As PS3’s production costs have been cut in half recently, prices of the SKU’s lowered, and software sales on the rise, Sony’s game division has begun making some money and posted profits for the last financial quarter — Sept-Dec’07, where Sony sold 4.9 million units — meaning the big three are now all profiting from their console businesses.

Sony also upped their sales forecasts for the PSP from 10 million to 13 million units. But on the flip side, cut PS3’s sales forecasts from 11 million to 9.5 million units by the end of March.