently have a production bottleneck with the PlayStation 3."

"You also know, however, that our business model is not perfect, and that we make a loss on every console we sell," admitted Stringer.

"Nintendo makes money with the hardware alone, which may be a superior business model. But the Wii is not succeeding at our expense - it is not hurting us."

Will Sony ever make back the $3 billion it spent developing the PlayStation 3 though? Stringer didn't think it likely, saying that he wouldn't expect to see that kind of return for as long as he lived.