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Forums - Sales Discussion - How much do the platform holders earn/lose per sold console?

Do anyone have any indication of how much Sony, Microsoft and Nintendo earn/lose per sold console?

Sony just announced  "significant increase was primarily due to PS4 hardware cost reductions" and the price of PS4 has pretty much stayed the same.

While Microsoft have reduced the price of Xbox One several times.



Don't copy random editorials.

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50$ loss for MS with 350$ price and 20$ profit for Sony for 400$ price for the launch model 



nobody really knows. what we know is that Sony has been making profit on PS4 hardware for about a year now.



bananaking21 said:
nobody really knows. what we know is that Sony has been making profit on PS4 hardware for about a year now.

 

http://www.extremetech.com/gaming/174239-ps4-sells-4-2-million-units-in-2013-beating-the-xbox-one-comfortably

http://allthingsd.com/20131119/teardown-shows-sonys-playstation-4-costs-381-to-build/



We have no idea since platform manufacturers do not specifically disclose such information usually ...

We only have estimates based off the costs of parts and shipping or revenue/profit ...

If I had to guess I'd be like this right now ...

30$ profit for each PS4 unit
20$ loss for every X1 sold
50$ profit apiece for WII U ?



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Ruler said:
bananaking21 said:
nobody really knows. what we know is that Sony has been making profit on PS4 hardware for about a year now.

 

http://www.extremetech.com/gaming/174239-ps4-sells-4-2-million-units-in-2013-beating-the-xbox-one-comfortably

http://allthingsd.com/20131119/teardown-shows-sonys-playstation-4-costs-381-to-build/


the first article says nothng at all. its all just speculation, and bad speculation at that.

the second article is from november 2013, doesnt take into account the nature of economy of scale, assumbling costs, shipping costs, and the cut of the retailer in all that. Kaz said last year that they started making profit from PS4 hardware sales, and thats pretty much all we know about it. 



We know Sony & Nintendo make profits selling their hardware at current prices... thats about it.

Im going to assume the same isnt the case with the xbox, since they havnt come out and said anything about it, unlike the other two. Also the Xbox started at 499$ but is now selling at 349$ (thats a 150$ price drop).

*edit:
The CUH-12000 model of the PS4 are supposedly cheaper to manufacture than the older models (which still sold at a profit).

 

Anyone else think Sony is able to do a price cut to 349$, and sell the PS4 at a small profit or break even (like zero profit, but zero loss)? with the newer model?



Ka-pi96 said:
fatslob-:O said:
We have no idea since platform manufacturers do not specifically disclose such information usually ...

We only have estimates based off the costs of parts and shipping or revenue/profit ...

If I had to guess I'd be like this right now ...

30$ profit for each PS4 unit
20$ loss for every X1 sold
50$ profit apiece for WII U ?

That seems unlikely. If they were making that much per Wii U I'm sure they would have had a price cut by now to stimulate sales. A year or so ago Nintendo said they were making profit, but only because they stopped making new Wii Us and were just selling the ones they already have, that was awhile ago though so things may have changed since.


I'm always annoyed when people quote that (the article where they say that), and say "The Wii U is confirmed sold a a profit!"



Microsoft probably breaks even or makes a small loss on Xbox One consoles, but then makes up for it through Xbox Live subscriptions etc.

Sony makes a profit. 

Nintendo makes a small profit.



Also, the X1 didn't have an $150 price drop, it had a $50 one. Unbundling the Kinect won't have lost Microsoft any money.
Just clearing up a blatant myth spread by the haters.