Major Nelson: 'PS4 vs X1 a marathon, not a sprint, we know what we have to do'

[Max King of the Wild]

askel50 said:

Discounts were limited in quantity and  time span, normally at $499 they are making a good profit. And the X1 console is less expensive to manufacture than PS4 because of the DDR5, they have more freedom to cut the price if they start selling kinect separately.

And the esram that the XB1 uses off sets the cost that DDR5 vs GDDR3 has. So.... in that simplistic way of thinking, no. MS doesn't have more room to cut the price.

But hold on.... it gets more advanced then that. Since Ps4 is beasting and Sony is manufacturing WAYYYYYY more ps4's than estimated then the cost sony estimated of the ps4's is probably lower than expected.

But wait, there's more. MS has to have contracts with part manufacturers, warehouses, and factories. If they have a contract for lets say enough parts to make 20million Kinects... then what do they do with the remaining 15m? Break the contract? In that case they still need to pay for the 15m parts but they just wouldn't recieve them. Accept the 15m parts and let them sit around in storage wasting money? Just fulfill thier end of the contract and include kinect until the contract runs out?