| EricHiggin said: SNY has got to be making money on every unit by now even with inflation. Imagine them taking $100 hit to that, leading to a $349-$399 PS5 right now, and imagine the prices kept falling slowly like they used to as the gen went on. |
Don't bet on it.
NAND has been increasing in price... We are looking at upwards of 10-20% just for the Q2 of 2024... And that's mostly because of reduced manufacturing since 2021 to make up for a slump.
https://www.trendforce.com/news/2024/04/09/news-ssd-prices-keep-rising/
DRAM is increasing by about 10-15% as well just for Q1 2024:
https://www.tomshardware.com/pc-components/ram/pc-dram-prices-projected-to-rise-10-to-15-in-q1-2024
TSMC increased fabrication costs by 8.7% on top of it:
https://seekingalpha.com/article/4676101-taiwan-semiconductor-tsmc-raising-prices-8-7-percent-in-2024-as-revenue-growth-underperforms-customers
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We are at an interesting point in manufacturing where the core components in the consoles have all been increasing in costs, not decreasing.
Sony has already done the best it can in reducing costs, but that only gets you so far... For example they reduced the number of NAND chips in the Slim from 6 chips down to 4... But that benefit gets completely undermined with rising NAND chip costs.
They reduced the SoC size, but again... TSMC raised prices.
In order for a PROPER cost reduction of the Playstation 5, Sony needs to port it's chip to 5nm or 3nm TSMC, but that is still at a cost premium, that premium will go away once Apple and nVidia stop gobbling up every single wafer that TSMC spews out.
--::{PC Gaming Master Race}::--
