Andrespetmonkey said:
outlawauron said:
Andrespetmonkey said:
Conegamer said:
Carl2291 said:
Nintendo wont be making a loss at launch, will they?
$250 for the console, controller and a game? Really? |
Sounds like it. The rumoured components are only going to cost around $160 (tech has moved on so much that tech even twice as good shown in the PS360 can be found for this price) judging from threads and leaks, and the game won't cost anything really. The controller probably costs $30 to make, which leaves $60 to play with in terms of shipping, VAT, import costs, retailers cut etc., so I'd imagine Ninty would break even or make $10-$15 profit on each unit at that cost.
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So retailes cut is more like $30-50 and not $90 eh? ;) So my calculations were semi-accurate.
I never forget.
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Retailers cut is much smaller than that. Retailers make next to nothing on hardware. Like literally $1-$5 on hardware, they make nearly everything off of software.
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Brilliant! Source would help, but I'm forwading this to conegamer anyway :D
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I only have my personal knowledge with contracts made with Sony and Microsoft through two retailers I worked at. I worked at a local store whose contracts were far less favorable than most stores. How much they made varied heavily (60% on a shovelware title, but they only brought home $2 on each copy of Madden on Ps3 and 360), but the hardware margins were very similar to when I worked at Circuit City.
Circuit City was a big box retailer, and they still couldn't get anything more than $5 off any piece of hardware at full MSRP. That said, they still didn't have as much power as Wal Mart or GameStop, so the prices may vary once again.
