Source: http://www.afterdawn.com/news/archive/13741.cfm

 

I think the PS3 has made a lot of progress and I agree that when the hardware can be produced cheaper then it will become profitable and soon after a success.

 

PlayStation 3 will be profitable by August, says analyst

22 April 2008 17:48 by Andre "DVDBack23" Yoskowitz

Nikko Citigroup analysts have upgraded their rating for Sony Corporation citing their anticipation that the company will break even or even turn a profit on the PlayStation 3 beginning in August.

If their prediction is accurate, then Sony will break even at least three months earlier than analysts had previously speculated. Sony itself was not sure when it would hit profitability on the console and Sony's Kaz Hirai said that the company would was shooting for the fiscal year beginning April 2008.

Sony has always said that PS3 production costs will only ever hit break even point when the "65nm Cell processor and the 90nm are shrunk to smaller, cheaper-to-manufacture sizes, and that comes with the side effect of drawing less power and creating less heat."

It should be interesting to see when profitability occurs because may lead to more price cuts for the consumer.

already posted, but thank you for your time and effort.

Ah OK, thanks Torillian

Sorry guys.

hope so. then they can start making some money off of it.

also once they make money for a while, a price drop isn't far off.

Good news anyway! Missed the last posted article so thanks for posting :D

Hope this leads to Sony thinking about more price-cuts and also keeping the brand strong! Keep those games a-flowin' :D