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Marty8370 on 23 December 2008
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starcraft said:
Marty8370 said:
starcraft said:
It appears to not factor in assembly costs, as well as distribution and storage costs. This is not good. I thought they were substantially closer to breaking even than this.

I wont speculate as the how much those factors add to the $448.73 component cost, but even if it's only a few dollars its a hefty loss for those looking for a price cut soon (like yours truly) so as to pick up the console.

It states the amount of parts used in PS3 production has gone down by 30%, so no doubt assembly cost will have gone down also.

More PS3 production cost reductions are expected Feb/Mar 2009. That's when Toshiba starts Cell & RSX production at 45nm.

Everything you say is technically accurate, but ultimately misses the point.

Right now, in the holiday season, Sony is losing over fifty dollars per PS3 sold.  Even if the changes expected (but not guarenteed) in March come about, they wont save the console enough to make it substantially profitable, if profitable at all.  Are you expecting Sony to finally make it to barely breaking even only to drop $50 off the price again immediately?

 

Once production of PS3 chips are 45nm, thats defo the break even/ or even a small profit.

No, I don't expect sony too pass on a price cut straight away. Summer 2009 is quite possible thou. Sony has gone on record saying that 2009 they will price PS3 agressivly.