howyoudoin on 26 July 2007
I agree they would lose quite a bit of money, but they are actually in better shape when it comes to their game division. They lost almost $300 million that quarter when microsoft lost $1.9 billion (not counting the extended warranty charge then about $800 million). It really depends on how fast they can cut costs. The $499 prices has to hurt them but those 60gb units were already manufactured last quarter (I'm guessing there so I may be wrong)
If they keep the price at $499 during the entire FY07 they aren't going to come close to hitting that 11 million mark
