shams said:
rukusa said:
... Financially, the price cut makes sense, consoles have historically been sold at a loss until the tail end of their lifetime. The only consoles not sold at a loss are the Sega Saturn(sold at the price to manufacture) and the Nintendo Wii(sold at a $100 profit for Nintendo). Nintendo, Microsoft, and Sony make most of its money off of game licensing, not the actual console. For every game released, they developer must pay $10,000 worth of licensing fees to Sony(its traditionally been $20,000 for all 3 companies, but this was another cut Sony made to encourage developers recently). They also make a bulk of their profit from peripherals, like memory cards and controllers. ... |
BTW, the bolded part is completely incorrect. That is simply the cost of a devkit - and its only Sony that had such a ridiculous price on a PS3 devkit (Wii kits start from $2k). |
Sounds to me like a typing error. Could be what he meant initially.
