How much does a ps4 cost Sony to make?

[bonzobanana]

SWORDF1SH said:

bonzobanana said:
There is a lot of consumer brainwashing when it comes to manufacturing costs. It's in the interest of manufacturers do get consumers to perceive their hardware as great value but the factory door prices are much lower than people realise. A realistic factory door price for ps4 is probably around $80-120.

Here in the uk the Raspberry Pi is sold at £4 for the small version which is a profitable price for all concerned. This pi is made here in the UK which is expensive to manufacture goods compared to China and yet is a full uncased computer even given away on a UK newstand magazine.

It's like the Switch pro controller. Probably in the region of $3-7 to manufacture but going by many people on this forum they somehow think it would cost $40 to manufacture or more even.

I struggle to believe this.

A PS4 surely cost a lot more than $80 to make. Nothing adds up. 

Why? 

You can get a ps4 slim in the uk for about £200 including VAT.  That's £166 plus VAT. The shop makes lets say 8%, thats £153. Let's say the wholesaler gets 4% a unit thats £147. 

Then you have in the mix;

transport costs from the port, shipping costs, import duty costs, profit for Sony, profit for foxconn, sony costs including money towards marketing costs, R&D etc. Then add an allowance for warranty costs and repair, maybe a 5% failure rate within the guarantee period. That would be quite a low figure but possible.

All these costs add up.

I saw a report that bicycles were coming out of a Chinese factory at $20-30. That's something in a box weighing 15-20kg with a lot of metal and labour involved. Ok that would be bottom end bikes I'm sure but staggers the mind how something can be made so cheaply. Yet the same bike will probably hit walmart at $80-100 although admittedly transport costs would be much higher.