Forums - Sony Discussion - Sony expects to immediately recoup PS4 hardware loss

A typical customer purchasing a PlayStation Plus subscription and one launch title will make the PlayStation 4 hardware profitable for Sony.

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Sony expects to be able to immediately make up the loss it will incur when selling PlayStation 4 hardware, the company has said to Eurogamer.

 

Sony Japan executive Masayasu Ito said the loss, as Sony will sell the PlayStation 4 to customers for less than it costs to manufacture, will be recovered with typical users buying a subscription to PlayStation Plus and at least one launch title.

Eurogamer adds that Sony expects to make a $60 loss on each PlayStation 4 sold for $399, but Ito would not confirm the exact figure.

Ito also added that the losses Sony will make from selling PlayStation 4's will be less than the company incurred selling the PlayStation 3 at launch.

In August, Sony executive Andrew House said the PlayStation 4 "will not generate anything like the losses we did for the PlayStation 3."

One of the reasons Sony expects to save money is in its decision to use off-the-shelf computer parts. The PlayStation 4 features an APU developed with AMD, featuring an 8-core 64-bit processor and a custom Radeon GPU.

The PlayStation 4 will launch on November 15 in North America for $399, and on November 29 in Europe for €399/£349.

Source: http://www.gamespot.com/news/sony-expects-to-immediately-recoup-ps4-hardware-loss-6414743



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Can anyone here try to guess how long it will take for them to break even on selling the hardware ?

well, hate to break it to you Sony, but not everyone uses PS Plus/pays for Online.



i thought sony will sell the ps4 without loss? 



cheesecake said:

well, hate to break it to you Sony, but not everyone uses PS Plus/pays for Online.


Yeah, too bad for sony... they wont profit from me because i wont buy ps+ just two games and an extra controller



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Not too bad. So basically they are giving you the ds4 for free.

Max King of the Wild said:
cheesecake said:

well, hate to break it to you Sony, but not everyone uses PS Plus/pays for Online.


Yeah, too bad for sony... they wont profit from me because i wont buy ps+ just two games and an extra controller


Actually they'll probably profit from those 2 games and 1 extra controller.  Accessories (I've worked in retail) always bring these companies their biggest profit, so does software.  You're doing them the same favor, just in a different way.



TheShape31 said:
Max King of the Wild said:
cheesecake said:

well, hate to break it to you Sony, but not everyone uses PS Plus/pays for Online.


Yeah, too bad for sony... they wont profit from me because i wont buy ps+ just two games and an extra controller


Actually they'll probably profit from those 2 games and 1 extra controller.  Accessories (I've worked in retail) always bring these companies their biggest profit, so does software.  You're doing them the same favor, just in a different way.


Haha... that was exactly my point. Read the post i was responding to. He made it seem like ps+ was the only way to profit since that was the only thing specified



Sony must love me then, 3 games, extra controller, PS Eye, and PS+. I alone will take care of 3 total consoles losses

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So they aren't counting R&D in "Hardware loss".

Still, only $60 loss. That's quite impressive considering the specs. It will be interesting to see if that turns out true. (Seems hard to imagine considering assembly, packaging, shipping, advertising.)

So who knows what he's including/not including in the statement.