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^^
iSuppli estimates only materials, workforce and a few other things' costs and, I guess from the single cost they list, they compute also reseller profit margin in those costs. But they say quite clearly that some costs aren't included. Sony in its reports obviously accounts for not only manufacturing costs but for all of them, there are other expenses, research and development, process refinement and a lot of other things that aren't accounted for in single unit's manufacturing cost. When HW starts being sold at a profit it starts covering all those expenses not included in manufacturing costs, but I'm persuaded like you that it can't by any means totally cover them right now, as if there is already a profit on HW is still very tiny and in the worst case a tiny profit in EU could still be nullified by losses in USA. Also, the largest part of HW produced in the last six months was sold for Xmas, and started being produced and stockpiled months before, so the largest part of this HW was sold at a loss in USA and, in the best case, breaking even in EU, this means that it's perfectly possible PS3 is starting to produce small profits on HW right now, but still not enough to recover past losses: smaller quantities of HW sold at a still very small profit now added to much larger quantities sold at a bigger loss some months ago results undeniably in an overall loss for H2 FY 2008, and most probably also for Q4 FY 2008.



Stwike him, Centuwion. Stwike him vewy wuffly! (Pontius Pilate, "Life of Brian")
A fart without stink is like a sky without stars.
TGS, Third Grade Shooter: brand new genre invented by Kevin Butler exclusively for Natal WiiToo Kinect. PEW! PEW-PEW-PEW!