Taking off our version of sales tax the PS3 retails here for US$378 that's a $40 excess over the PS3 manufacturing cost. That $40 will be chewed through pretty quickly with packing, distribution, controller, cables, marketing, retailer cut and subsidising the US consumer.
If the 120Gig HDD is $38 whats the 250Gig? $50? $60? They are sure breaking even, or better, with the $250Gig sku.
“The fundamental cause of the trouble is that in the modern world the stupid are cocksure while the intelligent are full of doubt.” - Bertrand Russell
"When the power of love overcomes the love of power, the world will know peace."
Jimi Hendrix