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Libellule this is the thread you are alluding to. I posted it on the fourth. There is a serious concern apparently that the 360 has been seriously under tracked in the others regions for the numbers to vary by that kind of scale. Obviously if suck a spike went almost unnoticed then perhaps the European numbers may be further off then expected.

http://www.vgchartz.com/forum/thread.php?id=6516&start=0#end

Microsoft is actually losing less money then Sony. I invite you to look further into the financial reports. Nobody knows if Microsoft has reached hardware production price parody. However it is a good guess with the introduction of the falcon that production costs will drop for them far faster then for Sony who has had to modify their design. Further more Sony has failed to meet their manufacturing goals by a far larger margin then has Microsoft. Which has slowed their cost reduction. strategy. Allow me to enlighten you with a article.

http://www.jolt.co.uk/index.php?articleid=8631

Now look at the front page Sony has only moved 4.5 million units world wide. They finally moved their initial shipment in Japan last month, and they have not even finished off the 5.5 million units they shipped stated in the article. They are still eating the larger production costs. Meanwhile Microsoft has moved on to machines with reduced production costs. This all points to one realization. With the PS2 sales slipping, and they will get worse now over time. Sony is actually losing far more on each machine sold, and even their licensing fees are not on par with Microsoft. Which can generate far more with bulk and quality. Not to mention their first party windfalls. They are going to make mountains of cash this holiday season. A billion dollar loss on repairs is paltry in comparison.

I am not entirely sure why people think that Sony is making any more money on their machines now then at the beginning of the year. The sales do not bare that out. Sony might play with funny math, but we sure as hell do not. Even if the latest machine has cut the production costs in half. That machine will not sell till some time next year at the current trends. Meanwhile Microsoft is probably selling their second or third shipment lot at this time. Come the holidays they will be on their fourth or fifth.

The numbers do not lie Sony is still losing as much money on machine sold for each market as they were losing to begin with. The only bright spots are the 80gig, and the European neutered models. Both of which have been stripped of the emotion engine. God I am glad I am not European they got screwed bad. They got it late, stripped down, and over priced. I wonder if that is a factor in these charts as well.