Anybody think 8 gb of GDDR5 is a mistake for PS4

[Chark]

ironmanDX said:

That's a good point. Now we just have to wait for the price to be announced at E3 or whenever they decide to do it.

As I said before though, the initial install base will not be enough to offset the losses. Say it costs $500 at launch (parts alone cost this not including r&d, shipping, adverts etc, so I thought it a good figure as an estimate.) To offset the loss per customer they'd have to spend another $100-150 and that's if it doesn't come bundled with a game already which would put the price up again slightly higher.

It now costs around the same as the ps3 at launch for everyone if they buy enough to make Sony break even at launch. (please read that carefully people, I'm not saying the ps4 will launch at $599.)

Close...but the estimated hardware costs are around $400 not $500. Maybe $500 after shipping and packaging so that's where I place the $100 loss if the PS4 is $400 at retail. A huge difference from the $800-$840 cost of the PS3 for Sony. Things like R&D and advertisment is not part of the cost breakdown. Those are seperate items than can be attributed to the project itself, the R&D being something they have been funding for years now.

The PS4 is highly pointing towards a $400 launch price, perhaps with a second sku at $500. The loss will be much smaller this time around on a per hardware basis and a R&D basis. Sony is setting itself up for a decent profit flow shortly after the launch instead of years afterwards with the PS3 just to make up for R&D.