That's not the model anymore. Sony is making a profit on every PS4, unlike their previous consoles. They are also making SaaS money from PS+, and that has exploded with the release of the PS4. In no way do consoles resemble razors anymore. We may never know, but I'd be really curious as to how much Sony pays publishers to get their games on PS+.
edit: In fact, games these days more closely resemble movies without the theater layer. Although platforms are not universal like DVD or BluRay, development is as close as it's ever been. It's very easy to develop on PC and then squish onto PS4 and X1. PS+ is basically Netflix. Retail games are the previously mentioned discs, and the digital versions are Amazon Instant Video/iTunes/etc. The one key difference is that the hardware makers also have the services.
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