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yeah, $1 is high. 

 for DVD royalty comparisons, i can only find the following:

http://www.videobusiness.com/article/CA618849.html

 which is 5 cents per.

"Overall, with patents on hardware included, some industry analysts have put the total DVD royalty costs passed onto the consumer at $700 million over the life of the format. "

Let's be generous and say BR roylaty costs passes onto the consumer is $7 bln.

Say Sony gets $1 bln.  That still doesn't cover PS3 development costs.  It's proof that Blu-Ray is just part of Sony's strategy, and if the PS3 concept as a whole fails, Playstation brand might not survive. 



the Wii is an epidemic.