Profit Numbers: Nintendo, Sony (Game Segment) and Microsoft (EDD Segment)

[Bitmap Frogs]

Alby_da_Wolf said:

Bitmap Frogs said:

It's not me who's attempting to figure out costs on something comparing apples to oranges.

 

I never claimed to pass my rough calculation off as precise, but I don't think saying  [(Cell - Xenon) + (GPU PS3 - GPU XB360) + (BD-DVD) + 80GB HDD + (other components cost difference)] < $200 is totally unreasonable.

If you are implying that we really can't figure out for sure whether XB360 is profiting or losing, I can agree, we can't indeed, as (Edit) I based my rough estimate only on cost difference, so if PS3 cost is down enough to make it profitable at $400, chances are that $200 XB360 arcade is too. If on the contrary you are saying for sure that my estimate is totally wrong, well, do a correct estimate that prove mine wrong (to prove me wrong you have to prove wrong the inequality above and prove that PS3 is breaking even or profiting). If my reasonment is only partially wrong, or simply not demonstrable, then the answer is unknown.

 

You don't know manufacturing, packaging costs, royalties, yields, etc...  you just assume they are equal and go from there. 

Your estimation can't be right unless it happens by chance. I don't need to make a pig fly to show that you can't get a pig to fly.

So since we've resolved that we can't estimate the cost on the machines themselves (as you say, it's unkown), it's back to square one.

Square one is Sony Gaming division losing money with two healthy endeavours (psp, ps2) so overall the ps3 business must be losing money. As for Microsoft, we know the division is turning a profit, but wether the console itself is sold at a loss or not can't be known since it's obscured by the other projects.

As a result, we know the ps3 is a money-losing enterprise so far, but we don't know how the 360 is doing.

Shall we proceed?