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drkohler said:
superchunk said:

Now demonstrate how those scenarios would equal out in estimated cost and estimated wattage. I like your reasoning, but I think its not realistic.

Good question...

A 7770 GPU chip is around 125mm^2 (roughly same as the cell). OEMd in large quantities in 2013, I'd say $30 for Sony.

A10-5600 street price the boxed version just under $100. plain chip, OEMd in large quantities, I'd say $40-$50 for Sony

4G ram, 1G GDDR5 ram $40.

Blu-ray $20, harddisk $40,  rest of stuff on board $40 (high, but needs more than two dual-phase voltage regulations as it is now).

board $10, power supply $30, case, assembly $10, things I forgot now $50 (like controllers, cables now that I reread it)

Grand total: around <=$300 manufacturing

so product price intially $450 possible.

XBoxNext: roughly the same (but they can spend money as they like)

Using newegg....PS4 cost based on your system

HD7770 - $120 to $160 - 2013 ~$90 Sony's mass price ~$70 (20%ish)
A10-5700 -  (5600 is A8) $120 - 2013 ~90 Sony's mass price ~$70
4GB RAM - (very fast ddr3 to match CPU) $30 - 2013 $25 Sony's mass price ~$15
 - There is no GDDR ram as it what's on the APU plus the ram on system.
Blu-ray - $50 - 2013 $40 Sony's mass price ~$20
250 HDD (2.5") - $60 to $100 - 2013 ~$60 Sony's mass market price ~$40
Controller - $25

That's a sub-total of ~$215 without a lot of other components, licensing, packaging, etc. Those things should easily double this price to around $420. Keep in mind that this is just the cost of goods. This doesn't including shipping, marketing, R&D, and other things I'm forgetting. All in all this would be closer to a $600 system in order to sell at a basic profit. (for reference, 3DS at launch was broken down to a cost of ~$120 and at $170 we know it is losing money.. probably had a break even closer to $200 and that difference in material cost and final cost is going to grow as the systems weight, size, and components grow)

So by my ballpark, Sony would need to sell this for upwards of $500 to appease its investors and still have a large loss. There is no way Sony is aiming for a base system of over $400. No way. Plus, most people are arguing for more RAM on top of that, bigger HDD or SSD, or even newer GPUs etc.

Now for X360 based on your other post. (keeping simple with some stuff from PS4)

HD7770 - $120 to $160 - 2013 ~$90 MS's mass price ~$70 (20%ish)
AMD FX8-8150 - $190 - 2013 ~$130 MS's mass price ~$100
4GB RAM - (very fast ddr3 to match CPU) $30 - 2013 $25 MS's mass price ~$15
Blu-ray - $50 - 2013 $40 Sony's mass price ~$20
250 HDD (2.5") - $60 to $100 - 2013 ~$60 Sony's mass market price ~$40
Controller - $25

Sub-total of ~$245. Same logic as above brings it to a basic price ~$620. Rest of logic is same.

There is no financially viable way you'll see tha type of system from MSony. It simply makes no sense. EVen if I'm being crazy with the full cost price and I should not be essentially doubling it from the subtotals above, its still in the $350 as a MINIMUM for either system. Then you add the shipping, marketing, R&D, etc as I did above and you're looking at a full cost of $500 as a minimum. That MAYBE would work but I think its really streaching the realm of possibility as that's the base price not including anything MSony does to compete directly with the gamepad. Nothing for a Kinect bundle or a Move bundle or if Sony does what Sony usually does a Sony bundle with its own gamepad or kinect style setup (cost more than Move).

I just don't see how that would make any sense to either company; even considering selling at a max $100 loss at launch.