The production costs of the PS3 are high because of the Blu-Ray drive and the Cell, and considering that Blu-Ray will be a lot cheaper (and with more layers) and the Cell will be a known CPU, there's no excuse for Sony to make a cheap machine with ease of development, all they need is a Cell upgrade (more PPEs and SPEs), a better Video Card, lots of more RAM and a faster Blu-Ray drive with a firmware that can handle more layers... That machine can be built and sold at 300-400 with even profits (or a really small loss with better margin for software gain)...







