osed125 said:
Both did lose money during the first year, the following years were profitable. Also there's the fact that Sony other divisions were extremely profitable at the time (especially TVs which is now in a very difficult position). They could take the losses very easily, and one of the reasons they decided to go the same route with the PS3 (and obviously didn't worked for them). Loosing money on hardware is a very risky business decision, companies try to avoid as much as they can, but is something they most do in order to have an attractive price point. |
unfotuneatly people don't seem to realize what a deal they're getting on game systems even when you sell them at a loss. If you went out and tried to build these things you would have to spend over $600 easily (especially considering they get significantly more performance out of those same components). I think they should start out at $500 since most people wait for the first pricedrop and every pricedrop gives them a sales boost. Why start at $400 when sales will drop off quick when you can start at $500 and cut price to $450 the following Fall to give yourself a boost. Obviously it gets to a point where this gets stupid and no one would start at $700 or whatever but I'm saying that $500 can be accepted by hardcore fans and make a profit hopefully for a little and then you just have to hold out for long enough to not have to have an ambassador program. In the end as WiiU and Vita have shown us you just gotta create an enticing product. WiiU is lower than the other next gen systems most likely but it's not selling because it looks like a 7th gen console and people just aren't excited.
