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Sony can't cut PS3 price

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coolbeans said:
Seihyouken said:
coolbeans said:
Seihyouken said:
Sorry. A substantial price cut is already unofficially confirmed.

You do realize when you say "unofficially confirmed", that's practically the same thing as a prediction, which holds no affirmity behind it.

You do realize that a "prediction" is all this thread is based off of. A poor and uninformed one at that.

It's a bit more than a prediction considering you can use simple math to figure out the losses yourself if you know how much Sony loses on each console right now + what they'll lose on the price cut.  If math means prediction to you, then sure it's a "prediction".


Less than 40 dollars per console. With HW revision on its way in the fall for the second time this year. Which they have had 3 shrunk chips already which most likely saved them about 100 dollars each time.



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coolbeans said:
JEDE3 said:
coolbeans said:
JEDE3 said:
LOL Sony CEO confirmed a price drop.


Doesn't mean anything if they don't give a release window for it.  Same thing as MS CEO or Nintendo saying a price drop will happen but comes a year or two later.


Tim window? How about however long it will take to sell 13 million before April 1st at the price they drop it at.

Ummm....okay sure whatever works for you.  Just because Sony may have that goal doesn't exactly mean they're going to slash $100 of the PS3 which could in turn make them go deeper into the red (depending on how many they sell and if software is able to pull them out).

Sony isn't expecting to be profitible by the end of the fiscal year. Considering that PS3 will be quite profitible with the 45nm Cell incoperated into the 120GB Slim PS3 coming around September, don't you think that's odd? Furthermore Sony is expecting a 30% increase in PS3 sales over last year despite the fact that they've been tracking considerably under last year's sales so far. The fact that multiple Sony representatives have hinted at an upcoming price change doesn't help naysayer's arguments either.



JEDE3 said:
coolbeans said:
Seihyouken said:
coolbeans said:
Seihyouken said:
Sorry. A substantial price cut is already unofficially confirmed.

You do realize when you say "unofficially confirmed", that's practically the same thing as a prediction, which holds no affirmity behind it.

You do realize that a "prediction" is all this thread is based off of. A poor and uninformed one at that.

It's a bit more than a prediction considering you can use simple math to figure out the losses yourself if you know how much Sony loses on each console right now + what they'll lose on the price cut.  If math means prediction to you, then sure it's a "prediction".


Less than 40 dollars per console. With HW revision on its way in the fall for the second time this year. Which they have had 3 shrunk chips already which most likely saved them about 100 dollars each time.

While I wouldn't doubt that tech you mentioned, I'd have to see a link to prove that.  If your right and it wouldn't make Sony's gaming div go more into the red than many believe then I'm sure they'll do it before their goal date.



http://n4g.com/user/blogpost/coolbeans/539766

http://n4g.com/user/blogpost/coolbeans/539767

(2-part retrospective blog on Call of Duty 4: Modern Warfare's campaign)

Seihyouken said:
coolbeans said:
JEDE3 said:
coolbeans said:
JEDE3 said:
LOL Sony CEO confirmed a price drop.


Doesn't mean anything if they don't give a release window for it.  Same thing as MS CEO or Nintendo saying a price drop will happen but comes a year or two later.


Tim window? How about however long it will take to sell 13 million before April 1st at the price they drop it at.

Ummm....okay sure whatever works for you.  Just because Sony may have that goal doesn't exactly mean they're going to slash $100 of the PS3 which could in turn make them go deeper into the red (depending on how many they sell and if software is able to pull them out).

Sony isn't expecting to be profitible by the end of the fiscal year. Considering that PS3 will be quite profitible with the 45nm Cell incoperated into the 120GB Slim PS3 coming around September, don't you think that's odd? Furthermore Sony is expecting a 30% increase in PS3 sales over last year despite the fact that they've been tracking considerably under last year's sales so far. The fact that multiple Sony representatives have hinted at an upcoming price change doesn't help naysayer's arguments either.

Well hints would fall under "unofficially confirmed" which I've already covered , plus I haven't heard anything about "45nm Cell" so could you show me a link?



http://n4g.com/user/blogpost/coolbeans/539766

http://n4g.com/user/blogpost/coolbeans/539767

(2-part retrospective blog on Call of Duty 4: Modern Warfare's campaign)

Go look up Sonys press confrence they had after FY financials came out. Sony CEO said they lose about 10% per console.

Then go look at how much the console took to make at the beining of the gen. The Sony PR guys said they should probablly be selling the PS3 for 1000 dollars. i-supply estimated it at 900 dollars which Sonys PR basically backs up.

Now if they are only losing about 10% that means that the price of the console probablly costs closer to 400 dollars now. 900 - 400 = 500.

Now you find a way that Sony saved 500 dollars on the Ps3...



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^^Alright, I'll be sure to check out but probably won't post again since I'm gonna catch some zzz's.

Edit: Won't post again 'til tomorrow, probably when the post will be dead



http://n4g.com/user/blogpost/coolbeans/539766

http://n4g.com/user/blogpost/coolbeans/539767

(2-part retrospective blog on Call of Duty 4: Modern Warfare's campaign)

JEDE3 said:
coolbeans said:
Seihyouken said:
coolbeans said:
Seihyouken said:
Sorry. A substantial price cut is already unofficially confirmed.

You do realize when you say "unofficially confirmed", that's practically the same thing as a prediction, which holds no affirmity behind it.

You do realize that a "prediction" is all this thread is based off of. A poor and uninformed one at that.

It's a bit more than a prediction considering you can use simple math to figure out the losses yourself if you know how much Sony loses on each console right now + what they'll lose on the price cut.  If math means prediction to you, then sure it's a "prediction".


Less than 40 dollars per console. With HW revision on its way in the fall for the second time this year. Which they have had 3 shrunk chips already which most likely saved them about 100 dollars each time.

When the PS3 launched, it cost roughly $840 to manufacture one 60GB unit. As of Q2, it cost roughly $440 to manufacture one 80GB unit. That's a difference of about $400 in 2 1/2 years. In that time period, the PS3 has undergone 3 major revisions.

1. August 2007 - 80GB PS3 Introduced
-PS2 CPU removed

2. October 2007 - 40GB PS3 Introduced
-90nm Cell switched to 65nm
-Motherboard redesigned and reduced in size
-Flash Card readers removed
-SACD support removed
-PS2 GPU removed
-Removed 2 USB ports
-Number and consistency of air vents reduced
-Chrome trim replaced with silver plastic

3. August 2008 - 80GB PS3 Reintroduced
-90nm RSX switched to 65nm

The large majority of that $400 reduction came from the above revisions. I'd like to point out that with all the above revisions, Sony has not once reduced the size of the console despite the fact that the internal and external parts no longer necessitate it. It has a lot of empty space both inside it and outside it and that amount of space is only going to increase with the 45nm Cell revision.



I think it's most likely Sony will pull the "model shuffle" that they did earlier in the PS3's life.

I can see them discontinuing the $399 model, and cutting the $499 model to $399, making a technical price cut that might conceivably incur fewer losses.



You're right about the 840. I thought it was closer to 900 but had to go back and check.

And your revisions is exactly my point. Sony is taking the chips down to 45nm now. If they can save 400 dollars by those revisions Im fairly positive Sony can save at least enough to make 100 dollar drop. I mean the taking away BC would cost less than 150 dollars. The price of a whole Ps2 was 150 dollars and Sony made profit from each one, and a whole Ps2 was not in the Ps3. So sony can easily drop the chips to 45nm and make another MOBO revision to scrounge up for a cut.



Next week, Pachter will buy a calculator, and take back this statement. I wonder if he gets free broken calculators.



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