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Demotruk said:
letsdance said:

"Our updated analysis indicates that the initial bill of [production] materials for PS3 could approach $900," read the report. The report said that the production cost of a single Cell processor will be $230 at launch, with the Blu-ray drive setting Sony back $350 per unit. However, the $900 price tag presumably includes a $100 optional hard drive, as a breakdown of component costs in the report totals just $795.

If the $900 estimate is correct, that means the PS3 would have to sell for around $775-$800 to maintain a $100-$125 per-unit loss similar to that of Microsoft's Xbox 360. If the $795 estimate is correct, the console could sell for around $699--within the range recently forecast by a group of analysts and developers polled by CNN/Money.

 

This week, iSuppli conducted a similar cost-analysis study of the PlayStation 3--with even more shocking results. According to the study, the hardware for the 20-gigabyte PS3 costs $805.85 alone--$306.85 more than the stated list price of $499. The 60GB model hardware costs $840.35, $241.35 more than the console's $599 sticker price

 

That figure also doesn’t take into consideration the costs of packaging, software, royalties, and marketing Sony has to pay out.

$795 does not equal $900. Components are what the PS3 has been judged on at all times, are you suggesting that they've made massive savings in software, packaging, royalties and marketing...?

Well the slim covers packaging while the psp go covers packaging and software savings and anyways this is US they're loved more by Europe