superchunk said:
Using newegg....PS4 cost based on your system HD7770 - $120 to $160 - 2013 ~$90 Sony's mass price ~$70 (20%ish) 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) 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. |
Don't add marketing and R&D to a piece of hardware. Those are operating costs not associated with the unit itself. Shipping, packaging, wholesale, retail, and licensing are probably around the $100 range for a console, maybe more. Let's say the other components turn that $215 to an even $300 so adding in everything else $400. I suppose as high as $450 depending on licensing or higher costs than assumed. That is still in a reasonable range for a new system.
To continue on marketing and R&D, those cost can not be tacked on to a system. They are not divisible per unit, they are not based directly on unit sales or units available on store shelves. Those costs are already acquired (R&D) or made seperately from the system (marketing). You've been reading the nonsence people post on this site haven't you?
Before the PS3 everyone was nice to me :(