| bdbdbd said: Well yeah, the model requires the customer to buy blades. This becomes problematic when your razor has functions that doesn't require you to buy blades, such as BD player. The more "non-blades" you have on your device, the more stupid the model is. The first Playstation wasn't sold at a loss, as far as i know, but it didn't make that much money because a huge amount of games was sold at a laughably cheap price, which hit the licence revenue and Sony didn't have strong first party, so the profits came mostly from 3rd party licences, instead of strong first party sales. |
This is something I hadn't thought of. It makes sense that its a losing prosition for Microsoft to sell Xbox 360 Arcades to people who just use it as a media extender and Sony to sell people a fancy Blu Ray player. It also explains why so much of the added online functionality of the Xbox 360 is attached to the Live subscription and why they are unlikely to add many if any new services which are not attached to an obvious revenue stream. It also doesn't make sense for Sony to sell people an underpriced computer either and I wonder if this is the reason why the idea of a PS-computer hasn't gone very far.
The original PS may not have been sold at a loss, but it couldn't have been sold for much of a profit if they made as little as they did on hardware + royalties. Even $1 per game should have netted them more than they made.
Tease.
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