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Actually its not that bad of a deal since the deal also includes R&D to constantly shrink the RSX cutting manufacturing costs for the GPU and console. Plus you guys are forgetting how many PS3s have actually been sold. If the PS3 was a total failure then yes this would be a ton, but its not. I actually believe Microsoft probably has paid AMD just as much in royalties for the 360's GPU. Cost per console started at like $70~ when the PS3 was launched. Now it probably costs like $20 max. Next revision it will drop again by at least 15% for the GPU and the rest of the console due to shrinking the PSU, and mobo.

Sony has made several billion off the PS3 so far, this is actually a drop in the bucket now.



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Amazing discussion about being wrong
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