| Imaginedvl said: You should probably post your official source about BOM, also why Sony would not include everything else required to develop a console (R&D, production cost, licencing for some technologies used, etc..) and finally the $500 price that always was 500$ (sorry missed that official announcement). This thread makes no sense, let's stop talking about prediction. If you say so, must be true, my bad :) |
The bolded part... it just doesn't work that way. At least not anymore. This isn't like back in the PS1/PS2 era when every single component that goes into a console is custom-built. Now, the APU comes from and is based on AMD technology, the SSD controller is based on Physon tech, RAM comes from Samsung/Micron, NAND flash from micron/Samsung... Sony/MS aren't spending the proverbial "billions" in R&D, they are just making custom orders for certain components from established OEM suppliers with slight customizations.
As for the cost or pricing, you need to just look at the costs of the components, you can literally see the exact type of RAM MS is using based on its model number from Samsung on their website, and with a little more digging you can see what it would cost and average OEM to acquire it. This is how we knew before XSX specs were officially released this year that MS was using a mix RAM (2GB and 1GB chips) from that teaser video they did last year. This is why some of us predicted since 2019 that these next-gen consoles would be using SSDs. I honestly don't know why people seem to think that BOM of these devices in the modern day is some exorbitantly high thing. It really isn't...
The best thing I can do is point you to look at Nvidia's upcoming RTX3070 $500 GPU. And remember that unlike consoles, things like GPUs are sold with a very high mark up, because once Nvidia makes that sale they have no more business with that customer. So they have to make their BOM + Profit + retailer cut all from that one sale. If you see any consumer electronics like that on a shelf? just know that the BOM for that product is AT LEAST, half of whatever its MSRP is.
| VideoGameAccountant said: We have had numerous industry sources say Sony is struggling with the price. They wanted a cheaper price but component prices were too high. If they were so sure, they would have announced it by now. The system is to launch this year and they only have about a month to do it. What was probably happening is Sony didn't want to be the first to announce the price because they always try to undercut the competition. This is why Sony and Microsoft played chicken with the price until Microsoft took the initiative to announce it (after it leaked). This is also why there is a cheaper smaller system to prevent Sony from really doing that. Again, if Sony was so confident, we'd have a price by now. Also, "market leader" doesn't matter because this changes constantly. Microsoft could be the market leader soon. |
That's interesting...
Last edited by Intrinsic - on 13 September 2020
