Hypothetical: What if the PS3 was $150 right now

[jarrod]

CommonMan said:

Grimes said:

CommonMan said:
I believe Kevin Butler said it best "Price check in aisle BOOM!"

360 would be out of business (if were talking holding it's price steady, which would be suicide) and the PS3 and Wii would be neck and neck.

Sombody would be out of business, I'm not so sure it would be MS or Nintendo.

Well actually, if we're holding everything but the ps3 price constant in this hypothetical, they would be losing ~$150-170 per unit and selling millions. So for every million sold, Sony'd lose $1.5 to 1.7 billion. So if they did their 13 million projected they would be down around $20 billion. Not sure they could sustain that for very long, even with increased software sales. It would kill their tie-ratio as well, since they would become impulse purchases.

No, they're already losing an estimated ~$37 on each PS3 unit just for assembly.  That doesn't include cables, controllers, boxing, transport logistics, or retail markdown.

At $149, they'd probably be losing at least $200 or more per unit.