Is the Xbox One a failure?

[Protendo]

Landguy said:

its obvious from your various posts, you are now the official "DDR3 is more expensive" guy.  You have beat that dead.  See Bold above^^^

Point is, these arguments are based on guesstimates of what the cost to manufacture, package,ship, advertise, warranty.  How can we really know?  So, you guess one number and they guess another.  You have to just accept that there is no "winner" in these arguments.

I agree. Only the number he is using is being used out out of context. The original number didn't include those fees which are including to calculate profit/unit. The original number wasn't a measure of profit. The $396 was just an estimate for the cost to make and produce the system itself. So the math is invalid. You can't use numbers for manufacturing costs and use that as profit. There is a lot more to profit than manufacturing costs alone. He's taking other sources and using the information out of context.

Quoting:

The total cost of the Xbox One to make and produce is $471. By comparison, it's $90 more than the PlayStation 4, which totals $381 in production costs. The Xbox One's Kinect carries a $75 price tag of production, not nearly at the $100 mark estimated by gamers, but it's close enough.

Sharpryno said:

Ram prices have gone up for other reasons; DDR3 has nothing to do with that.  But they've barely rised.  Still much cheaper now than it was a few years ago.

 

DDR3 is now a legacy technology. When technology becomes legacy, prices start increasing instead of decreasing. The other factors you mention are things that just hiked the price up quicker than we typically see.