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Conina said:

But these are only the material costs, some others costs will add such as licensing costs (for used patents) and special taxes. For example, in Germany manufacturers have to pay a fee of €16  for every sold mobile device with a touchscreen and less than 8 GB memory. Mobile devices with a touchscreen and 8 GB or more are taxed with €36... so €20 more additional to the increase in manufacturing costs: http://de.wikipedia.org/wiki/Pauschalabgabe

So Sony would have to price a 64GB-model at least $60 higher than the model with 0 or 1 GB internal memory, a 128-GB-model at least $90 higher than the model to not increasing their loss for every sold Vita. And even then, they would hurt their accessory sales. A 64-GB-model would probably be sold for $100 more than the 1GB-model, a 128-GB-model for at least $150 more than the 1GB-model... anything less could even hurt their smartphone and tablet prices:

"Why is the price difference between 1GB-Vita and 64GB-Vita only $60, but $200 between 16GB-Xperia Z2 and 64GB-Xperia Z2? It is the same NAND flash memory!" many customers would ask.


However, they've just stripped out one of the Vita's biggest costs in dropping to LCD while in Europe actually increasing the cost of the system. So when they can get the manufacturing costs down a bit more, it would be perfectly viable to include a decent amount of onboard memory. 

I also don't think many people at all would mention them being the same NAND flash memory. Most customers only know they have onboard memory that lets them save things and the more they have the more they can save.

However, they wouldn't sell the 1gb Vita anymore, it would replace it as the new SKU and they can easily slash the old 1gb Vita stock at a $50 discount whilst clearing out old supplies.

Why is OLED 3G Vita £130 while inferior LCD Vita is £180? Clearing out the previous stock despite OLED screens costing more than LCDs.



RIP Dad 25/11/51 - 13/12/13. You will be missed but never forgotten.