MDMAlliance said:
Andrespetmonkey said:
A $50 loss on each PS4 wouldn't do anything to Sony. Every buyer will give them it back and more within 6 months of owning the system through game sales and subscriptions to PS+, netflix etc. $100 loss and they'd likely be fine too. Once you get to around $200 then it becomes dangerous, because they could run out of money before they start seeing a return, but like I've pointed out before a $400 console that breaks even could trounce the Wii U in technical capabilities.
edit: in 2013, and easily in 2014.
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I don't really think so, unless the Wii U ends up selling for $249-300. Sorry, didn't get how this was related. Also, a $50 loss on each PS4 probably wont do much if it sells every PS4, but you failed to mention that if the PS4 doesn't sell very much, it's $50 per PS4 PLUS how much it cost to produce each PS4 that is being lost, on top of many other things.
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If the PS4 doesn't sell much then they're screwed even if they make a $50 gain, because hardly any software will be sold and it probably won't make up for the R&D and other costs. Point is software is their main source of $, and software is not only the base games but now it's microtractions, PS+, app subscriptions (sony gets a share) skins/themes etc. and who knows what else next gen... So infact now they'll be even more inclined to take a loss on hardware because now there's even more ways to make it back through software.