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I remember reports saying the PS3 was said to be selling at break a year ago. Sony decided to launch the PS3 Slim last year to further save on manufacturing costs and increase sales of the PS3 to expand its market share.

What about advertising and marketing and distribution and storage costs? The foreign exchange rates would result in the PS3 being sold at profits and losses in different regions. Maybe this is a cost estimate for the PS3 in the US only?