Pachter: 80 gig PS3 price drop once the 60 gig is gone, PS3 - $399 by 4/08'

[HappySqurriel]

ssj12 said:

FishyJoe said:
If they keep cutting prices, when is Sony going to make a profit? 2009?

And when will they dig themselves out of all billions in losses? 2015?

 actually they can cut production costs greatly, they only lose like $60 on the 80GB right now without including Motorstorm in the package. 

 I dont think they have moved the RSX and Cell to 65nm yet which once that happens costs will drop another 100 - 150 dollars easily. 

Honestly, I don't trust analysts' estimates on the price of systems because they assume far too much ...

Personally, I think it is realistic to expect that Sony priced the PS3 at $600 because (over the 12 to 18 month period where they anticipated the PS3 would be sold at that price) they expected that their total cost would be lower than their total revenues. I imagine that the $100 price cut (to $500) and a potential additional $100 price cut (to $400) would represent real long term losses regardless of whether their manufacturing costs had come down.