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dsp333 said:

Machiavellian said:

I believe the difference is that MS is not taking a huge loss like Sony.  If anything MS is probably breaking even or with game sells, XBL and gamepads and other hardware probably is making a profit. 

Sony is taking a loss on the PS4, but it's a tiny one. One is either taking an almost non existent loss or breaking even depend on where you look. They're both supposedly making profit after purchase of LIVE/PS+ and a game.

The reason the One costs more to produce despite weaker hardware is due to the Kinect and the fact its wafer is nearly one and a half times the size of the PS4's due to the ESRAM gamble not paying off while Sony's DDR5 gamble did.

I was only doing a comparison to the PS3 launch and the X1.  They are different in that MS is not taking a loss so there is no pressure to cut out features to bring the console to a price point people will want.  The X1 is selling and as long as MS produce games gamers want it will probably continue to keep selling.  

On this board people only care about how many units sold but there is so much more to the business process then marketshare.  Do anyone think Sony could ever do another PS3 again where you have loses for a good part of the time the unit is on the market.