FishyJoe on 03 July 2007
| bdbdbd said: I don't know the correct number of PS3:s manufactured, but i would estimate, that 50% of them are sold. So, if the "expensive" (meaning that rumored 800 to manufacture) PS3:s are on the store shelves, they can't drop the price before those have been sold, it would mean big losses to stores selling the PS3 and they wouldn't like it, unless Sony would compensate it somehow. And since PS3 isn't selling good, it takes time to empty the shelves. |
Precisely, they will undercut every retailer who has already has a big pile in their stores. And by all accounts, there has been a lot of channel stuffing going on.
In addition, some of these cost reductions come from economy of scale. You can't continue to pump a million a month out if only 200k are selling. If you only produce 200k per month, then you won't get the volume discounts that you would at a million per month.
