PS3 profitability -- Breaking down Kaz' statement

[Torillian]

I read this: "At $399, the PS3 is still losing money. And it is losing enough that if you take the software, peripherals and profits, likely as well as those from the PSP and PS2, it is still not clear that it will be profitable on the whole, but it will probably generate a gross profit. However, at $299, and losing nearly an additional $100 per unit, that may not be a foregone conclusion."

Which sounds to me like you aren't accounting for the Slim costing less at all. You never mention it, so how could reading your post more thoroughly change anything.